We use a newly available measure of linguistic distance developed by the German Max Planck Institute for Evolutionary Anthropology to explain heterogeneity in language skills of immigrants. This measure is based on an automatical algorithm comparing pronunciation and vocabulary of language...

This study examines the returns to foreign and local language skills of immigrants in the Spanish labor market. Different sources of endogeneity are addressed by deriving a set of novel instruments for language proficiency through a measure of linguistic dissimilarity. Using cross-sectional data...