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Increasing Canada's International Competitiveness: Is There a Link between Skilled Immigrants and Innovation?

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Author Info
Partridge, Jamie
Furtan, Hartley
Abstract

We use an augmented national ideas production function to examine skilled immigrants' impact on Canadian innovation at the provincial level. Empirically, this model was tested using Canadian data by province on innovation flow over an 11 year time period, where innovation flow is defined in terms of international (U.S.) patents. It was found that skilled immigrants, who are proficient in either English or French, have a significant and positive impact on innovation flow in their home province. Further, in examining skilled immigrants by source region, it was found that skilled immigrants from developed countries have the greatest impact on their home province's innovation flow. This is true of North American/European skilled immigrants for all skill-level categories including language proficiency, education, and immigrant class. For immigrants from developing countries, only highly educated Eastern Europeans and Low Income Asians classified as "Independent Workers" are both significant and positively related to their home province's innovation flow.

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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6504.

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Date of creation: 2008
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Handle: RePEc:ags:aaea08:6504

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Related research
Keywords: Canada; endogenous technological change; innovation; national ideas; production function; patents; skilled immigrants; Labor and Human Capital;

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  1. Antecol, Heather & Cobb-Clark, Deborah A. & Trejo, Stephen, 2001. "Immigration Policy and the Skills of Immigrants to Australia, Canada, and the United States," IZA Discussion Papers 363, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Richard B. Freeman, 2006. "People Flows in Globalization," NBER Working Papers 12315, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  3. James E. Rauch, 2001. "Business and Social Networks in International Trade," Journal of Economic Literature, American Economic Association, vol. 39(4), pages 1177-1203, December. [Downloadable!] (restricted)
  4. Borjas, George J, 1995. "The Economic Benefits from Immigration," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 3-22, Spring. [Downloadable!] (restricted)
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  5. Gould, David M, 1994. "Immigrant Links to the Home Country: Empirical Implications for U.S. Bilateral Trade Flows," The Review of Economics and Statistics, MIT Press, vol. 76(2), pages 302-16, May. [Downloadable!] (restricted)
  6. Scott Stern & Michael E. Porter & Jeffrey L. Furman, 2000. "The Determinants of National Innovative Capacity," NBER Working Papers 7876, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  7. Chellaraj, Gnanaraj & Maskus, Keith E. & Mattoo, Aaditya, 2005. "The contribution of skilled immigration and international graduate students to U.S. innovation," Policy Research Working Paper Series 3588, The World Bank. [Downloadable!]
  8. Greenwood, Michael J & McDowell, John M, 1991. "Differential Economic Opportunity, Transferability of Skills, and Immigration to the United States and Canada," The Review of Economics and Statistics, MIT Press, vol. 73(4), pages 612-23, November. [Downloadable!] (restricted)
  9. 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.
  10. Regets, Mark C., 2001. "Research and Policy Issues in High-Skilled International Migration: A Perspective with Data from the United States," IZA Discussion Papers 366, Institute for the Study of Labor (IZA). [Downloadable!]
  11. Grossman, Gene M & Helpman, Elhanan, 1994. "Endogenous Innovation in the Theory of Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 23-44, Winter. [Downloadable!] (restricted)
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  12. Michael E. Porter & Scott Stern, 2000. "Measuring the "Ideas" Production Function: Evidence from International Patent Output," NBER Working Papers 7891, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  13. James E. Rauch & Vitor Trindade, 2002. "Ethnic Chinese Networks In International Trade," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 116-130, February. [Downloadable!] (restricted)
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  14. Chander, Parkash & Thangavelu, Shandre M., 2004. "Technology adoption, education and immigration policy," Journal of Development Economics, Elsevier, vol. 75(1), pages 79-94, October. [Downloadable!] (restricted)
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