Immigration and innovation in European regions

Özgen, Ceren; Nijkamp, Peter; Poot, Jacques

doi:10.4337/9780857934581.00017

Cited by 69 publications

(77 citation statements)

References 52 publications

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“…A promising start has also been made with the analysis of the interrelationships between cultural diversity and economic performance in Europe (Bellini et al, 2008;Suedekum et al, 2014;Ozgen et al, 2012). While most research finds that there is a positive causal link from migrant diversity to regional productivity and innovation, the relationship is complex and may be specific to certain industries, types of firm, or types of workers (for a review, see Ozgen et al, 2014).…”

Section: Highlights In His Bookmentioning

confidence: 99%

Cultural diversity: a matter of measurement

Nijkamp

Poot²

2015

The Economics of Cultural Diversity

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E SIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author.IZA Discussion Paper No. 8782 January 2015 ABSTRACTCultural Diversity: A Matter of Measurement * Cultural diversity -in various forms -has in recent years turned into a prominent and relevant research and policy issue. There is an avalanche of studies across many disciplines that measure and analyse cultural diversity and its impacts. Based on different perspectives and features of the available data, a great variety of diversity indicators have emerged. The present paper aims to highlight some critical issues involved in applying such measures of cultural diversity. A selection of commonly used or recently advocated measures are reviewed. Measures of population diversity can be calculated at different spatial scales and used to analyse spatio-temporal heterogeneity. Additionally, there is a growing interest in measuring spatial dependence, particularly in the form of segregation or clusters. We conclude that there will be in the future considerable scope for adopting multidimensional and cultural distance-weighted measures of diversity. Such measures will be increasingly calculated by means of rich geo-referenced longitudinal micro data. However, adopted measures must be better motivated by behavioural theories. Further research on the determinants and impacts of observed measures of diversity is also likely to be fruitful, particularly in a dynamical setting.JEL Classification: C00, D63, J15, R23, Z13

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Section: Highlights In His Bookmentioning

confidence: 99%

Cultural diversity: a matter of measurement

Nijkamp

Poot²

2015

The Economics of Cultural Diversity

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“…Alesina, Harnoss and Rapoport (2013) in their country-level analyses find that the diversity of migrants in terms of country of birth is positively associated with TFP and the effect is more prominent for the diversity of highly-skilled migrants. Using data at the regional level for European countries Ozgen, Nijkamp and Poot (2012) find that patent applications are positively associated with the diversity of the immigrant community in the region measured by the fractionalization index; an increase from 0.1 to 0.5 increases the number of patent applications per million inhabitants by 0.2 %. A similar positive effect of migrant diversity on patent production in European regions is found by Dohse and Gold (2014), while Niebuhr (2010) finds a positive effect of diversity among German provinces.…”

Section: Background Literaturementioning

confidence: 99%

“…Finally another recent stream of literature has investigated the effect of the ethnic diversity of the labor force on the innovative performances of firms, regions and countries, finding in most cases a positive effect of diversity on productivity growth and innovation (Alesina, Harnoss and Rapoport, 2013;Ozgen, Nijkamp and Poot, 2012). Therefore the inflow of new migrants in Europe from different countries, by increasing the overall diversity of the labor force, might also spur innovation.…”

Section: Introductionmentioning

confidence: 99%

“…We, then, measure the impact of the share of migrants, controlling for their education levels, their age and the diversity of their countries of origin, on the growth of Total Factor Productivity. We adopt an aggregate level of analysis, in a similar way to existing studies that measure the effect of the share of migrants and of their diversity on the productivity growth of regions and countries (Ortega and Peri, 2012;Ozgen, Nijkamp and Poot, 2012;Alesina, Harnoss and Rapoport, 2013). However, unlike these studies that adopt a geographical approach and use provinces, regions or countries as their preferred unit of analysis, we measure the link between migration and productivity growth at the sectoral level.…”

Section: Introductionmentioning

confidence: 99%

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Human Resources and Innovation: Total Factor Productivity and Foreign Human Capital

Fassio¹,

Kalantaryan

Venturini

2015

SSRN Journal

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Human Resources and Innovation: Total Factor Productivity and Foreign Human Capital 1The objective of this paper is to analyse the role of migrants in innovation in Europe. We use Total Factor Productivity as a measure of innovation and focus on the three largest European countries -France, Germany and the United Kingdom -in the years 1994-2007. Unlike previous research, which mainly employs a regional approach, we analyse the link between migration and innovation at the sectoral level. This allows us to measure the direct contribution of migrants in the sector in which they are actually employed. Moreover, it allows a distinction between the real contribution of migrants to innovation from possible intersectoral complementarities, which might as well foster innovation. We control for the different components of human-capital, such as age, education and diversity of origin. To address the possible endogeneity of migration we draw on an instrumental variable strategy originally devised by Card (2001) and adapt it at the sector level. The results show that overall migrants are relevant in all sectors, but some important differences emerge across sectors: highly-educated migrants show a larger positive effect in the high-tech sectors, while middleand low-educated ones are more relevant in manufacturing. The diversity of countries of origin contributes to innovation only in the services sectors, confirming that in empirical analyses at the regional or national level the diversity measure might capture the complementarity between sectors rather than the contribution of different national skills. JEL Classification:F22, F66, O31, O32

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“…S ince Gould's (1994) pioneering paper, there has been significant growth in the number of studies examining the economics of the migration-trade nexus (see, for example, Head and Rises, 1998;Partridge and Furtan, 2008;Hunt and Gauthier-Loiselle, 2009;Ozgen et al, 2011;Egger et al, 2012;Rashidi and Pyka, 2013). Most of this research has provided evidence in favour of the pro-trade effect of migration (see Genc et al, 2012 for a meta-analysis).…”

Section: Introductionmentioning

confidence: 99%

Assessing the role of migration as trade-facilitator using the statistical mechanics of cooperative systems

et al. 2016

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Interactions between natives and foreign-born individuals may help to stimulate the development and the diversification of bilateral trade relationships. In fact, migrants act as trade facilitators reducing transaction costs in export activities and, consequently, more local firms are able to establish new trade relationships abroad. The pro-trade effect of migration is well evidenced in several works where the shape of the trade-migration relationship has been examined empirically; however, they all lack an analytical model that enables them to predict the expected non-linear relationship between migration and trade. Here, using statistical mechanics tools we develop a simple model that demonstrates that there is a positive non-linear relationship between the extensive margin of trade and the proportion of migrants in the total population. Data on Spanish trade and migration provide support for the predictions made by the theoretical model. The model also suggests the need of a critical mass of migrants before their interactions with the natives have any effective impact on trade. The threshold is sensitive to the nationality of the migrants, suggesting that cultural differences between natives and migrants may affect the number of migrants needed to generate a positive impact on trade. Furthermore, we examine the possible relationship between the share of migrants in the total population and the extent of diversification of the portfolio of exported goods, finding evidence of a strong positive correlation. Our approach can be used to examine other related issues such as the impact of formal or informal firm networks on trade.

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Immigration and innovation in European regions

Cited by 69 publications

References 52 publications

Cultural diversity: a matter of measurement

Cultural diversity: a matter of measurement

Human Resources and Innovation: Total Factor Productivity and Foreign Human Capital

Assessing the role of migration as trade-facilitator using the statistical mechanics of cooperative systems

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