Literature examining immigrants’ educational disadvantage across countries focuses generally on average differences in educational outcomes between immigrants and natives disguising thereby that immigrants are a highly heterogeneous group. The aim of this paper is to examine educational...

We exploit rules of class formation to identify the causal effect of increasing the number of immigrants in a classroom on natives test scores, keeping class size constant (Pure Composition Effect). We explain why this is a relevant policy parameter although it has been neglected so far. We show...