Social Capital,Labour Markets,and Job‐Finding in Urban and Rural Regions: comparing paths to employment in prosperous cities and stressed rural communities in Canada1,2

This paper compares paths to employment (job‐finding) in prosperous cities and economically‐stressed rural communities in Canada. Since the pioneering work of Mark Granovetter (1973; 1974 ), sociologists have investigated the role of social capital in job‐finding (specifically, the use of strong and weak social ties to find out about employment opportunities). To date, however, there have been few direct comparisons of job‐finding in urban and rural settings (see Lindsay et al., 2005 ; Wahba and Zenou, 2005 ). Using data from two major surveys and a qualitative interview project, we uncover several important differences in urban and rural paths to employment. First, we find that both strong and weak ties are used more frequently by rural residents to find a job, while city‐dwellers rely more often on formal or impersonal means. Second, we find much stronger evidence of differentiation within rural regions. Long‐time rural residents are much more likely to use strong and weak ties to find employment than are newcomers. However, rural residents who used weak ties as paths to employment have significantly lower incomes. None of these patterns are evident in the cities. Together, these findings lead us to conclude that job‐finding in rural settings is strongly affected by constraints – in the labour market and in social capital resources – that are not present in cities.     

Social capital and economic integration of migrants in urban China

Based on data from a 2005 survey conducted in Shanghai, China, this research examines the role of social capital in income inequality between rural migrants and urbanites. We find strong income return on social capital, in particular on social capital from strong ties. We also observe a great disparity in social capital possession between rural migrants and urban local residents. Although social capital from strong ties seems to be more important for rural migrants than for urbanites, local ties and high-status ties do not seem to benefit rural migrants. Hence, migrants not only suffer severe social capital deficits but also capital return deficits. Given the strong income returns on social capital and the substantial differences in access to and return on social capital between migrants and urban residents, social capital is consequently found to explain a large part of the income inequality between the two groups. Overall, our findings reveal macro-structural effects on the role of social capital in labor market stratification. In China, the lack of formal labor market mechanisms continues to create both a strong need for and opportunities for economic actions to be organized around informal channels via social relations. Yet, the long-standing institutional exclusion of migrants caused by the household registration system has resulted in pervasive social exclusion and discrimination which have substantially limited rural migrants’ accumulation and mobilization of social capital. Under these conditions, social capital reinforces the economic inequality between migrants and urban residents in China. Such empirical evidence adds to our understanding of the role of social capital in the economic integration of migrants and in shaping intergroup inequality in general.     

Social and human capital in immigrant adaptation:: The case of Canadian business immigrants

Purpose: With the resurgence of immigration to North America in the past three decades, research on immigrant adaptation and the attendant issues of assimilation has burgeoned. A prevailing assumption of much of this research is that social capital is a vital resource enabling immigrants to find their economic and social niches in the host society. In a word, social capital is a key factor in the immigrant adaptation process. This assumption has been especially prominent in research focusing on one specific subset of immigrants: entrepreneurs. Social capital in the form of ethnic networks and family ties is assumed to function critically in the establishment and operation of immigrant-owned businesses. This paper argues that although the formation and expenditure of social capital may typify the experiences of many or even most immigrant entrepreneurs, some enter the host society with sufficient human and/or financial capital that enables them to forego the utilization of social capital in the adaptation process.Methods: To demonstrate, I draw upon in-depth interviews conducted with 70 immigrant entrepreneurs in the province of Ontario, Canada between 1993 and 1995. All interviewees entered Canada under the auspices of the Canadian Business Immigration Program, a federal program designed to attract immigrants with demonstrable business and managerial skills that presumably will lead to the establishment of a firm and thus to the subsequent creation of jobs and economic activity. A formal requirement of their entrance, then, is the possession of proven business skills, a critical form of human capital that facilitates successful economic adaptation in the host society.Forms of social capital are described and their applicability to the adaptation experiences of the interviewees is analyzed. What is found among these business immigrants is a minimal reliance on social capital in establishing and operating their firms. In securing investment capital, finding a work force, and acquiring information, ethnic and family ties, the most common forms of social capital for immigrants generally and for immigrant entrepreneurs in particular, do not play a major role. Solidarity with co-ethnics and the use of family labor, so common among conventional immigrant entrepreneurs, are not of significant import in the economic adaptation of these business immigrants. Moreover, ties to coethnics are only minimally significant in patterns of social adaptation as well.Results: It is concluded that immigrants entering the host society with pre-migration intentions of business ownership possess sufficient human capital that enables them to disregard the formation and utilization of social capital in their economic and social adaptation. In this they differ from immigrants who take a more conventional path to business ownership, that is, laboring in the mainstream work force following entrance into the host society and gradually accumulating resources that lead to entrepreneurship.For business immigrants with children, however, social capital does play a key role in the decision to immigrate. Business immigrants are prepared to abandon successful firms in the origin society in order to provide their children with a more promising socioeconomic environment, including above all what is viewed as superior opportunities for education. Hence, the social capital that inheres in close-knit family arrangements provides incentive for parents to accept losses in financial capital in order to increase their children’s human capital.Conclusion: The context of the receiving society may also be seen as a form of social capital for Canadian business immigrants. All declare that quality of life, rather than the lure of financial success, serves as their major incentive to immigrate to Canada. Moreover, the fact that they enter a society that officially proclaims its multicultural character offers them the opportunity to become Canadian but to retain their ethnicity. The source of social capital in this case, then, is not the ethnic community, but the broader society.     

