Draft. Granting Birthright Citizenship: A Door Opener for Immigrant Children s Educational Integration?

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Granting Birthright Citizenship: A Door Opener for Immigrant Children s Educational Integration? Christina Felfe 1 Helmut Rainer 2 Judith Saurer 3 1 University St. Gallen and CESifo 2 LMU Munich, ifo Institute, CESifo 3 ifo Institute - Leibniz Institute for Economic Research at the University of Munich

Motivation Immigrant children constitute a sizeable and fast growing fraction of the population will shape to a large extent the future of host societies Substantial achievement gaps between immigrant and native children: educational gap (Dustmann et al. 2012, Riphahn 2003) economic gap (Algan et al. 2010, Borjas 1985, Chiswick 1978) attributed to parents circumstances and behavior (Diehl et al. 2016) Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 2 / 23

Question Does birthright citizenship boost immigrant children s educational integration? Does birthright citizenship influence immigrant parents educational decisions? What role play pediatricians and teachers recommendations? Do immigrant children perform better in school? Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 3 / 23

Contribution Exploit exogenous policy variation reform of the German naturalisation law to identify the causal impact of birthright citizenship on immigrant children s educational integration Dynamic view of the education process first three critical decisions: preschool: attendance primary school: timing of enrolment secondary school: choice of track Multi-faceted view: parental decisions regarding their children s education official recommendations by teachers and pediatricians children s developmental and educational outcomes Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 4 / 23

German education system Variation across states, here facts for Schleswig-Holstein Age Facts Preschool Age 3-6 voluntary attendance official recommendation, Primary school Age 6-10 but parental discretion (Grade 1-4) regarding starting age teacher recommendation, Secondary school Age 10 onwards but parental discretion (Grade 5-9) regarding school track Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 5 / 23

Underlying mechanisms and hypotheses Citizenship implies... unconditional right to stay improved job opportunities (Chiswick and Miller 1992/95, Bratsberg et al. 2002, Fougere and Safi 2009, Scott 2008, Steinhardt 2012, Gathmann and Keller 2014) increased incentive to stay in host country (Sajons 2016) increased parental integration efforts (Avitabile et al. 2013; Sajons 2011) increased returns to host-country specific skills Hypothesis: Birthright citizenship leads to... parental choices fostering their children s education improved educational performance of immigrant children Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 6 / 23

Nationality law in Germany Reform of the German Citizenship and Nationality Law (July 15, 1999): Until 1999: ius sanguini Since 2000: ius soli Optional citizenship, Automatic birthright citizenship, if one parent at least 8 years in D if one parent at least 8 years in D - via parental application (Child can keep two passports til age 23) - transition rule (til 31.12.2000) Direct and indirect costs No costs Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 7 / 23

Acquisition of citizenship via ius soli Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 8 / 23

Empirical Strategy Reform of the German naturalization law = natural experiment: compare children born before and after the cut-off date (January 1, 2000) draw upon children born within one school cohort (July 1999 - June 2000) draw upon adjacent school cohorts to isolate age and seasonal effects: (Lalive and Zweimüller, 2009; Dustmann and Schönberg, 2012; Danzer and Lavy, 2016) Reform Cohort: born July 1999 - June 2000 Control Cohorts: born July 1998 - June 1999 and July 2000 - June 2001 Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 9 / 23

Difference-in-Differences Approach Y s,a i Y s,a i = α + βreform i + γafter i +δ Reform i After i + θ m D i,m + ɛ i = educational outcome of child i in dimension s at age a Reform i = dummy for reform cohort (born July 1999 - June 2000) After i = dummy for birth months January - June D i,m = dummies for birth months Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 10 / 23

Threats to Identification Threats Empirical approach Fertility behavior: - variation of window around cut-off - donut strategy Return migration: - balancing tests - additional controls Miscellaneous: - add trend - placebo with German children Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 11 / 23

Data Two large administrative datasets School entry examination School register When? Preschool Primary & secondary school Who? Assessment (pediatrician) Administrative records Questionnaire (parent) (school principal) What? - Preschool attendance - Early school start - Developmental outcomes - Retention - School readiness - Track recommendation - Track choice - Final track Sample Parental country of origin Main language 6 740 children 2 530 children (eligible & non-eligible) (eligible & non-eligible, subsample) GermanMicroCensus Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 12 / 23

Interpretation of the effect Share of compliers = 38 % (45% vs. 7%) Effect of citizenship =2.6 δ ~ 45% are eligible Effect of reform =2.2 δ Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 13 / 23

Descriptive statistics - Outcomes Baseline II/99 I/00 Diff Native Migrant Migrant Migrant Migrant i. Parental Choices Preschool: attendance (SEE data) 0.954 0.925 0.917 0.942 0.025** Primary school: early start (SR data) - 0.116 0.086 0.019-0.067*** Secondary school: academic track w/o recommendation (SR data) - 0.133 0.086 0.065-0.021 ii.official Recommendations Primary school: school readiness (SEE data) 0.909 0.849 0.863 0.772-0.091*** Secondary school: academic track recommendation (SR data) - 0.131 0.154 0.105-0.048* iii.children s Performance Preschool: Good Conduct (SEE data) 0.963 0.971 0.967 0.967 0.000 Preschool: Social Skills (SEE data) 0.983 0.989 0.974 0.974 0.000 Preschool: Emotional Stability (SEE data) 0.959 0.961 0.956 0.959 0.004 Primary school: retention (SR data) - 0.219 0.236 0.305 0.069** Secondary school: academic track (SR data) - 0.174 0.193 0.155-0.038 Sources: SEE 2005-2007; SR 2009-2011; own calculations Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 14 / 23

