Differences in the Labor Market Experiences of Black Immigrants and Black Natives: The Impact of Migration Selectivity

Tod G. Hamilton, University of Texas at Austin

This paper uses data on black men from the 2000 U.S. Census and the 2001 to 2007 American Community Survey to estimate wage, employment, and self-employment models to determine if black immigrants have outcomes that resemble those of native blacks (collectively) or native black internal migrants. Results show that both groups of native blacks earn more than most black immigrants and have higher payoffs to education than black immigrants (particularly at high education levels). In contrast, results suggest that black immigrants have a substantial self-employment advantage and a slight employment advantage over black natives (collectively). However, when black immigrants are compared to native black internal migrants, their employment advantage diminishes and the magnitude of their earnings deficit increases. Results show that black immigrants have a persistent self-employment advantage over native blacks (collectively) and native black movers.