
Contents
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6.1 Introduction 6.1 Introduction
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6.2 Data 6.2 Data
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6.3 Methods 6.3 Methods
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6.4 Results 6.4 Results
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6.5 Conclusion 6.5 Conclusion
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References References
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6 Immigrant Entrepreneurs and Innovation in the US High-Tech Sector
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Published:February 2020
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Abstract
We estimate differences in innovation behavior between foreign versus U.S.-born entrepreneurs in high-tech industries. Our data come from the Annual Survey of Entrepreneurs, a random sample of firms with detailed information on owner characteristics and innovation activities. We find uniformly higher rates of innovation in immigrant-owned firms for 15 of 16 different innovation measures; the only exception is for copyright/trademark. The immigrant advantage holds for older firms as well as for recent start-ups and for every level of the entrepreneur’s education. The size of the estimated immigrant-native differences in product and process innovation activities rises with detailed controls for demographic and human capital characteristics but falls for R&D and patenting. Controlling for finance, motivations, and industry reduces all coefficients, but for most measures and specifications immigrants are estimated to have a sizable advantage in innovation.
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