Policy Dialogue on Entrepreneurship

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Immigration and Entrepreneurship
Policy Dialogue on Entrepreneurship
11/3/2008
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Summary:

America’s heritage as a nation of immigrants is a source of tremendous economic strength, and current research confirms that immigrants who have been attracted to the U.S. for its pro-growth culture and excellent universities often stay and create valuable, fast-growing startup firms. High-skill immigrants in particular have two significant positive impacts on growth – first as critical engineering and science talent at U.S. companies and second as potential entrepreneurs of new U.S.-based companies. Despite the nearly universal bi-partisan support for high-skill immigration, the existing system of immigration into the U.S. has become a disaster. Visas and green cards are bureaucratic, the number of high-skill migrants to the U.S. is capped at an artificially low level, and security laws have made travel to the U.S. after 9/11 difficult. America now risks losing its attraction as a “brain magnet” in contrast to other nations that are reforming in order to compete for the critical resource known as human capital.

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