High-skilled interregional migration and high-growth firms in Russia

Abstract

ABSTRACTThis study identifies a non-linear and ‘U’-shaped relationship between interregional human capital mobility, measured using a data set on the mobility of university graduates from the top-100 Russian universities, and the presence high-growth firms (HGFs) in Russian regions. The initial rise in the number of HGFs is due to the relatively low concentration of highly skilled migrants and the confinement of innovation to a small number of firms. When the number of high-skilled migrants increases and a larger number of firms innovate, the competition effect strengthens which, in turn, leads to the decrease in a number of HGFs.