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Birthplace diversity of immigrants, capabilities and export structure transformation

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  • Zhou, Ying
  • Fan, Zhaobin
  • Anwar, Sajid

Abstract

Recent studies have shown that export structure transformation matters for sustainable economic growth, but what drives export structure transformation remains an open question. Using data from 56 countries for the years 1990 and 2000, this paper investigates whether birthplace diversity of immigrants facilitates export structure transformation (measured by diversification and ubiquity of exports) of destination countries. Our empirical results show that birthplace diversity of immigrants leads to more diversified and less ubiquitous export structure, and this effect applies to birthplace diversity of both skilled and unskilled immigrant groups. Birthplace diversity of immigrants affects export structure through increasing production capabilities within destination countries. Production capabilities increase through pooling and creating effects of birthplace diversity of immigrants.

Suggested Citation

  • Zhou, Ying & Fan, Zhaobin & Anwar, Sajid, 2023. "Birthplace diversity of immigrants, capabilities and export structure transformation," Economic Modelling, Elsevier, vol. 119(C).
    • Handle: RePEc:eee:ecmode:v:119:y:2023:i:c:s0264999322003625
    DOI: 10.1016/j.econmod.2022.106125
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    More about this item

    Keywords

    Birthplace diversity of immigrants; Transformation of export structure; Export diversification; Export ubiquity; Panel data analysis;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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