Working Paper: NBER ID: w20069
Authors: Sari Pekkala Kerr; William R. Kerr; William F. Lincoln
Abstract: Firms play a central role in the selection, sponsorship, and employment of skilled immigrants entering the United States for work through programs like the H-1B visa. This role has not been widely recognized in the literature, and the data to better understand it have only recently become available. This chapter discusses the evidence that has been assembled to date in understanding the impact of high skilled immigration from the perspective of the firm and the open areas that call for more research. Since much of the U.S. immigration process for skilled workers rests in the hands of employer firms, a stronger understanding of these implications is essential for future policy analysis, particularly for issues relating to fostering innovation.
Keywords: skilled immigration; H1B visa; firm dynamics; innovation; labor market
JEL Codes: F15; F22; F23; J15; J31; J44; L14; L26; O31; O32; O33
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| employment of skilled immigrants (J68) | overall firm employment growth (J23) |
| employment of skilled immigrants (J68) | innovation outcomes (O36) |
| 10% increase in H1B admissions (J68) | 3% increase in firm invention growth (O31) |
| influx of skilled immigrants in STEM fields (J61) | technological development and commercialization (O39) |
| skilled immigration (J61) | displacement of older native workers (J63) |