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Cultural diversity and plant-level productivity

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  • Trax, Michaela
  • Brunow, Stephan
  • Suedekum, Jens

Abstract

Using comprehensive data for German establishments, we estimate plant-evel production functions to analyze if cultural diversity affects total factor productivity. We distinguish diversity in the establishment's workforce and in the aggregate labor force of the region where the plant is located. We find that a larger share of foreign workers . either in the establishment or in the region . does not affect productivity. However, there are spillovers associated with the degree of fractionalization of the group of foreigners into different nationalities. The aggregate level is, quantitatively, at least as important for productivity as the workforce composition inside the establishment. --

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Bibliographic Info

Paper provided by Heinrich‐Heine‐Universität Düsseldorf, Düsseldorf Institute for Competition Economics (DICE) in its series DICE Discussion Papers with number 119.

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Date of creation: 2013
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Handle: RePEc:zbw:dicedp:119

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Keywords: cultural diversity; plant-level productivity; knowledge spillovers;

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Citations

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Cited by:
  1. Alberto Alesina & Johann Harnoss & Hillel Rapoport, 2013. "Birthplace Diversity and Economic Prosperity," NBER Working Papers 18699, National Bureau of Economic Research, Inc.
  2. Ceren Ozgen, 2011. "The Impact of Cultural Diversity on Innovation: Evidence from Dutch Firm-Level Data," Norface Discussion Paper Series, Norface Research Programme on Migration, Department of Economics, University College London 2011013, Norface Research Programme on Migration, Department of Economics, University College London.
  3. Neil Lee, 2013. "Cultural Diversity, Cities and Innovation: firm Effects or City Effects?," SERC Discussion Papers 0144, Spatial Economics Research Centre, LSE.
  4. Cristina Mitaritonna & Gianluca Orefice & Giovanni Peri, 2014. "Immigrants and Firms' Productivity: Evidence from France," Working Papers 2014-09, CEPII research center.
  5. Ozgen, Ceren & Nijkamp, Peter & Poot, Jacques, 2011. "The Impact of Cultural Diversity on Innovation: Evidence from Dutch Firm-Level Data," IZA Discussion Papers 6000, Institute for the Study of Labor (IZA).
  6. Ceren Ozgen & Thomas de Graff, 2013. "Sorting out the impact of cultural diversity on innovative firms. An empirical analysis of Dutch micro-data," Norface Discussion Paper Series, Norface Research Programme on Migration, Department of Economics, University College London 2013012, Norface Research Programme on Migration, Department of Economics, University College London.
  7. Dr Max Nathan, 2013. "The Wider Economic Impacts Of High-Skilled Migrants: A Survey Of The Literature," NIESR Discussion Papers, National Institute of Economic and Social Research 11607, National Institute of Economic and Social Research.
  8. de la Rica, Sara & Glitz, Albrecht & Ortega, Francesc, 2013. "Immigration in Europe: Trends, Policies and Empirical Evidence," IZA Discussion Papers 7778, Institute for the Study of Labor (IZA).
  9. Ceren Ozgen & Peter Nijkamp & Jacques Poot, 2013. "The impact of cultural diversity on firm innovation: evidence from Dutch micro-data," IZA Journal of Migration, Springer, vol. 2(1), pages 1-24, December.
  10. Max Nathan, 2014. "The wider economic impacts of high-skilled migrants: a survey of the literature for receiving countries," IZA Journal of Migration, Springer, vol. 3(1), pages 1-20, December.
  11. Ethan Lewis & Giovanni Peri, 2014. "Immigration and the Economy of Cities and Regions," NBER Working Papers 20428, National Bureau of Economic Research, Inc.
  12. Uwe Blien & Linda Borrs & Jens Südekum & Katja Wolf, 2014. "Local Labour Markets and Cultural Diversity," CESifo DICE Report, Ifo Institute for Economic Research at the University of Munich, Ifo Institute for Economic Research at the University of Munich, vol. 12(2), pages 27-34, 07.
  13. Stephan Brunow & Bastian Stockinger, 2013. "Establishments' and Regions' Cultural Diversity as a Source of Innovation: Evidence from Germany," Norface Discussion Paper Series, Norface Research Programme on Migration, Department of Economics, University College London 2013022, Norface Research Programme on Migration, Department of Economics, University College London.
  14. Longhi, Simonetta, 2013. "Impact of cultural diversity on wages, evidence from panel data," Regional Science and Urban Economics, Elsevier, vol. 43(5), pages 797-807.
  15. Thomas Kemeny, 2013. "Immigrant Diversity and Economic Development in Cities: A Critical Review," SERC Discussion Papers 0149, Spatial Economics Research Centre, LSE.
  16. Stephan Brunow & Valentina Nafts, 2013. "What types of firms tend to be more innovative: A study on Germany," Norface Discussion Paper Series, Norface Research Programme on Migration, Department of Economics, University College London 2013021, Norface Research Programme on Migration, Department of Economics, University College London.

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