Country of birth and wage differentials Evidence from Belgium

I compute and investigate wage differentials in Belgium between individuals born in the country and five major groups of non-native workers. I find that foreigners (but those from EU15 countries) earn, on average, less than natives, with the size of the wage gap that varies importantly across the different groups. Applying the Oaxaca-Blinder decomposition to the wage differentials, I find that skills and characteristics only account for a portion of the gaps. Complementarily, a part of the wage differentials remains persistently unexplained, especially for non-European workers. Additional info... Mehr ...