Descriptive statistics - Background Baseline II/99 I/00 Diff Native* Migrant Migrant Migrant Migrant Age in months 75.176 73.805 76.396 70.724-5.672*** Female 0.473 0.468 0.478 0.498 0.020 Siblings 0.869 1.207 1.287 1.257-0.030 Single parent 0.131 0.085 0.088 0.087-0.001 Dad s education: low 0.236 0.235 0.236 0.222-0.014 Dad s education: intermediate 0.229 0.222 0.229 0.240 0.011 Dad s education: high 0.266 0.168 0.154 0.181 0.027 Dad s education: missing 0.269 0.375 0.381 0.357-0.024 Dad s origin: Turkey - 0.319 0.311 0.316 0.005 Dad s origin: East Europe - 0.377 0.393 0.376-0.016 Dad s origin: Balkan - 0.087 0.081 0.077-0.004 Dad s origin: EU 12-0.047 0.042 0.051 0.009 Dad s origin: missing - 0.170 0.173 0.180 0.007 Sources: School Entrance Examinations 2005-2007; own calculations Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 15 / 23

Results - Preschool Parental Investment Preschool attendance Social skills Child Performance Good Conduct Emotional stability Reform*After 0.032** 0.000 0.019** 0.021** (0.013) (0.008) (0.009) (0.010) Birthmonths yes yes yes yes Observations 6740 5169 6260 6464 Mean - Pre Reform 0.917 0.974 0.967 0.956 Data Source SEE SEE SEE SEE Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 16 / 23

Results - Primary school Parental Investment School Starting Age Official Recommendation School readiness Child Performance Retention Reform*After -0.658* 0.009-0.049 (0.347) (0.019) (0.037) Birthmonths yes yes yes Observations 2498 6740 2482 Mean - Pre Reform 76.906 0.863 0.236 Data Source SR SEE SR Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 17 / 23

Results - Secondary school Parental Investment Academic track w/o recommendation Official Recommendation Academic track Child Performance Academic track (6th grade) Reform*After 0.039* 0.001 0.016 (0.024) (0.032) (0.030) Birthmonths yes yes yes Observations 2530 1959 2695 Mean - Pre Reform 0.086 0.154 0.196 Data Source SR SR SR Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 18 / 23

Sensitivity - Preschool Cluster Donut 4-m window Trend RDD Placebo Parental Investment: Attendance 0.032** 0.041*** 0.037** 0.036*** 0.034*** -0.007 (0.014) (0.014) (0.015) (0.013) (0.012) (0.005) Child Performance: Social Skills 0.000-0.004 0.004 0.002 0.021-0.001 (0.007) (0.008) (0.009) (0.008) (0.015) (0.003) Good Conduct 0.019*** 0.011 0.022** 0.011 0.013-0.004 (0.007) (0.010) (0.011) (0.009) (0.015) (0.004) Emotional Stability 0.021** 0.014 0.030** 0.020* 0.030* -0.001 (0.009) (0.011) (0.012) (0.010) (0.017) (0.004) Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 19 / 23

Sensitivity - Primary school Cluster Donut 4-m window Trend RDD Placebo Parental Investment School Starting Age -0.658* -0.934** -0.414-0.643* - - (0.359) (0.392) (0.391) (0.347) - - Recommendation School Readiness 0.009 0.020 0.008 0.001 0.017 0.007 (0.018) (0.021) (0.023) (0.020) (0.018) (0.013) Child Performance Retention -0.049-0.022-0.067-0.055-0.038 - (0.031) (0.041) (0.046) (0.044) (0.035) - Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 20 / 23

Sensitivity - Secondary school Parental Investment Academic Track w/o recommendation Recommendation Cluster Donut 4-m window Trend RDD Placebo 0.039* 0.039* 0.024 0.046* 0.036* - (0.024) (0.024) (0.027) (0.030) (0.023) - Academic Track 0.001 0.031 0.021 0.042 0.008 - Child Performance Academic Track (6th grade) (0.028) (0.035) (0.040) (0.037) (0.031) - 0.016 0.016-0.004 0.012 0.006 - (0.022) (0.030) (0.043) (0.036) (0.029) - Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 21 / 23

Conclusion The introduction of birthright citizenship leads to educational choices like the ones made by parents of the native-born preschool: increased attendance primary school: earlier school start secondary school: selection of academic track no effect on pediatrician s and teachers recommendation some improvement in immigrant children s educational performance, yet data limitations prevent us from delving deeply into this issue Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 22 / 23

Thank you! Christina Felfe (University of St. Gallen) MILLS Workshop 2016 29/06/2016 23 / 23