Do Foreign Experts Increase the Productivity of Domestic Firms?

Nikolaj Malchow-Møller, Jakob Roland Munch, Jan Rose Skaksen

Publikation: Working paperForskning


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
Udgivelses stedBonn
Antal sider44
StatusUdgivet - 2011
NavnIZA Discussion Paper


  • Foreign Experts
  • Export
  • Immigrants
  • Productivity
  • Difference-in-differences matching


Malchow-Møller, N., Munch, J. R., & Rose Skaksen, J. (2011). Do Foreign Experts Increase the Productivity of Domestic Firms? Bonn: IZA. IZA Discussion Paper, Nr. 6001