TECHNICAL APPENDIX. Immigrant Earnings Growth: Selection Bias or Real Progress. Garnett Picot and Patrizio Piraino*

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1 TECHNICAL APPENDIX Immigrant Earnings Growth: Selection Bias or Real Progress Garnett Picot and Patrizio Piraino* * Picot, Statistics Canada, Analytical Studies Branch, dgpicot@reogers.com. Piraino, School of Economics, University of Cape Town, Patrizio.piraino@uct.ac.za. 1

2 APPENDIX TABLE A1. INCIDENCE OF IMMIGRANTS OVER TIME IN THE CENSUS AND Proportion of immigrants in the sample Proportion of immigrants landed before 1980 in the comparison group a Census 3. Census cohort: Year N. of obs N. of N. of N. of immigrants obs immigrants ,772 19, ,459 20, ,567 15, ,699 17, ,157 14, ,061 16, ,986 14, ,100 16, cohort: Year N. of obs N. of N. of N. of immigrants obs immigrants ,393 29, ,416 28, ,789 26, ,563 26, ,034 24, ,863 25, cohort: N. of N. of N. of Year N. of obs immigrants obs immigrants ,890 28, ,354 27, ,008 24, ,307 25, Notes: Authors calculations from and Census. In each year, observations are restricted to years of age and positive earnings. Immigrants migrated between years of age. a Comparison group refers to the sample we use as native-born group in the files (which includes immigrants landed before 1980). 2

3 TABLE A2. IMMIGRANT S EARNINGS GROWTH WITH CONTROLS FOR EDUCATION: LONGITUDINAL VS. CROSS-SECTIONAL DATA 1. Longitudinal 2. Cross-sectional Cohort (.013) (.015) (.017) Cohort Cohort Notes: Data from files. The table reports the coefficients on the years since migration dummy variables. Reference category is immigrants with 1 to 5 years since migration. Standard errors in parentheses. All coefficients are statistically significant at 5 level. 3

4 TABLE A3. SENSITIVITY TEST FOR AGE AT MIGRATION: ABSOLUTE IMMIGRANT EARNINGS GROWTH Longitudinal 2. Cross-sectional 3. Census Cohort Cohort Cohort (.012) Notes: Same specification as Table 3 but different age at migration restriction (20 to 54). Standard errors in parentheses. All coefficients are statistically significant at 1 level. 4

5 TABLE A4. SENSITIVITY TEST FOR AGE AT MIGRATION: RELATIVE IMMIGRANT EARNINGS GROWTH Longitudinal 2. Cross-sectional 3. Census Cohort Entry gap Cohort entry gap Cohort entry gap Notes: Same specification as Table 5 but different age at migration restriction (20 to 54). Standard errors in parentheses. All coefficients are statistically significant at 1 level. 5

6 TABLE A5. ABSOLUTE IMMIGRANT EARNINGS GROWTH ACROSS COHORTS (POOLED SAMPLE) 1. Longitudinal 2. Cross-sectional 3. Census (.003) Notes: Data from Census and files. Reference category is immigrants with 1 to 5 years since migration. Standard errors in parentheses. All coefficients are statistically significant at 1 level. 6

7 TABLE A6. RELATIVE IMMIGRANT EARNINGS GROWTH ACROSS COHORTS (POOLED SAMPLE).171 (.003) Longitudinal 2. Cross-sectional 3. Census Change in the earnings gap Cohort dummies Notes: Data from Census and files. Reference categories are immigrants with 1 to 5 years since migration. Standard errors in parentheses. All coefficients are statistically significant at 1 level. 7

8 TABLE A7. WOMEN: IMMIGRANT S EARNINGS GROWTH: LONGITUDINAL VS. CROSS-SECTIONAL DATA 1. Longitudinal 2. Cross-sectional Cohort (.012) (.014) (.016) (.018) Cohort Cohort Notes: Data on women from the files. The table reports the coefficients on the years since migration dummy variables in model (1). Reference category is immigrants with 1 to 5 years since migration. Standard errors in parentheses. All coefficients are statistically significant at 1 level. 8

9 TABLE A8. WOMEN: RELATIVE IMMIGRANT EARNINGS GROWTH: LONGITUDINAL VS. CROSS-SECTIONAL DATA Longitudinal Cross-sectional Entry gap entry gap entry gap Notes: Data on women from files. The table reports the coefficients on the immigrant status dummy and on the changes in the earnings gap over time (i.e. years since migration variables). Reference category is immigrants with 1 to 5 years since migration and years of age at arrival in Canada. Standard errors in parentheses. All coefficients are statistically significant at 1 level. 9

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