Immigrant over- and under-education: the role of home country labour market experience

Piracha, Matloob; Tani, Massimiliano; Vadean, Florin

doi:10.1186/2193-9039-1-3

Table 6 Probit with sample selection estimates of over- and under-education (marginal effects) – Cohort 1&2, Wave 2 (17 months after arrival)

From: Immigrant over- and under-education: the role of home country labour market experience

	(1)	(2)	(3)	(4)
	Over-education		Under-education
Age	-0.002	0.003	0.006	0.001
	[0.007]	[0.007]	[0.006]	[0.006]
Age squared x 100	0.002	-0.004	-0.008	-0.003
	[0.009]	[0.009]	[0.007]	[0.008]
Qualification assessed	0.026	0.030	-0.078	-0.099
	[0.016]	[0.017]*	[0.015]***	[0.017]***
Self-Employed	-0.059	-0.055	0.118	0.092
	[0.019]***	[0.019]***	[0.028]***	[0.029]***
FHC: Non-English Speaking OECD	0.029	0.017	-0.014	0.021
	[0.029]	[0.028]	[0.020]	[0.028]
FHC: South, East, South East Asia and Oceania	0.085	0.002	-0.060	-0.001
	[0.023]***	[0.021]	[0.016]***	[0.022]
FHC: Sub-Saharan Africa	-0.003	-0.041	0.004	0.099
	[0.033]	[0.026]	[0.026]	[0.042]**
FHC: Other	0.107	0.021	-0.036	-0.010
	[0.029]***	[0.025]	[0.019]*	[0.025]
Visa type: Concessional Family/Skilled-Austr. Link	-0.006	0.026	0.012	-0.028
	[0.020]	[0.022]	[0.022]	[0.021]
Visa type: Business Skills & Empl. Nomination Scheme	-0.147	-0.076	0.008	0.001
	[0.014]***	[0.021]***	[0.020]	[0.024]
Visa type: Independent	-0.079	-0.033	-0.046	-0.072
	[0.016]***	[0.019]*	[0.018]**	[0.019]***
Visa type: Humanitarian	-0.036	-0.043	-0.030	-0.021
	[0.022]	[0.021]**	[0.021]	[0.025]
Educ. mismatch FHC: not working	-0.042		0.338
	[0.019]**		[0.045]***
Educ. mismatch FHC: over-educated	0.334		-0.073
	[0.044]***		[0.021]***
Educ. mismatch FHC: under-educated	-0.154		0.565
	[0.012]***		[0.027]***
Educ. mismatch Wave 1: not working		0.210		0.221
		[0.023]***		[0.025]***
Educ. mismatch Wave 1: over-educated		0.657		-0.020
		[0.036]***		[0.031]
Educ. mismatch Wave 1: under-educated		-0.071		0.824
		[0.024]***		[0.022]***
Cohort 2	-0.011	0.014	0.062	0.045
	[0.014]	[0.015]	[0.016]***	[0.017]***
Regional fixed effects	Yes	Yes	Yes	Yes
Selection equation (Probability of being employed)
Age	0.010	0.011	0.013	0.012
	[0.005]*	[0.005]**	[0.005]**	[0.005]**
Age squared x 100	-0.019	-0.020	-0.022	-0.021
	[0.007]***	[0.007]***	[0.007]***	[0.007]***
Interview in English	0.062	0.065	0.083	0.087
	[0.018]***	[0.017]***	[0.019]***	[0.020]***
Visited Australia before immigration	0.084	0.078	0.081	0.082
	[0.014]***	[0.014]***	[0.015]***	[0.015]***
Visa type: Concessional Family/Skilled-Austr. Link	0.034	0.030	0.026	0.026
	[0.015]**	[0.015]**	[0.016]*	[0.016]*
Visa type: Business Skills & Empl. Nomination Scheme	0.139	0.138	0.137	0.136
	[0.011]***	[0.011]***	[0.011]***	[0.011]***
Visa type: Independent	0.049	0.048	0.044	0.044
	[0.015]***	[0.015]***	[0.015]***	[0.015]***
Visa type: Humanitarian	-0.170	-0.173	-0.165	-0.162
	[0.030]***	[0.030]***	[0.030]***	[0.030]***
Number of adults in household	-0.010	-0.008	-0.010	-0.011
	[0.004]**	[0.004]**	[0.005]**	[0.005]**
Children present	0.043	0.046	0.056	0.056
	[0.013]***	[0.013]***	[0.013]***	[0.013]***
HH owns car	0.118	0.117	0.124	0.122
	[0.020]***	[0.021]***	[0.022]***	[0.022]***
Cohort 2	0.067	0.065	0.060	0.059
	[0.012]***	[0.012]***	[0.012]***	[0.012]***
Regional fixed effects	Yes	Yes	Yes	Yes
Observations	2918	2918	2918	2918
Censored obs	497	497	497	497
Wald chi2	312.76	490.38	691.76	719.04
Log likelihood	-1907.95	-1783.69	-1654.33	-1601.07
ρ	1.899	1.446	-0.002	0.258
	[1.165]	[0.630]**	[0.174]	[0.212]
Standard errors in brackets
* significant at 10%; significant at 5%; * significant at 1%

Note: The base group for “Formal Home Country” (FHC) is “English speaking OECD”; for “Visa type” the base group is “Preferential Family/ Family Stream”; and for “Education mismatch FHC” the base group is “Correctly matched”.

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