Arbeitspapier
Does Emigration Drain Entrepreneurs?
Emigration of young, motivated individuals may deprive countries-of-origin of entrepreneurs. We isolate exogenous variation in a large emigration wave from Italy between 2008 and 2015 by interacting diaspora networks with economic pull factors in destination countries, and find that larger emigration rates reduced firm creation and innovative start-ups. We estimate that for every 100 emigrants, 26 fewer firms were created. An accounting exercise shows that 37 percent of the effect was due to the disproportionate loss of young people. The remaining effect was due to selection into emigration of highly entrepreneurial individuals, as well as negative spillovers on firm creation.
- Language
-
Englisch
- Bibliographic citation
-
Series: IZA Discussion Papers ; No. 13390
- Classification
-
Wirtschaft
Geographic Labor Mobility; Immigrant Workers
New Firms; Startups
- Subject
-
emigration
demography
brain drain
entrepreneurship
innovation
EU integration
- Event
-
Geistige Schöpfung
- (who)
-
Anelli, Massimo
Basso, Gaetano
Ippedico, Giuseppe
Peri, Giovanni
- Event
-
Veröffentlichung
- (who)
-
Institute of Labor Economics (IZA)
- (where)
-
Bonn
- (when)
-
2020
- Handle
- Last update
-
10.03.2025, 11:44 AM CET
Data provider
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ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Anelli, Massimo
- Basso, Gaetano
- Ippedico, Giuseppe
- Peri, Giovanni
- Institute of Labor Economics (IZA)
Time of origin
- 2020
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