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Table 11 Production functions – nonlinearities and interactions

From: Do high-skill immigrants raise productivity? Evidence from Israeli manufacturing firms, 1990-1999

 

Levels, all available firms, 1993 and 1997

First differences, all available firms, 1990-1993 and 1993-1997

First differences, balanced sample, 1990-1993 and 1993-1997

Nonlinearities in immigrant share

  Share immigrants

0.047(0.079)

0.028 (0.085)

-0.036 (0.113)

  Share immigrants square

-0.039 (0.097)

-0.132 (0.105)

0.010 (0.166)

  Industry dummies

3 digit

3 digit

3 digit

Immigrant share and firm size

  Share immigrants × number employed 0-9

0.087 (0.067)

-0.110** (0.043)

-0.181 (0.124)

  Share immigrants × number employed 10-49

0.011 (0.038)

-0.040 (0.042)

0.007 (0.054)

  Share immigrants × number employed 50-99

0.004 (0.049)

-0.050 (0.042)

-0.055 (0.046)

  Share immigrants × number employed 100 +

-0.220** (0.065)

-0.056 (0.047)

-0.030 (0.060)

  Industry dummies

3 digit

3 digit

3 digit

Immigrant share and technological intensity

  Share immigrants × low tech industry

-0.104** (0.048)

-0.126** (0.032)

-0.175** (0.044)

  Share immigrants × medium-low tech industry

-0.015 (0.049)

0.065 (0.060)

0.022 (0.061)

  Share immigrants × medium-high tech industry

-0.034 (0.058)

0.155** (0.061)

0.060 (0.089)

  Share immigrants × high tech industry

-0.044 (0.218)

-0.030 (0.117)

0.311** (0.137)

  Industry dummies

None

None

None

Immigrant share and 1989-1990 average years of schooling in industry

  Share immigrants × (average years of schooling ≤ 10.5)

0.009 (0.059)

-0.123** (0.034)

-0.111 (0.077)

  Share immigrants × (average years of schooling ∈ [10.5, 11.5)

-0.014 (0.042)

0.045 (0.053)

-0.012 (0.057)

  Share immigrants × (average years of schooling < 11.5

-0.018 (0.067)

0.063 (0.071)

0.065 (0.084)

Industry dummies

2 digits

2 digits

2 digits

Number of observations

3,508

2,361

1,222

  1. *: Statistically significant at the 10% level.
  2. **: Statistically significant at the 5% level.