Immigrant Networks in New Urban Spaces: Gender and Social Integration

This article investigates how dispersed settlement in areas of urban sprawl affects the structure of personal networks that in turn influences the likelihood of social integration among male and female immigrants from Taiwan. Settlement in the deconcentrated spaces that currently constitute the new urban spaces of U.S. metropolitan areas potentially offers more opportunities to interact with ethnically diverse people than the traditional ethnic enclaves of inner cities. However, these spatial structures also increase dependency on cars and road systems. Findings from ethnographic fieldwork in Orange County, California, show that the social networks of affluent first generation immigrants from Taiwan are not comparable to the densely knit broadly based ties linking neighbors and kin group members traditionally attributed to immigrants. Instead, the social networks of immigrants with high levels of human and economic capital are based on loosely bounded, sparsely knit, and dynamic specialized ties. At the local level networks involve few ties to extended relatives, but a substantial amount of relationships with former classmates and members of recreational associations. However, despite good English skills and employment in diverse workplaces the number of interactions with nonimmigrants outside of work and school environments is rather small. These circumstances are experienced differently by men and women. Female immigrants consider living in the deconcentrated spaces of master‐plan communities beneficial for achieving personal contentment. They welcome the changed conditions for social interaction and enjoy the decrease in network size and frequency of contacts that result in less obligations and responsibilities compared to life back in their country of origin. Male immigrants, however, mourn the loss of opportunities to gain reputation and social recognition. They would prefer to live in areas with close spatial proximity of immigrant residences. These gendered evaluations further affect the likelihood of social integration for first generation immigrants.     

Modes of labor market incorporation and occupational cost among new immigrants to Israel

"The present study contributes to the literature on international migration by examining social, demographic and contextual factors that influence modes of labor market incorporation and occupational cost among new immigrants during their first years after migration. The data for the analysis were obtained from the 1983 Census of Population conducted by Israel's Central Bureau of Statistics. The analysis focuses on men who immigrated to Israel between 1979 to 1983.... The data reveal that the likelihood of finding employment, the mode of labor market incorporation, and the size of the occupational cost are significantly affected by geocultural origin, occupation in the country of origin, and individual-level demographic and human capital resources. The meaning of the differentiated effects are discussed in detail. The findings point toward two central aspects that should be examined in the study of labor market incorporation of new immigrants: employment status and occupational cost."     

How to Succeed in a Transnational Labor Market: Job Search and Wages among Hungarian,Slovak, and Czech Commuters in Austria

This paper deals with job search strategies and wages among cross‐border commuters residing in the Central European Region (CENTROPE). Our main aim is to investigate the role of social networks as constitutive for job searching and for successful labor market integration. We build upon a theoretical framework developed by Aguilera and Massey, reflecting on the nexus of social networks, job search methods, and related labor market outcomes. Methodologically, we use a new quantitative survey on the employment careers of cross‐border commuters residing in the regions of the Czech Republic, Slovakia, and Hungary bordering on Austria, conducted in the winter/spring of 2012/2013 (N = 2,573). Our results corroborate the hypothesis that human and social capital resources as well as labor market characteristics serve as key factors for job search and labor market integration among cross‐border commuters in the CENTROPE transnational labor market.     

