The purpose of this article is to extend the empirical literature on Chicano return migration by examining earnings differentials between return and onward Chicano migrants. Our approach reflects the complexity of estimating such effects in terms of selectivity biases and the interaction between individual and locational attributes. We use data derived from the public use microdata sample (PUMS) of the 1990 U.S. census. After controlling for migration and labor force self-selection, results indicate that Chicano return migrants are not negatively self-selected. Chicano return migrants have smaller earnings profiles largely due to the negative effects of living in areas with higher concentrations of co-ethnics. Apparently, return migrants, at least in the short run, are willing to accept lower earnings for the nonpecuniary benefits of living in the Southwest.
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