TY - RPRT AU - Malchow-Møller, Nikolaj AU - Munch, Jakob R. AU - Skaksen, Jan Rose TI - Do Foreign Experts Increase the Productivity of Domestic Firms? PY - 2011/Oct/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 6001 UR - https://www.iza.org/index.php/publications/dp6001 AB - While most countries welcome (and some even subsidise) high-skilled immigrants, there is very limited evidence of their importance for domestic firms. To guide our empirical analysis, we first set up a simple theoretical model to show how foreign experts may impact on the productivity and wages of domestic firms. Using matched worker-firm data from Denmark and a difference-indifferences matching approach, we then find that firms that hire foreign experts – defined as employees eligible for reduced taxation under the Danish "Tax scheme for foreign researchers and key employees" – both become more productive (pay higher wages) and increase their exports of goods and services. KW - productivity KW - immigrants KW - export KW - foreign experts KW - difference-in-differences matching ER -