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Immigrants and firms’ outcomes: Evidence from France

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Date
2017-07
Dewey
Economie du travail
Sujet
Immigrants; Firms; Productivity; Heterogeneity; Export
JEL code
F.F2.F22; E.E2.E25; J.J6.J61
Journal issue
European Economic Review
Volume
96
Number
July
Publication date
07-2017
Article pages
62-82
Publisher
Elsevier
DOI
http://dx.doi.org/10.1016/j.euroecorev.2017.05.001
URI
https://basepub.dauphine.fr/handle/123456789/20993
Collections
  • LEDa : Publications
Metadata
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Author
Mitaritonna, Cristina
39083 Centre d'Etudes Prospectives et d'Informations Internationales [CEPII]
Orefice, Gianluca
39083 Centre d'Etudes Prospectives et d'Informations Internationales [CEPII]
559342 Laboratoire d'Economie de Dauphine [LEDa]
Peri, Giovanni
34009 Department of Economics, University of California
Type
Article accepté pour publication ou publié
Abstract (EN)
In this paper we analyze the impact of an increase in the local supply of immigrants on firms’ outcomes, allowing for heterogeneous effects across firms. Using micro-level data on French manufacturing firms spanning the period 1995–2005, we show that a supply-driven increase in the share of foreign-born workers in a French département (a small geographic area) increased the total factor productivity of firms in that département. We also find this effect to be significantly stronger for firms with low initial productivity and small size. The positive productivity effect of immigrants was also associated with faster growth of capital, larger exports, and higher wages for natives. Highly-skilled natives, in competition with immigrants, moved towards firms hiring fewer immigrants spreading positive productivity effects to those firms too.

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