Naturalization and labor market performance of immigrants in Germany

Arbeitspapier

Naturalization may be a relevant policy instrument affecting immigrant integration in hostcountry labor markets. We study the effect of naturalization on labor market outcomes of immigrants in Germany. We apply recent survey data and exploit a reform of naturalization rules in an instrumental variable estimation. In our sample of recent immigrants, linear regression yields positive correlations between naturalization and beneficial labor market outcomes. Once we account for the endogeneity of naturalization most coefficients decline in magnitude and lose statistical significance: male immigrants' labor market outcomes do not benefit significantly from naturalization. Naturalization reduces the risks of unemployment and welfare dependence for female immigrants. For males and females, the propensity to hold a permanent contract increase as a consequence of naturalization. The results are robust to modifications of samples and the instrument.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: BGPE Discussion Paper ; No. 181

Classification and Topics

• Classification: Wirtschaft ; Geographic Labor Mobility; Immigrant Workers ; Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination ; Single Equation Models: Single Variables: Instrumental Variables (IV) Estimation
• Subject: citizenship ; migration ; naturalization ; labor market outcomes ; instrumental variables

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Riphahn, Regina T. ; Saif, Salwan
• Event: Veröffentlichung
• (who): Friedrich-Alexander-Universität Erlangen-Nürnberg, Bavarian Graduate Program in Economics (BGPE)
• (where): Nürnberg
• (when): 2018

Further information

• Handle: http://hdl.handle.net/10419/201657
• Last update: 10.03.2025, 11:44 AM CET