A Family Affair: The Labor Market Experience of Immigrant Spouses

Objective . This research examines the role of the family in the immigrant settlement process by assessing the labor supply behavior of immigrant spouses. Methods . We make use of a unique data set—the Longitudinal Survey of Immigrants to Australia (LSIA), which provides detailed demographic, human capital, and labor market information for both principal applicants and their spouses. Results . Family circumstances such as the presence of young children, partners' hours of work, and family income are important determinants of labor supply. Similarly, human capital, particularly English language ability, is closely related to hours worked, and there is some evidence that spouses' employment is related to the visa category of their partners. Conclusions . Since immigration is not a solitary undertaking, evaluations of immigration policy and the economic status of immigrants that ignore interactions between family members may be inaccurate in their representation of the financial health and economic contributions of immigrants.