Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market

This paper models the assimilation process of migrants and shows evidence of the complementarity between their destination experience and upon-arrival human capital. Bayesian learning and dynamics of matching are modeled and empirically assessed, using panel data of wages from the Bangkok labor mark...

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Autor principal: Yamauchi, Futoshi
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2003
Materias:
Acceso en línea:https://hdl.handle.net/10568/155886
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author Yamauchi, Futoshi
author_browse Yamauchi, Futoshi
author_facet Yamauchi, Futoshi
author_sort Yamauchi, Futoshi
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper models the assimilation process of migrants and shows evidence of the complementarity between their destination experience and upon-arrival human capital. Bayesian learning and dynamics of matching are modeled and empirically assessed, using panel data of wages from the Bangkok labor market in Thailand. The analysis incorporates (1) the heterogeneity of technologies and products, characteristic of urban labor markets, (2) imperfect information on migrants' types and skill demanded in the markets, and (3) migrants' optimal learning over time. Returns to destination experience emerge endogenously. Estimation results, which control migrants' selectivity by firstdifferencing procedures, show that (1) schooling returns are lower for migrants than for natives, (2) the accumulation of destination experience raises wages for migrants, (3) the experience effect is greater for more-educated agents, i.e., education and experience are complementary, and (4) the complementarity increases as destination experience accumulates. The results imply that more-educated migrants have higher learning efficiency and can perform tasks of greater complexity, ultimately yielding higher wage growth in the destination market. Simulations show that, due to the complementarity, wages for different levels of upon-arrival human capital diverge in the migrants' assimilation process. -- Author's Abstract
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spelling CGSpace1558862025-11-06T06:49:59Z Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market Yamauchi, Futoshi livelihoods rural urban relations education labour markets migration employment urban areas remuneration This paper models the assimilation process of migrants and shows evidence of the complementarity between their destination experience and upon-arrival human capital. Bayesian learning and dynamics of matching are modeled and empirically assessed, using panel data of wages from the Bangkok labor market in Thailand. The analysis incorporates (1) the heterogeneity of technologies and products, characteristic of urban labor markets, (2) imperfect information on migrants' types and skill demanded in the markets, and (3) migrants' optimal learning over time. Returns to destination experience emerge endogenously. Estimation results, which control migrants' selectivity by firstdifferencing procedures, show that (1) schooling returns are lower for migrants than for natives, (2) the accumulation of destination experience raises wages for migrants, (3) the experience effect is greater for more-educated agents, i.e., education and experience are complementary, and (4) the complementarity increases as destination experience accumulates. The results imply that more-educated migrants have higher learning efficiency and can perform tasks of greater complexity, ultimately yielding higher wage growth in the destination market. Simulations show that, due to the complementarity, wages for different levels of upon-arrival human capital diverge in the migrants' assimilation process. -- Author's Abstract 2003 2024-10-24T12:42:44Z 2024-10-24T12:42:44Z Working Paper https://hdl.handle.net/10568/155886 en Open Access application/pdf International Food Policy Research Institute Yamauchi, Futoshi. 2003. Are experience and schooling complementary? evidence from migrants' assimilation in the Bangkok labor market. FCND Discussion Paper 166. https://hdl.handle.net/10568/155886
spellingShingle livelihoods
rural urban relations
education
labour
markets
migration
employment
urban areas
remuneration
Yamauchi, Futoshi
Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title_full Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title_fullStr Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title_full_unstemmed Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title_short Are experience and schooling complementary?: evidence from migrants' assimilation in the Bangkok labor market
title_sort are experience and schooling complementary evidence from migrants assimilation in the bangkok labor market
topic livelihoods
rural urban relations
education
labour
markets
migration
employment
urban areas
remuneration
url https://hdl.handle.net/10568/155886
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