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Talent flows and the geography of knowledge production: causal evidence from multinational firms

Bahar, Dany, Choudhury, Raj, Signorelli, Sara and Sappenfield, James M. (2022) Talent flows and the geography of knowledge production: causal evidence from multinational firms. Working paper (22-047). Harvard Business School.

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Abstract

Leveraging a unique dataset merging patent data with all work-related migration reforms that took place in 15 countries over 26 years, we show that reforms discouraging inventor mobility decrease the patenting of MNE subsidiaries within a country, while reforms encouraging it have a positive but much smaller effect. Additionally, reforms adopted in the U.S. affect innovation in other countries in the opposite direction, highlighting the existence of a global competition for talent. Finally, we find that policies easing migration have facilitated about half of the shift in global innovation toward emerging markets.

Item Type: Monograph (Working Paper)
Additional Information: © 2021, 2022 The Authors
Divisions: LSE
Subjects: H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HC Economic History and Conditions
JEL classification: O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development > O33 - Technological Change: Choices and Consequences; Diffusion Processes
O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O15 - Human Resources; Human Development; Income Distribution; Migration
F - International Economics > F2 - International Factor Movements and International Business > F22 - International Migration
Date Deposited: 14 Jul 2025 14:15
Last Modified: 15 Jul 2025 23:18
URI: http://eprints.lse.ac.uk/id/eprint/128812

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