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America’s Loss Is the World’s Gain
March 2009
America’s Loss is the World’s Gain:
America’s New Immigrant Entrepreneurs, Part IV
Authors:
Vivek WadhwaAnnaLee Saxenian,Richard FreemanGary GerefAlex Salkever
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America’s Loss Is the World’s Gain
Authors
Vivek WadhwaExecutive in ResidencePratt School o Engineering, Duke University Senior Research AssociateLabor & Worklie Program, Harvard Law SchoolAnnaLee SaxenianDean and ProessorSchool o InormationUniversity o Caliornia, Berkeley Richard FreemanHerbert Asherman Chair in Economics, Harvard University Director, Labor and Worklie Program, Harvard Law SchoolDirector, Labor Studies Program, National Bureau o Economic ResearchGary GereDirector, Center on Globalization, Governance & Competitiveness,Proessor Sociology DepartmentDuke University Alex SalkeverVisiting ResearcherMasters o Engineering Management ProgramPratt School o Engineering, Duke University
Student research team
Liayo Wan, Anuradha Phulekar, Kevin Luo, Aishwarya Ramaswamy, Aparna Bhaskara, Karna Vishwas, PraveenKalakuntla, Rohit Naag, Nimit Shah, Lisa Valverde
Special thanks
Pete Engardio, Guillermina Jasso, Ben Rissing, John rumpbourTis research was unded in part by the Ewing Marion Kauman Foundation.Te contents o this publication are solely the responsibility o the authors.
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America’s Loss Is the World’s Gain
Contents
Introduction and overview
1Demographic characteristics 2Visa status of returnees 2Reasons for coming to and for leaving the US 2Social/family factors 3Divergence between Indians and Chinese: children, education, and quality of life 3How have they done professionally since returning? 4Where are the best entrepreneurial opportunities? 4In what areas is the US better? 4Can the US attract these returnees back? 4
Conclusions and Interpretation
6
Background
8Momentum and catalyst for contracting R&D 8
Methodology
9
Detailed survey tabulations and results
10Characteristics of returnees: age, sex, nationality, marital status, and family 10Figure 1: Ages of respondents upon return home 10Figure 2: Sexes of respondents 10Figure 3: Respondents’ marital status 10
Academic degrees and occupation
10
Figure4:Highestqualication
10Figure 5: Industries of respondents’ employment back home 11
Visa status last held in the U.S.
11Figure 6: Visa status of returnees 11
Year of return to home country
11Figure 7: Year returned home 11
Reasons for migrating to the U.S.
11Figure 8: Average rating of factors contributing to decision to migrate to the US 12Figure 9: Professional development 12Figure 10: Educational development 12Figure 11: Quality of life 12Figure 12: Better infrastructure and facilities in the US 12Figure 13: Higher compensation in the US 12Figure 14: Lack of jobs in home country 13
Reasons for returning home: professional growth and family/social issues—not visas
13Professional growth 13Figure 15: Average response values for reasons for returning to home country 13Figure 16: Better professional opportunities at home than in the US 13
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America's Loss is the World's Gain: America's New Immigrant Entrepreneurs
Placing limits on foreign workers in the U.S. is not the answer to the country's rising unemployment rate and may undermine efforts to spur technological innovation
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