Economic achievement of immigrants in Japan: Examining the role of country-of-origin and host-country-specific human capital in an inflexible labor market

The economic integration of immigrants is a salient social issue in Japan. Although the US immigration literature has stressed the importance of host-country-specific human capital over country-of-origin human capital for immigrants, previous studies in Japan have shown mixed results about the effects of these two types of human capital on the economic integration of immigrants. The mixed results might be because previous studies focused on only specific immigrant groups (with regard to nationalities, cities, and visa status), human capital variables, and dimensions of economic achievements in the Japanese labor market. The segmented nature of the Japanese labor market structure and immigration policies create different pathways to “economic achievements” of immigrants depending on the dimension of “economic achievements” studied. By conducting a nationally representative social survey of Japanese immigrants, we examined the association between the two types of human capital (i.e., country-of-origin and host-country-specific) and the three indicators of labor market success: employment status and firm size, occupational status, and income. Our results indicate that host-country-specific human capital in the form of higher education and language proficiency is important for all three indicators of economic achievement in Japan, while country-of-origin human capital in the form of higher education and vocational skills is transferable to some extent. Our results suggest that the significance of human capital in immigrants' economic success is determined not only by the structure of the labor market but also by immigration policies.     

The Economic Returns of Immigrants’ Bonding and Bridging Social Capital: The Case of the Netherlands1

This paper aims at explaining to what extent social capital can help immigrants in the Netherlands make headway on the labor market. Two forms of social capital are identified. Bonding refers to a dense network with thick trust and is measured as the strength of family ties and trust in the family. Bridging implies a crosscutting network with thin trust and is measured as inter-ethnic contacts and outward orientation. It is examined to what extent bonding and bridging for immigrants in the Netherlands can be associated with a higher likelihood of employment and higher income. Results show that (1) bridging networks are positively associated with both employment and income; (2) bonding networks do not affect economic outcomes; and (3) levels of trust (neither thick nor thin) cannot explain economic outcomes.     

Resources,Not Capital: A Case Study of the Gendered Distribution and Productivity of Social Network Ties in Rural Ethiopia*

Abstract Poor people make use of a variety of contextually relevant resources to pursue their livelihood strategies, and there is wide empirical evidence that opportunities and contraints for accessing these may vary considerably for women and men, particularly in the rural areas of developing countries. In this article, micro-evidence from a case study from a village in rural Ethiopia is used to analyze the role that gender plays in the distribution and productivity of social network ties. In the examined case, women and men have access to different social networks: women have access to bonded or relational social resources which can yield economic returns only if and when they are bridged, linked to, and associated with men and their networks. This is a result of the prevailing social structure in which men define social norms and implement these through locally available institutions, combined with women's time poverty. Consequently, for rural development interventions to be successful in building and strengthening women's social network ties, adequate attention needs to be paid to mechanisms that make sure that links and connections are in place as well.     

Social Capital,Organic Agriculture,and Sustainable Livelihood Security: Rethinking Agrarian Change in Mexico*

Abstract This paper explores the relevance of extra local market linkages and local‐level social capital to sustainable livelihood outcomes in two agrarian communities on Mexico's Baja Peninsula. Contextualized by the specificity of Mexico's transition from state‐directed rural development to neoliberally‐guided rural development in the 1990s, findings suggest that market linkages can intersect with pre‐existing social capital to both create new and destroy preexisting social capital, thus shaping the direction of development and inequality outcomes. The nature of a community's social fabric is often a result of long‐standing historical legacies. In the communities presented, the quantity and quality of social capital was intricately connected to their history of state‐sponsored or market agriculture; the nature of local institutions, with particular emphasis on the formation and evolution of the ejido; and the access to and availability of natural resources, namely land and water, which are both intricately connected to market access options. Moving beyond a simple demonstration that social capital matters, this analysis explores the complex and dynamic interaction between local‐level social capital and extralocal market linkages. In doing so, it contributes to the larger debate on how the historical legacy of populist reforms and the social and political institutions created during state populism have nuanced the trajectory of neoliberal development in Mexico.     

