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The Long-Run Effect of Migration on Firms’ Trade: Evidence from China

Anna Baiardi and Christina Ammon

Economic Development and Cultural Change, 2025, vol. 73, issue 3, 1109 - 1143

Abstract: We empirically assess the long-term effect of migration on the exporting behavior of firms in the migrants’ origin country. We focus on ethnic migrant networks formed as a result of a mass migration wave of ethnic Cantonese people from the Chinese province of Guangdong to the United States in the nineteenth century. Using firm-level data for Guangdong, we show that exposure to the Cantonese ethnic network has a positive effect on firms’ exports after several decades. We also find that networks have a positive effect on other firm outcomes, such as employment, wages, high-skilled workers, domestic capital, and fixed assets.

Date: 2025
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