A study published by the National Bureau of Economic Research found that immigrants make significant contributions to entrepreneurship in many countries and are closely linked to economic growth and innovation.
Key Point:
- The new study, conducted by economists William R. Carr, Sahil A. Choudabadia, Sari Pekkala Carr, and Lewis J. Maiden, has been published as a draft in the upcoming book, Immigration and Innovation: A Research Agenda.
- Research shows that immigrants make up a quarter of new hires in the United States, and they are over-represented as founders of high-tech industries.
- In 2022, the four most valuable venture-backed private U.S. companies had immigrant founders.
- The study found that companies are more likely to obtain patents if they have immigrant owners, and companies founded by immigrants are up to 4.5% more likely to create new technologies.
- The authors say these findings suggest that immigrant entrepreneurs are more strongly associated with innovation, economic growth and labor adjustment, especially in the high-tech sector.
This alert is provided by the BAL US Practice Group.
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