Ethnic Enclaves,Networks and Self‐Employment among Middle Eastern Immigrants in Sweden

The proportion of immigrants from countries in the Middle East living in Sweden has increased since the 1970s, and it is a well‐known fact that immigrants from the Middle East suffer from low earnings and high rates of unemployment on the Swedish labour market. There are often great hopes that self‐employment will enable immigrants to improve their labour market situation. Further, in Sweden as in many other countries, the question of whether the existence of ethnic enclaves are good or bad for immigrants’ earnings and employment opportunities has also been widely debated. This paper presents a study of the extent to which Middle Eastern ethnic enclaves and networks in Sweden enhance or hinder immigrants’ self‐employment. The results show that the presence of ethnic enclaves increases the propensity for self‐employment. Thus, immigrants in ethnic enclaves provide their co‐ethnics with goods and services that Swedish natives are not able to provide. The results also show that ethnic networks seem to be an obstacle to immigrant self‐employment. One explanation is that an increase in network size implies increased competition for customers among self‐employed immigrants. The question of whether ethnic enclaves are good or bad for the integration of immigrants into the labour market has been widely debated. The results of this paper provide us with information about the integration puzzle. Ethnic enclaves seem to enhance self‐employment propensities among Middle Eastern immigrants in Sweden.     

The Employment Status of Immigrant Women: The Case of Sweden1

This article presents an exploration of the employment status of various groups of immigrant women in the Swedish labor market in the period 1970–1995. Since employment is one of the key components for the integration of immigrants, it is interesting to study what factors determine whether or not immigrants become employed after entering Sweden. Numerous studies have analyzed the labor market integration of immigrant men, whereas the integration of women still has received less attention (Ekberg, 1983, 1991; Hammarstedt, 2001; Scott, 1999). This study can be seen as a contribution to an increase in the knowledge of the labor market integration of female immigrants in Sweden.     

Stepping from Illegality to Legality and Advancing towards Integration: The Case of Immigrants in Greece1

This paper highlights how the social and economic situation of immigrants changes after their formal legalization and discusses what they nave to go through for their complete integration. Legalization can hardly solve the problem of immigrant employment, nor can it pull all immigrants out of the underground labor market and integrate them into the Greek economy ana society. The process towards complete integration is painful and involves a series of successive phases of various durations. During this period, apart from economic conditions, various institutional and cultural factors can hinder or delay integration. With respect to economic integration, immigrants seem to fare rather well. Their official unemployment rate is only slightly higher than the Greek unemployment rate, the two rates converging over time. This suggests increasing relative opportunities for immigrant employment, precarious or stable as it might be. Immigrant jobs come as a result of their flexible adjustment to the needs of the labor market ‐ official or underground ‐ compared to the inflexibility in the supply of Greek workers, due to labor mismatches and relatively high reservation wages. Wages of immigrants are generally lower, but are approaching the wages of their Greek counterparts. Educated immigrants much more than educated Greeks are forced by the circumstances to exercise jobs not measuring up to their qualifications.     

An Intersectional Social Capital Model of Career Development for International Marriage Immigrants

The phenomenon of women immigrating to marry has resulted in changing labor markets and increasing workforce diversity. However, because of a lack of social capital in their new country, immigrant women face significant barriers to gaining employment, have access to only limited work arenas, or remain at home as housewives. Existing studies of immigrant women are mainly limited to their human rights or cultural issues; there are few studies focusing on career development for them. This article uses social capital and intersectionality theories to create an intersectional social capital model of career development for immigrant women. The application of the model is explicated through the context of South Korea. The positive career development interventions as described in the model can help immigrant brides overcome multiple career‐related barriers and find new roots.     

The Times They Are A‐Changin’: Declining Immigrant Employment Opportunities in Scandinavia1

This article compares and contrasts male immigrant labor market experiences in Sweden and Denmark during the period 1985–1995. Using register‐based panel data sets from Sweden and Denmark, a picture of the employment assimilation process of immigrants from Norway, Poland, and Turkey is presented. The comparative approach shows that immigrants in Sweden and Denmark experienced similar declines in employment prospects between 1985 and 1995 despite quite different developments of aggregate labor market conditions. A possible explanation is that the changing organizational structure – toward more flexible work organization – has resulted in a decrease in the attractiveness of immigrant employees due to the increasing importance of country‐specific skills and informal human capital.     

