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Title: Are Social Networks Exclusive? The Case of Immigrant Economic Assimilation

Citation Type: Miscellaneous

Publication Year: 2012

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Abstract: Previous research has highlighted the importance of informal job search through social networks. Nevertheless, the impacts of different types of networks have always been examined in isolation. This paper extends a standard search model to permit multiple networks, thus allowing exploration of the interplay between social networks as well as comparison of their relative effectiveness. In particular, the paper models the job search process of immigrants who may gather job-related information from two networks: the "native network" accessed through inter-ethnic marriage and the "immigrant network" in forms of ethnic enclaves. The impact of either network is shown to be contingent on whether social networks are exclusive. This conjecture provides theoretical foundation to identify the interplay of social networks empirically. Using data from the 2000 U.S. Census and addressing the endogeneity of network usage, I find robust evidence that the usage of social networks is exclusive: being a member of one network limits one's access to information from other sources. Moreover, the relative effectiveness of the native network depends crucially on the quality of the immigrant network.

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Authors: Ye, Jingjing

Publisher: Southern Methodist University

Data Collections: IPUMS USA

Topics: Housing and Segregation, Labor Force and Occupational Structure, Migration and Immigration

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