Preprint Article Version 1 This version is not peer-reviewed

English Language Proficiency and Immigrant Families Annual Earnings and Medical Care Spending in the USA

Version 1 : Received: 1 July 2019 / Approved: 2 July 2019 / Online: 2 July 2019 (11:37:52 CEST)

How to cite: Niankara, I. English Language Proficiency and Immigrant Families Annual Earnings and Medical Care Spending in the USA. Preprints 2019, 2019070042 (doi: 10.20944/preprints201907.0042.v1). Niankara, I. English Language Proficiency and Immigrant Families Annual Earnings and Medical Care Spending in the USA. Preprints 2019, 2019070042 (doi: 10.20944/preprints201907.0042.v1).

Abstract

This paper investigates the role of English language proficiency (ELP) as a measure of cultural integration on U.S. immigrant families’ economic integration, as measured by annual earnings, and health care market integration, as captured by annual medical care spending. Bayesian Markov Chain Monte Carlo (MCMC) estimation of a mixed bivariate ordered probit (MBOP) model of annual earnings and medical care spending is conducted using a nationally representative pooled cross-sectional sample data from the U.S. National Health Interview Surveys (NHIS). The results reveal that limited English proficiency is associated with lower marginal earnings propensities (-$44.83, -$50.66, and -$56.97), and higher marginal medical care spending propensities ($8.09, $6.09, and $4.32) for each of the three decreasing levels of ELP. Furthermore, we find a small yet statistically significant positive 7.2% correlation between immigrant families’ annual earnings and medical care spending propensities. Therefore investing to raise immigrants’ families ELP in the U.S. would not only contribute to more effective socio-economic integration, but also strengthen the U.S. workforce and economy for decades to come.

Supplementary and Associated Material

Subject Areas

English proficiency, Earnings, Immigrants, MCMC, Medical Care Spending

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