THE WEALTH AND ASSET HOLDINGS OF U.S.-BORN AND FOREIGN-BORN HOUSEHOLDS: EVIDENCE FROM SIPP DATA

Authors


  • Note: The authors would like to thank seminar participants at the Australian National University and at the 2002 Australasian meetings of the Econometric Society and two anonymous referees for many useful comments. Vincent Hildebrand acknowledges support from the Social and Economic Dimensions of an Aging Population (SEDAP) Research Program. All errors remain our own.

*Vincent Hildebrand, Department of Economics, 363 York Hall, Glendon College, York University, Toronto, Ontario, M4N 3M6, Canada (vincent@econ.yorku.ca).

Abstract

SIPP data are used to analyze the wealth of the U.S. foreign-born population. We find that the median wealth level of U.S.-born couples is 2.5 times the median of foreign-born couples, while the median wealth level of U.S.-born singles is three times that of foreign-born singles. Further, there is a great deal of diversity in wealth within the immigrant population. Diversity in net worth manifests itself primarily in source-region differences, while entry-cohort is more closely related to portfolio choices. Established immigrants hold less and recent immigrants hold more financial wealth. An opposite pattern emerges with respect to real estate equity.

Ancillary