Whose Job Is It Anyway? Co-Ethnic Hiring in New U.S. Ventures

Sari Pekkala Kerr and William Kerr

No 28509, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We explore co-ethnic hiring among new ventures using U.S. administrative data. Co-ethnic hiring is ubiquitous among immigrant groups, averaging about 22.5% and ranging from 40%. Co-ethnic hiring grows with the size of the local ethnic workforce, greater linguistic distance to English, lower cultural/genetic similarity to U.S. natives, and in harsher policy environments for immigrants. Co-ethnic hiring is remarkably persistent for ventures and for individuals. Co-ethnic hiring is associated with greater venture survival and growth when thick local ethnic employment surrounds the business. Our results are consistent with a blend of hiring due to information advantages within ethnic groups with some taste-based hiring.

JEL-codes: F22 J15 J44 J61 J62 J71 L26 M13 M51 R23 (search for similar items in EconPapers)
Date: 2021-02
New Economics Papers: this item is included in nep-lab, nep-mig and nep-ure
Note: LS PR
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Citations: View citations in EconPapers (4)

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Journal Article: Whose Job Is It Anyway? Coethnic Hiring in New US Ventures (2021)
Working Paper: Whose Job Is It Anyway? Co-Ethnic Hiring in New U.S. Ventures (2021)
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