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Indian Entrepreneurial Success in the United States, Canada, and the United Kingdom

In: Research in Labor Economics

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  • Robert W. Fairlie
  • Harry Krashinsky
  • Julie Zissimopoulos
  • Krishna B. Kumar

Abstract

Indian immigrants in the United States and other wealthy countries are successful in entrepreneurship. Using Census data from the three largest developed countries receiving Indian immigrants in the world – the United States, the United Kingdom, and Canada – we examine the performance of Indian entrepreneurs and explanations for their success. We find that business income of Indian entrepreneurs in the United States is substantially higher than the national average and is higher than for any other immigrant group. Approximately half of the average difference in income between Indian entrepreneurs and the national average is explained by their high levels of education while industry differences explain an additional 10 percent. In Canada, Indian entrepreneurs have average earnings slightly below the national average but are more likely to hire employees, as are their counterparts in the United States and the United Kingdom. The Indian educational advantage is smaller in Canada and the United Kingdom, contributing less to their entrepreneurial success.

Suggested Citation

  • Robert W. Fairlie & Harry Krashinsky & Julie Zissimopoulos & Krishna B. Kumar, 2012. "Indian Entrepreneurial Success in the United States, Canada, and the United Kingdom," Research in Labor Economics, in: Research in Labor Economics, pages 285-318, Emerald Group Publishing Limited.
  • Handle: RePEc:eme:rleczz:s0147-9121(2012)0000036012
    DOI: 10.1108/S0147-9121(2012)0000036012
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    Cited by:

    1. Nathan, Max, 2013. "The Wider Economic Impacts of High-Skilled Migrants: A Survey of the Literature," IZA Discussion Papers 7653, Institute of Labor Economics (IZA).
    2. Fairlie, Robert W. & Lofstrom, Magnus, 2013. "Immigration and Entrepreneurship," IZA Discussion Papers 7669, Institute of Labor Economics (IZA).
    3. Brunetti, Marianna & Zaiceva, Anzelika, 2023. "Is Self-Employment for Migrants? Evidence from Italy," GLO Discussion Paper Series 1313, Global Labor Organization (GLO).
    4. Mengdie Ruan & Angathevar Baskaran & Shanshan Zhou, 2022. "Mainland Chinese Immigrant-owned SMEs in Malaysia: Case Studies," Millennial Asia, , vol. 13(1), pages 5-34, April.
    5. Max Nathan, 2014. "The wider economic impacts of high-skilled migrants: a survey of the literature for receiving countries," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-20, December.
    6. Max Nathan, 2011. "Ethnic Inventors, Diversity and Innovation in the UK: Evidence from Patents Microdata," SERC Discussion Papers 0092, Centre for Economic Performance, LSE.
    7. Chengguang Li & Rodrigo Isidor & Luis Alfonso Dau & Rudy Kabst, 2018. "The More the Merrier? Immigrant Share and Entrepreneurial Activities," Entrepreneurship Theory and Practice, , vol. 42(5), pages 698-733, September.
    8. Dr Max Nathan, 2013. "The wider economic impacts of high-skilled migrants: a survey of the literature," National Institute of Economic and Social Research (NIESR) Discussion Papers 413, National Institute of Economic and Social Research.
    9. Nabamita Dutta & Saibal Kar & Russell S. Sobel, 2021. "What influences entrepreneurship among skilled immigrants in the USA? Evidence from micro-data," Business Economics, Palgrave Macmillan;National Association for Business Economics, vol. 56(3), pages 146-154, July.

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    More about this item

    Keywords

    Entrepreneurship; immigration; Indian migrants;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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