Failure to account for differences between immigrants and natives in their responsiveness to changes in macroeconomic conditions may bias estimates of assimilation effects on immigrant earnings. Using Norwegian register data from 1980 to 1996, we first establish that earnings of immigrants from...

In studying the relationship between wage inequality and centralization in collective bargaining, the authors distinguish central from local systems of wage determination by assuming that a central union takes the employment effects of negotiated wages into account, whereas unions disregard...