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The Impact of Input in Scientific Research and Experimental Development on the Survival of Immigrant Firms in Canada

Author

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  • Nong Zhu

    (Institut National de la Recherche Scientifique – Centre Urbanisation Culture Société)

  • Jianwei Zhong

    (Immigration, Refugees and Citizenship Canada (IRCC))

Abstract

The academic literature validates the beneficial relationship between immigrants, innovation, and economic prosperity. Immigrants are not only the important contributors to the Canadian workforce but also the indispensable source for entrepreneurships and the innovative capabilities of firms in Canada. This study aims to examine the impact of the expenditure qualifying for the Scientific Research and Experimental Development (SR&ED) on survival of firms owned by immigrants. We apply the survival models to the Canadian Employer-Employee Dynamics Database (CEEDD). The results show that the input in SR&ED significantly reduces firms’ risk of closure. Firms’ and the owners’ characteristics, such as total capital, diversity, human capital, and immigration category, are also key factors for the firm survival.

Suggested Citation

  • Nong Zhu & Jianwei Zhong, 2025. "The Impact of Input in Scientific Research and Experimental Development on the Survival of Immigrant Firms in Canada," Journal of International Migration and Integration, Springer, vol. 26(1), pages 53-76, March.
    • Handle: RePEc:spr:joimai:v:26:y:2025:i:1:d:10.1007_s12134-024-01181-6
    DOI: 10.1007/s12134-024-01181-6
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    JEL classification:

    • C42 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Survey Methods
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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