Getting the first job: Size and quality of ethnic enclaves for refugee labor market entry

This article analyses the relationship between the size and the quality of ethnic enclaves on immigrants' labor market integration. Using exogenously defined grid cells to delineate neighborhoods, we find robust empirical evidence that the employment rate of the respective immigrant group in the vicinity (as a measure of enclave quality) facilitates labor market integration of new immigrants. The influence of the overall employment rate and the share of co-nationals in the neighborhood tend to be positive, but less robust. We thus conclude that the quality is more important than the size of ethnic enclave in helping new immigrants finding jobs.