Do Foreign Experts Increase the Productivity of Domestic Firms?
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Do Foreign Experts Increase the Productivity of Domestic Firms? / Malchow-Møller, Nikolaj; Munch, Jakob Roland; Skaksen, Jan Rose.
I: Scandinavian Journal of Economics, Bind 121, Nr. 2, 05.10.2017, s. 517-546.Publikation: Bidrag til tidsskrift › Tidsskriftartikel › Forskning › fagfællebedømt
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TY - JOUR
T1 - Do Foreign Experts Increase the Productivity of Domestic Firms?
AU - Malchow-Møller, Nikolaj
AU - Munch, Jakob Roland
AU - Skaksen, Jan Rose
PY - 2017/10/5
Y1 - 2017/10/5
N2 - While most countries welcome (and some even subsidize) high‐skilled immigrants, there is very limited evidence of their importance for domestic firms. To guide our empirical analysis, we first set up a simple theoretical model to show how foreign experts can affect the productivity and wages of domestic firms. Using matched worker–firm data from Denmark and a matching difference‐in‐differences approach, we then find that firms that hire foreign experts instead of domestic experts become more productive, in the sense that they pay higher wages to high‐skilled co‐workers.
AB - While most countries welcome (and some even subsidize) high‐skilled immigrants, there is very limited evidence of their importance for domestic firms. To guide our empirical analysis, we first set up a simple theoretical model to show how foreign experts can affect the productivity and wages of domestic firms. Using matched worker–firm data from Denmark and a matching difference‐in‐differences approach, we then find that firms that hire foreign experts instead of domestic experts become more productive, in the sense that they pay higher wages to high‐skilled co‐workers.
KW - immigrants
KW - matching difference-in-differences
KW - STEM workers
U2 - 10.1111/sjoe.12286
DO - 10.1111/sjoe.12286
M3 - Journal article
VL - 121
SP - 517
EP - 546
JO - Scandinavian Journal of Economics
JF - Scandinavian Journal of Economics
SN - 0347-0520
IS - 2
ER -
ID: 241426749