Konferenzbeitrag

Do immigrants attract FDI? District-level evidence from Germany

Using novel German district-level data from 1999-2011, this paper analyses whether the presence of immigrants in a particular location helps to attract inward FDI from the immigrants' country of origin. Results show that a one standard-deviation increase in the immigrant share is associated with a 3.3% rise in firm entry. This effect is stronger for an investor's first entry into Germany, and there is indication that firms from developing countries depend more on immigrants. A quasi-natural experiment exploiting the migration of ethnic Germans from the former Soviet Union in the 1990s (`Sp taussiedler') confirms the results.

Language
Englisch

Bibliographic citation
Series: Beiträge zur Jahrestagung des Vereins für Socialpolitik 2015: Ökonomische Entwicklung - Theorie und Politik - Session: Foreign Direct Investment I ; No. D05-V3

Classification
Wirtschaft
Empirical Studies of Trade
International Migration
Multinational Firms; International Business

Event
Geistige Schöpfung
(who)
Li, Chen
Event
Veröffentlichung
(when)
2015

Handle
Last update
10.03.2025, 11:45 AM CET

Data provider

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Object type

  • Konferenzbeitrag

Associated

  • Li, Chen

Time of origin

  • 2015

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