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Settling for Academia?: H-1B Visas and the Career Choices of International Students in the United States

Author

Listed:
  • Catalina Amuedo-Dorantes
  • Delia Furtado

Abstract

The yearly cap on H-1B visas became binding for the first time in 2004, making it harder for college-educated foreigners to work in the United States. However, academic institutions are exempt from the cap, and citizens of five countries (Canada, Mexico, Chile, Singapore, and Australia) have access to alternative work visas. We exploit these exemptions to gauge how immigrant career choices have been affected by the binding visa cap. Among other impacts, the binding cap raises international students’ likelihood of employment in academia, even outside of their field of study, a result consistent with the notion of “settling” for academia.

Suggested Citation

  • Catalina Amuedo-Dorantes & Delia Furtado, 2019. "Settling for Academia?: H-1B Visas and the Career Choices of International Students in the United States," Journal of Human Resources, University of Wisconsin Press, vol. 54(2), pages 401-429.
    • Handle: RePEc:uwp:jhriss:v:54:y:2019:i:2:p:401-429
    Note: DOI: 10.3368/jhr.54.2.0816.8167R1
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    File URL: http://jhr.uwpress.org/cgi/reprint/54/2/401
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    Cited by:

    1. Ganguli, Ina & Gaule, Patrick & Čugalj, Danijela Vuletić, 2020. "Biased Beliefs and Entry into Scientific Careers," IZA Discussion Papers 13475, Institute of Labor Economics (IZA).
    2. Ina Ganguli & Patrick Gaulé, 2019. "Will the US Keep the Best and the Brightest (as Postdocs)? Career and Location Preferences of Foreign STEM PhDs," NBER Chapters, in: The Roles of Immigrants and Foreign Students in US Science, Innovation, and Entrepreneurship, pages 49-69, National Bureau of Economic Research, Inc.
    3. Amuedo-Dorantes, Catalina & Furtado, Delia & Xu, Huanan, 2019. "OPT policy changes and foreign born STEM talent in the U.S," Labour Economics, Elsevier, vol. 61(C).
    4. Yinjunjie Zhang & Marco A. Palma, 2020. "The impact of the H-1B cap exemption on Ph.D. labor markets," Empirical Economics, Springer, vol. 59(5), pages 2125-2152, November.
    5. Mayda, Anna Maria & Ortega, Francesc & Peri, Giovanni & Shih, Kevin & Sparber, Chad, 2018. "The effect of the H-1B quota on the employment and selection of foreign-born labor," European Economic Review, Elsevier, vol. 108(C), pages 105-128.
    6. Kahn, Shulamit & MacGarvie, Megan, 2020. "The impact of permanent residency delays for STEM PhDs: Who leaves and why," Research Policy, Elsevier, vol. 49(9).
    7. Sparber, Chad, 2019. "Substitution between groups of highly-educated, foreign-born, H-1B workers," Labour Economics, Elsevier, vol. 61(C).
    8. Wei Yang Tham & Joseph Staudt & Elisabeth Ruth Perlman & Stephanie D. Cheng, 2024. "Scientific Talent Leaks Out of Funding Gaps," Papers 2402.07235, arXiv.org.
    9. W. David Allen, 2024. "Strategic employment of immigrant and native workers: Was the green card lottery a game changer?," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 45(1), pages 428-445, January.
    10. Cardoso, Miguel & Haan, Michael & Lombardo, Federico & Yoshida, Yoko, 2023. "Research on labour market impacts of the Temporary Foreign Worker Program," CLEF Working Paper Series 57, Canadian Labour Economics Forum (CLEF), University of Waterloo.
    11. Amuedo-Dorantes, Catalina & Furtado, Delia & Xu, Huanan, 2018. "Did OPT Policy Changes Help Steer and Retain Foreign Talent into Stem?," IZA Discussion Papers 11548, Institute of Labor Economics (IZA).
    12. Caroline Fry & Britta Glennon, 2025. "In Good Company: Coethnic Advisors and Career Paths of Immigrant Ph.D. Students," NBER Working Papers 33782, National Bureau of Economic Research, Inc.
    13. Ganguli, Ina & Gaulé, Patrick & Čugalj, Danijela Vuletić, 2022. "Chasing the academic dream: Biased beliefs and scientific labor markets," Journal of Economic Behavior & Organization, Elsevier, vol. 202(C), pages 17-33.
    14. Sun, Weizeng & Zhang, Sisi & Lin, Chengtao & Zheng, Siqi, 2021. "How do home purchase restrictions affect elite Chinese graduate students’ job search behavior?," Regional Science and Urban Economics, Elsevier, vol. 87(C).
    15. John Bound & Breno Braga & Gaurav Khanna & Sarah Turner, 2021. "The Globalization of Postsecondary Education: The Role of International Students in the US Higher Education System," Journal of Economic Perspectives, American Economic Association, vol. 35(1), pages 163-184, Winter.
    16. Catalina Amuedo‐Dorantes & Kevin Shih & Huanan Xu, 2023. "The implications of optional practical training reforms on international student enrollments and quality," Economic Inquiry, Western Economic Association International, vol. 61(2), pages 253-281, April.
    17. Anna Maria Mayda & Francesc Ortega & Giovanni Peri & Kevin Shih & Chad Sparber, 2018. "New Data and Facts on H-1B Workers across Firms," NBER Chapters, in: The Roles of Immigrants and Foreign Students in US Science, Innovation, and Entrepreneurship, pages 99-121, National Bureau of Economic Research, Inc.

    More about this item

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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