Skip to main content

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.