Cookies?
Library Header Image
LSE Research Online LSE Library Services

Spillovers from immigrant diversity in cities

Kemeny, Thomas and Cooke, Abigail (2015) Spillovers from immigrant diversity in cities. SERC discussion papers (SERCDP0175). Spatial Economics Research Centre, London, UK.

[img]
Preview
PDF
Download (1MB) | Preview

Abstract

Using comprehensive longitudinal matched employer-employee data for the U.S., this paper provides new evidence on the relationship between productivity and immigration-spawned urban diversity. Existing empirical work has uncovered a robust positive correlation between productivity and immigrant diversity, supporting theory suggesting that diversity acts as a local public good that makes workers more productive by enlarging the pool of knowledge available to them, as well as by fostering opportunities for them to recombine ideas to generate novelty. This paper makes several empirical and conceptual contributions. First, it improves on existing empirical work by addressing various sources of potential bias, especially from unobserved heterogeneity among individuals, work establishments, and cities. Second, it augments identification by using longitudinal data that permits examination of how diversity and productivity co-move. Third, the paper seeks to reveal whether diversity acts upon productivity chiefly at the scale of the city or the workplace. Findings confirm that urban immigrant diversity produces positive and nontrivial spillovers for U.S. workers. This social return represents a distinct channel through which immigration generates broad-based economic benefits.

Item Type: Monograph (Discussion Paper)
Official URL: http://www.spatialeconomics.ac.uk/
Additional Information: © 2015 The Authors
Divisions: Spatial Economics Research Centre
Subjects: H Social Sciences > HC Economic History and Conditions
J Political Science > JV Colonies and colonization. Emigration and immigration. International migration
JEL classification: F - International Economics > F2 - International Factor Movements and International Business > F22 - International Migration
J - Labor and Demographic Economics > J6 - Mobility, Unemployment, and Vacancies > J61 - Geographic Labor Mobility; Immigrant Workers
O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O18 - Regional, Urban, and Rural Analyses
O - Economic Development, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity
Sets: Research centres and groups > Spatial Economics Research Centre
Collections > Economists Online
Date Deposited: 08 Dec 2015 10:29
Last Modified: 23 Aug 2019 23:27
Funders: Economic and Social Research Council, Department for Business, Innovation & Skills, Welsh Government
URI: http://eprints.lse.ac.uk/id/eprint/64616

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year

View more statistics