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Christian Dustmann is Professor of Economics at University College London and Director at the Centre for Research and Analysis of Migration (CReAM).

Malte Sandner is Professor of Data Science and Empirical Economics at the Nueremberg Institute for Technology and Senior Researcher at the Institute for Employment Research (IAB), Nürnberg.

Uta Schönberg is Professor of Economics at the University of Hong Kong, at University College London, and the Institute for Employment Research (IAB), Nürnberg, and Director at the Centre for Research and Analysis of Migration (CReAM). This paper uses confidential data from school entry examinations of three German federal states. The data can be obtained by filing a request directly with the federal states. The authors are willing to assist ([email protected]).