Papers by Magnus Lodefalk
The Estey Centre Journal of International Law and Trade Policy, 2016
The UK leaving the European Union, a 'Brexit,' would have economic and political implications. On... more The UK leaving the European Union, a 'Brexit,' would have economic and political implications. One of the most profound economic impacts would be on trade-the EU is the UK's most important trade partner, with approximately half of UK total trade. A Brexit would imply looser economic integration between the UK and EU. In addition to the trade barriers that would arise from leaving the single market, there would also be negative trade policy effects. Previous analyses of the cost of a Brexit to the UK economy in terms of trade have probably underestimated the impact because they overlook the tradeenhancing role of migration. A Brexit would be likely to limit migration, which, in turn, would aggravate the exit's trade-disruptive effect.
Social Science Research Network, 2022
PLOS ONE, Mar 30, 2023
Business angels dominate early-stage investment in firms, but research on their effects on firms ... more Business angels dominate early-stage investment in firms, but research on their effects on firms is scarce and limited by sample selection. To address sample selection, we propose using population data and we develop an algorithm for identifying business angel investments in such data. We illustrate this novel approach by applying it to detailed and longitudinal total population data for individuals and firms in Sweden. In our application, we focus on a subset of business angels—active business angels who are themselves successful entrepreneurs with a profitable exit. We then study active business angels’ effects on firm performance, using population data. Employing a quasi-experimental estimator, we find that the business angels invest in firms that already perform above par. There is also a positive effect on subsequent growth compared with control firms. However, contrary to previous research on business angels, we cannot find any impact on firm survival. Overall, the paper underlines the need to address sample selection when studying business angels and suggests using population data for identification.
The World Economy, Jan 15, 2022
We examine whether international trade improves labour market integration of immigrants in Sweden... more We examine whether international trade improves labour market integration of immigrants in Sweden. Immigrants participate substantially less than natives in the labour market. However, trading with a foreign country is expected to increase the demand for immigrants from that country. By hiring immigrants, a firm may access foreign knowledge and networks needed to overcome information frictions in trade. Using granular longitudinal matched employer–employee data and an instrumental variable approach, we estimate the causal effects of a firm’s bilateral trade on employment and wages of immigrants from that country. We find a positive, yet heterogeneous, effect of trade on immigrant employment but no effect on immigrant wages.
International Journal of Economics and Business Research, 2013
The manufacturing industry in industrialised countries is often argued to servicify-use and sell ... more The manufacturing industry in industrialised countries is often argued to servicify-use and sell more services-but knowledge is poor. We examine the phenomenon using detailed and comprehensive micro level data at both the firm and enterprise group level for Sweden (1997-2006). We find that manufacturing is servicifying substantially. Services and qualified services are increasingly characterising in-house activity in manufacturing. The results imply that treating services and manufacturing separately-for instance in trade policy negotiations-may be inappropriate in industrialised countries. Finally, the findings illustrate the value of enterprise group level data when studying structural economic changes.
Mangfald och internationalisering : utlandsfodda personer bidrar till internationaliseringen av s... more Mangfald och internationalisering : utlandsfodda personer bidrar till internationaliseringen av svenska foretag
RePEc: Research Papers in Economics, Mar 24, 2017
Country after country has now imposed restrictions on international travel, and foreign trade is ... more Country after country has now imposed restrictions on international travel, and foreign trade is collapsing in tandem with falling demand and disruptions in supply chains. The coronavirus has put g ...
RePEc: Research Papers in Economics, Dec 6, 2018
Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch ge... more Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden. Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen. Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in EconStor may be saved and copied for your personal and scholarly purposes. You are not to copy documents for public or commercial purposes, to exhibit the documents publicly, to make them publicly available on the internet, or to distribute or otherwise use the documents in public. If the documents have been made available under an Open Content Licence (especially Creative Commons Licences), you may exercise further usage rights as specified in the indicated licence.
RePEc: Research Papers in Economics, May 17, 2016
RePEc: Research Papers in Economics, Dec 21, 2016
Offshoring is an important aspect of firms' internationalization. However, offshoring comes at a ... more Offshoring is an important aspect of firms' internationalization. However, offshoring comes at a cost, especially where information or trust is lacking. Immigrant employees could reduce such offshoring costs through their knowledge of their former home countries and via access to foreign networks. We develop a framework of heterogeneous final-good firms to guide our empirical analysis and draw on new employer-employee data for approximately 12,000 Swedish firms during the time period 1998-2007. Our results support the hypothesis that immigrant employees spur offshoring activities by firms through lower offshoring costs. Hiring one additional foreign-born worker can increase offshoring up to three percent on average, with skilled migrants having the strongest effects.
Entreprenörskapsforum är en oberoende stiftelse och den ledande nätverksorganisationen för att in... more Entreprenörskapsforum är en oberoende stiftelse och den ledande nätverksorganisationen för att initiera och kommunicera policyrelevant forskning om entreprenörskap, innovationer och småföretag. Stiftelsens verksamhet finansieras med såväl offentliga medel som av privata forskningsstiftelser, näringslivs-och andra intresseorganisationer, företag och enskilda filantroper. Författarna svarar själva för problemformulering, val av analysmodell och slutsatser i rapporten. För mer information se www.entreprenorskapsforum.se GLOBALISERINGSFORUMS ST YRGRUPP
The manufacturing sector in OECD countries increasingly buys, produces, sells and exports service... more The manufacturing sector in OECD countries increasingly buys, produces, sells and exports services. This is now known as the servicification of manufacturing. This column, using firm-level data fro ...
Journal of International Trade & Economic Development, Feb 3, 2021
Protectionism and anti-globalization tides have been rising already before the COVID-19 pandemic,... more Protectionism and anti-globalization tides have been rising already before the COVID-19 pandemic, with Brexit and the China-U.S. trade war, as two examples. A continued disruption to global trade, investment and value chains could worsen global development. Economic recovery will require restoring firms’ ability to trade, offshore and invest globally. To achieve this, it will be useful to understand the role of migration for foreign trade, investment and other aspects of internationalization. In this paper we review and discuss over 100 papers published about migrants’ roles on international trade, foreign direct investment and offshoring. Although the evidence suggests that migration facilitates trade and internationalization, we also note substantial gaps and inconsistencies in the existing literature. The aim of this paper is to encourage further research and assist policymakers in their efforts to promote economic recovery including internationalization.
PLOS ONE
Business angels dominate early-stage investment in firms, but research on their effects on firms ... more Business angels dominate early-stage investment in firms, but research on their effects on firms is scarce and limited by sample selection. To address sample selection, we propose using population data and we develop an algorithm for identifying business angel investments in such data. We illustrate this novel approach by applying it to detailed and longitudinal total population data for individuals and firms in Sweden. In our application, we focus on a subset of business angels—active business angels who are themselves successful entrepreneurs with a profitable exit. We then study active business angels’ effects on firm performance, using population data. Employing a quasi-experimental estimator, we find that the business angels invest in firms that already perform above par. There is also a positive effect on subsequent growth compared with control firms. However, contrary to previous research on business angels, we cannot find any impact on firm survival. Overall, the paper under...
The Estey Centre Journal of International Law and Trade Policy, 2016
The UK leaving the European Union, a ‘Brexit,’ would have economic and political implications. On... more The UK leaving the European Union, a ‘Brexit,’ would have economic and political implications. One of the most profound economic impacts would be on trade—the EU is the UK’s most important trade pa ...
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Papers by Magnus Lodefalk