Economic Returns to Chinese Immigrants in the Enclave and Mainstream Economy: The Case of Toronto and Vancouver

Abstract

This study uses data from the 2006 Canadian census on male and female immigrants from Mainland China and Hong Kong to measure the differences in economic returns between those working in the enclave economy and those working in the mainstream economy. As in Li and Dong (2007), the distinction between enclave economy and mainstream economy is based on the language most often used at work. The analysis is done for employed and self-employed workers residing in Toronto and Vancouver. The results show that the Chinese immigrants in the enclave economy have lower economic returns than their counterparts in the mainstream economy. They also indicate that immigrants who worked as employed workers have an earnings advantage compared with those who are self-employed in the mainstream economy, and that the economic returns of the Mainland Chinese-born are lower than those of the Hong Kong Chinese-born.