Religious Communities,Immigration, and Social Cohesion in Rural Areas: Evidence from England*

Religious communities are important sources of bridging and bonding social capital that have varying implications for perceptions of social cohesion in rural areas. In particular, as well as cultivating cohesiveness more broadly, the bridging social capital associated within mainline religious communities may represent an especially important source of support for the social integration of new immigrant groups. Although the bonding social capital associated with evangelical communities is arguably less conducive to wider social cohesion, it may prompt outreach work by those communities, which can enhance immigrant integration. This article examines these assumptions by exploring the relationship between mainline and evangelical religious communities, immigration, and residents' perceptions of social cohesion in rural areas in England. I model the separate and combined effects of religious communities and economic in‐migration on social cohesion using multivariate statistical techniques. The analysis suggests that mainline Protestant communities enhance social cohesion in rural England, while evangelical communities do not. The social integration of immigrants appears to be more likely where mainline Protestant and Catholic communities are strong, but is unaffected by the strength of evangelical ones.     

The Invisible Unattended: Low‐wage Chinese Immigrant Workers,Health Care,and Social Capital in Southern California’s San Gabriel Valley*

This study investigates the factors affecting the availability of health insurance, the accessibility of health care, and the dissemination of the relevant information among low‐wage Chinese immigrants in Southern California by relying on the concepts of social and cultural capital. Using community‐based research and in‐depth interviews, our study suggests that a severe shortage in health care coverage among low‐wage Chinese immigrants is influenced by the lack of employment with employer‐provided health insurance within the Chinese “ethnoburb” community. Although the valuable social capital generated by Chinese immigrant networks seems to be sufficient enough to provide them with certain practical resources, the lack of cultural capital renders the social network rather ineffective in providing critical health care information from mainstream American society.     

The roles of human capital and social capital in the economic integration of new arrivals from Mainland China to Hong Kong

Although it has been hypothesized in the literature that both human capital and social capital are important for the economic performance of new immigrants, few studies have examined these relationships empirically, especially in understudied populations such as Chinese populations. This study simultaneously examines the roles of human capital and social capital in the economic integration of new arrivals from Mainland China to Hong Kong, using a random sample of immigrants. In the early stage of immigration (less than 6 months after arrival), we find little support for the presumed positive effects of both human capital and social capital on employment status among new arrivals in Hong Kong. Follow-up studies are underway to investigate the dynamic relationship between social capital and economic integration in this group of new arrivals, and whether social capital, especially friendship networks, plays a more important role in the economic integration of new immigrants 1 or 2 years after arrival.     

Institutional Structure and Immigrant Integration: A Comparative Study of Immigrants' Labor Market Attainment in Canada and Israel1

The present study focuses on the incorporation of immigrants from the former Soviet Union in two receiving societies, Israel and Canada, during the first half of the 1990s. Both countries conducted national censuses in 1995 (Israel) and 1996 (Canada), making it possible to identify a large enough sample of immigrants and provide information on their demographic characteristics and their labor market activity. While both Canada and Israel are immigrant societies, their institutional contexts of immigrant reception differ considerably. Israel maintains no economic selection of the Jewish immigrants and provides substantial support for newcomers, who are viewed as a returning Diaspora. Canada employs multiple criteria for selecting immigrants, and the immigrants' social and economic incorporation is patterned primarily by market forces. The analysis first examines the characteristics of immigrants who arrived in the two countries and evaluates the extent of selectivity. Consistent with our hypotheses, Russian immigrants to Canada were more immediately suitable for the labor market, but experienced greater difficulty finding and maintaining employment. Nevertheless, immigrants to Canada attained higher‐status occupations and higher earnings than their compatriots in Israel did, although the Israeli labor market was more likely to reward their investments in education.     

The intersection of class origin and immigration background in structuring social capital: the role of transnational ties

The study investigates inequalities in access to social capital based on social class origin and immigration background and examines the role of transnational ties in explaining these differences. Social capital is measured with a position generator methodology that separates between national and transnational contacts in a sample of young adults in Sweden with three parental backgrounds: at least one parent born in Iran or Yugoslavia, or two Sweden‐born parents. The results show that having socioeconomically advantaged parents is associated with higher levels of social capital. Children of immigrants are found to have a greater access to social capital compared to individuals with native background, and the study shows that this is related to transnational contacts, parents’ education and social class in their country of origin. Children of immigrants tend to have more contacts abroad, while there is little difference in the amount of contacts living in Sweden across the three groups. It is concluded that knowledge about immigration group resources help us predict its member's social capital, but that the analysis also needs to consider how social class trajectories and migration jointly structure national and transnational contacts.