A scarce literature deals with the consumption implications of cultural assimilation and integration, ethnic clustering and diasporas, the marginal propensity to consume, home production and allocation of time, ethnic consumption, migration, and trade, as well as native consumption responses....

The speed at which immigrants assimilate is the subject of debate. Human capital formation plays a major role in this discussion. This paper compares the educational attainment of second generation immigrants to those of natives in the same age cohort. Evidence using a large German data set...