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Replication of "How Much Does Immigration Boost Innovation?"

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  • Wright, Taylor
Abstract
A common approach to identifying the causal impact of immigration on outcomes involves using a "shift-share" or Bartik instrument exploiting country-specific immigration in ows (shifts) and location specific prior shares for the same countries. New econometric findings suggest this instrumental variables approach uses identifying variation not from the shifts, as previously believed, but rather from the shares and suggest a battery of checks to explore the sensitivity of estimates. In this note, I first replicate Hunt and Gauthier-Loiselle (2010) which estimates the effects of immigration on innovation via patenting, and second deploy these new checks from the econometric literature on shift-share instruments. I find that the results of Hunt and Gauthier-Loiselle (2010) (skilled immigration increases innovation and has positive spillovers on the innovation of others) replicate and hold up well to these new tests.

Suggested Citation

  • Wright, Taylor, 2022. "Replication of "How Much Does Immigration Boost Innovation?"," I4R Discussion Paper Series 4, The Institute for Replication (I4R).
    • Handle: RePEc:zbw:i4rdps:4
    as

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    References listed on IDEAS

    as
    1. Kirill Borusyak & Peter Hull & Xavier Jaravel, 2022. "Quasi-Experimental Shift-Share Research Designs," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 89(1), pages 181-213.
    2. Jennifer Hunt & Marjolaine Gauthier-Loiselle, 2010. "How Much Does Immigration Boost Innovation?," American Economic Journal: Macroeconomics, American Economic Association, vol. 2(2), pages 31-56, April.
    3. David Card, 2009. "Immigration and Inequality," American Economic Review, American Economic Association, vol. 99(2), pages 1-21, May.
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    5. Rodrigo Ad~ao & Michal Koles'ar & Eduardo Morales, 2018. "Shift-Share Designs: Theory and Inference," Papers 1806.07928, arXiv.org, revised Aug 2019.
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