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We analyse the effect of active labour-market programmes on the hazard rate into regular employment for newly arrived immigrants using the timing-of-events duration model. We take account of language course participation and progression in destination country language skills. We use rich administrative data from Denmark. We find substantial lock-in effects of participation in active labour-market programmes. Post programme effects on the hazard rate to regular employment are significantly positive for wage subsidy programmes, but not for other types of programmes. For language course participants, improvement in language proficiency has significant and substantial positive effects on the hazard rate to employment.

This paper provides important new insights into the reasons for the observed gap in educational attainment between children of immigrants and natives in Denmark using a dynamic discrete model of educational choices to determine at what stages of their educational careers children of immigrants face barriers to educational progression and how background characteristics affect educational choices at different points in the educational system. The main findings of the paper are that dropout rates from vocational upper secondary education are much higher among children of immigrants and that strengthening family characteristics reduces the dropout rates. However, behavioral differences and/or differences in constraints and institutional factors are also important barriers and thus determinants of the observed educational gaps as is age at immigration.

We propose a method for computing indicators of the relative success of local authorities at integrating new immigrants in the labour market, taking account of differences in characteristics of immigrants and local labour markets. The indicator for integration success is based on mean duration from date of residence permit to start of an employment spell. We apply this method to a Danish administrative dataset. Correcting for differences in immigrant characteristics and local labour market conditions has an important impact on the estimated ranking of local authorities. We investigate how robust the ranking is with respect to changes in the specification of criteria for integration success and controls.

This article compares and contrasts male immigrant labor market experiences in Sweden and Denmark during the period 1985-1995. Using register-based panel data sets from Sweden and Denmark, a picture of the employment assimilation process of immigrants from Norway, Poland, and Turkey is presented. The comparative approach shows that immigrants in Sweden and Denmark experienced similar declines in employment prospects between 1985 and 1995 despite quite different developments of aggregate labor market conditions. A possible explanation is that the changing organizational structure - toward more flexible work organization - has resulted in a decrease in the attractiveness of immigrant employees due to the increasing importance of country-specific skills and informal human capital This article compares and contrasts male immigrant labor market experiences in Sweden and Denmark during the period 1985-1995. Using register-based panel data sets from Sweden and Denmark, a picture of the employment assimilation process of immigrants from Norway, Poland, and Turkey is presented. The comparative approach shows that immigrants in Sweden and Denmark experienced similar declines in employment prospects between 1985 and 1995 despite quite different developments of aggregate labor market conditions. A possible explanation is that the changing organizational structure - toward more flexible work organization - has resulted in a decrease in the attractiveness of immigrant employees due to the increasing importance of country-specific skills and informal human capital

Over the past decade, the number of ethnic minorities in Denmark has increased rapidly, now accounting for over 8 per cent of the total population. This paper presents results from a number of recent studies regarding the educational choices of minority children from less developed countries. An important social concern is that the educational attainment of these children is much lower than among native Danes. The studies show that that a main reason for the education gap is very high dropout rates from vocational schools among minority children and that inadequate Danish language proficiency of immigrants, parents and their children, is an important reason for the high dropout rates, as are inadequate educational preparedness from grade school and insufficient apprenticeship positions available for minority youth. Socio-economic background, however, has relatively little effect. Recent policy changes to reduce dropout rates from vocational schools are reviewed and additional policy interventions are proposed.

In this paper, we analyze immigrant wage gaps and propose an extension of the traditional wage decomposition technique, which is a synthesis from two strains of literature on ethnic/immigrant wage differences, namely the 'assimilation literature' and the 'discrimination literature'. We estimate separate wage equations for natives and a number of immigrant groups using panel data sample selection models. Based on the estimations, we find that the immigrant wage gap is caused by a lack of qualifications and incomplete assimilation, and that a large fraction of that gap would disappear if only immigrants could find employment and thus accumulate work experience.

2nd generation immigrants from less developed countries have less education and a lower employment frequency compared to the native Danish youth. We analyse the school-to-work transition of these groups using panel data for the years 1985–1997. The educational gap between 2nd generation immigrants and the Danish youth is to some extent explained by age structure, while age does not explain the native-immigrant gap concerning the duration of waiting time until first job and the duration of first employment spell. Instead parental capital and neighbourhood effects seem to play a major role. We find large gender differences among 2nd generation immigrants in the school-to-work transition.

We estimate the effect of active labour-market programmes on the exit rate to regular employment for non-western immigrants in Denmark who receive social assistance. We use the timing-of-events duration model and rich administrative data. We find large positive post-programme effects, and, surprisingly, even most in-programme effects are positive. The effects are largest for subsidized employment programmes, but effects are also large and significant for direct employment programmes and other programmes. Effects are larger if programmes begin after six months of unemployment. Implications of our estimates are illustrated by calculating effects on the duration to regular employment over a five-year period. JEL classification codes J64, J24, J68, J61, C41

The focus of this paper is to analyse why a large fraction of single elderly people choose to retire early. A structural model directly based on the individual decision of labour supply is estimated on a sample of singles, where singles are defined as those who are living alone. We find that income and health are important determinants of the retirement decision. Furthermore, we find substantial gender differences in the retirement pattern. Healthy single women value retirement more than healthy single men and are willing to reduce their disposable income to 74 per cent of their previous income while men are willing to reduce the income to 81 per cent. Men’s retirement decision is mainly influenced by income and health, whereas women’s retirement decision is also affected by education and unemployment experience.