“The Effect of Literacy on Immigrant

Earnings”-Ana Ferrer, David A. Green, W. Craig Riddell

Presented by:Chris Illman, Joann Jin, Chang Kim

3 Primary Goals

Ontario Immigrant Literacy Survey (OILS) and International Adult Literacy Survey (IALS)

Education, Experience, and Literacy/Language skills

Introduction

Distinguish between attributes/skills and abilities Earnings of an individual

Inputs for skills

Framework for Earnings Generation

OILS and IALS

Document and Quantitative Literacy

Immigrant experience: Foreign & Canadian Experience

Immigrant education: Foreign & Canadian

List of Dummy Variables

Data and Measurements

General Patterns:

Native-Borns V.S. Immigrants Literacy Score

Result Without Literacy Variable

Result Without Literacy Variable

Fitted Average Returns

The difference in return to different literacy level.

False Assumptions 1) credentials obtained abroad results in lower earnings

The difference in return to same literacy level.

The results with Literacy Variables

Relationship between literacy and experience.

False Assumptions 2) Poor literacy skills results in lower earnings, even with experience

Enclave, e.g. Chinatown, Koreantown

The results with Literacy Variables

Enclave

Do immigrant literacy skills differ from those of the native-born?

Do immigrants receive a different return to those skills than observationally equivalent native born workers?

Can differences in level and returns to literacy skills help explain differences in earnings between immigrant and native-born workers?

Conclusion

Questions?