Citizenship and the Economic Assimilation of Canadian Immigrants

In this paper, we examine whether acquiring citizenship improves the economic assimilation of Canadian migrants. We took advantage of a natural experiment made possible through changes in the Canadian Citizenship Act of 2014, which extended the physical presence requirement for citizenship from three to four years. Using quasi-experimental methods, we found that delaying citizenship eligibility by one year adversely affected Canadian residents' wages. Access to better jobs explains a citizenship premium of 11 percent in higher wages among naturalized migrants. Our estimates are robust to model specifications, differing sampling windows to form the treatment and comparison groups, and whether the estimator is a non-parametric rather than a parametric one. We discuss how our findings are relevant to the optimal design of naturalization policies regarding efficiency and equity.

The low return to English fluency during the Age of Mass Migration☆

English skills are highly valuable for today’s immigrants, but has this always been the case? I estimate the premium for English fluency and the rate of language acquisition in the early 20th century US using new linked data on over two hundred thousand immigrants. Few early 20th century immigrants arrived with English proficiency, yet many acquired language skills rapidly after arrival. Based on individual fixed effects, acquiring English fluency was associated with a small upgrade in occupational income. The results suggest that English fluency was less important for economic assimilation in the early 20th century than in recent decades.