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The export effect of immigration into the USA

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Author Info
Catherine Y. Co
Patricia Euzent
Thomas Martin

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Abstract

Much has been written on the connection between migration and international trade. Human history provides important examples of migrations leading to increased trade activity, with perhaps the most well-known example of the 'Overseas Chinese'. This study investigates the trade-related importance of Chinese and other immigrants into the USA. Previous studies may have underestimated (or overestimated) the relationship between trade and migration with nations treated as featureless plains rather than as varied landscapes. This study contends that an understanding of the immigration-trade relationship can be improved upon by examining the specific pattern and destination of immigration into specific US states. Using state level export data to 28 immigrant source countries in 1993, a strong immigration-trade link is found, reinforcing conclusions made by previous research using country level data. The compelling connection between immigration and trade found in this study and others suggests that future changes to US immigration policies necessitate that their trade effects also be taken into account.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Applied Economics.

Volume (Year): 36 (2004)
Issue (Month): 6 (April)
Pages: 573-583
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Handle: RePEc:taf:applec:v:36:y:2004:i:6:p:573-583

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  1. Jonathan Eaton & Samuel Kortum, 1997. "Technology and Bilateral Trade," Boston University - Institute for Economic Development 79, Boston University, Institute for Economic Development.
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  2. Deardorff, A.V., 1995. "Determinants of Bilateral Trade : Does Gravity Work in a Neoclassical World?," Papers 95-05, Michigan - Center for Research on Economic & Social Theory.
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  3. Keith Head & John Ries, 1998. "Immigration and Trade Creation: Econometric Evidence from Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 31(1), pages 47-62, February.
  4. Robert C. Feenstra & Wen Hai & Wing T. Woo & Shunli Yao, 1998. "The US-China Bilateral Trade Balance: Its Size and Determinants," NBER Working Papers 6598, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  1. Subhayu Bandyopadhyay & Cletus C. Coughlin & Howard J. Wall, 2006. "Ethnic Networks and U.S. Exports," IZA Discussion Papers 1998, Institute for the Study of Labor (IZA). [Downloadable!]
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  2. Giovanni Peri & Francisco Requena, 2009. "The Trade Creation Effect of Immigrants: Testing the Theory on the Remarkable case of Spain," Development Working Papers 275, Centro Studi Luca d\'Agliano, University of Milano. [Downloadable!]
    Other versions:
  3. Ben Dolman, 2007. "Patterns of Migration, Trade and Foreign Direct Investment across OECD Countries," DEGIT Conference Papers c012_030, DEGIT, Dynamics, Economic Growth, and International Trade. [Downloadable!]
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