| dc.description.abstract | This thesis examines the empirical relationship between employed immigrants and
firm financial performance in Norway during the period 2001-2008. More specifically,
we estimate the effect of working immigrants on the firm performance measures
of Return on Assets and Return on Equity. Using micro-level data on Norwegian
firms and municipal-level shares of employed immigrants, we find that the effect
of immigrants vary depending on the empirical method applied. We examine the
data using OLS, fixed effects, and a shift-share instrumental variable approach. The
shift-share instrument uses the national inflow of immigrants and the past settlement
from each country of origin to predict the exogenous distribution of immigrants
across Norwegian municipalities. The implementation of this instrument in our
empirical analysis represents our effort to identify the causal effect of changes in the
immigrant population on firm financial performance. Our primary conclusion is that
we do not find evidence that employed immigrants have a negative effect on firm
performance. | nb_NO |
