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  5. Education, Immigration, and Knowledge Diffusion
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Education, Immigration, and Knowledge Diffusion

Paper Session

Saturday, Jan. 3, 2026 8:00 AM - 10:00 AM (EST)

Philadelphia Marriott Downtown
Hosted By: Association for Comparative Economic Studies & Society for Institutional and Organizational Economics
  • Chairs:
    Sascha O. Becker, University of Warwick
  • Ruixue Jia, University of California-San Diego

Impacts of the U.S. Immigration and Nationality Act of 1965 on International Students

Ina Ganguli
,
University of Massachusetts-Amherst
Megan MacGarvie
,
Boston University

Abstract

The migration of international students, particularly in STEM fields, has the potential to contribute significantly to science and innovation activities in host and home countries. This project examines the long-term impacts of the U.S. Immigration and Nationality Act of 1965, which repealed the national origins quota system, and was part of a broader effort to eliminate race discrimination from U.S. law. After the policy change, immigration increased substantially from countries outside of Europe, particularly from Latin America and Asia. Using an event study difference-in-differences design, we estimate the causal impact of the law on the retention and scientific contributions of international doctoral students by analyzing data from the Survey of Earned Doctorates and Scopus publications.

Match Quality, Task Specialization and the Impacts of the STEM-OPT Extension

Shulamit Kahn
,
Boston University
Megan MacGarvie
,
Boston University
Seungmin Yoo
,
Boston University

Abstract

We study the effects of a change to the Optional Practical Training program which allowed international student graduates in STEM fields to spend more time in the US after completing their studies. Masters’ graduates in cohorts of international students affected by this policy change are more likely to perform tasks or work in occupations closely related to their fields of study. The increase is restricted to those employed in business or industry. Computing is the specific work activity exhibiting the biggest increase among temporary residents, followed by basic research.

The Ripple Effect of China’s College Expansion on American Universities

Ruixue Jia
,
University of California-San Diego
Gaurav Khanna
,
University of California-San Diego
Hongbin Li
,
Stanford University
Yuli Xu
,
University of California-San Diego

Abstract

China’s unprecedented expansion of higher education, launched in 1999, increased annual college enrollment from 1 million to over 9.6 million by 2020. This paper traces the global ripple effects of that expansion by examining its impact on U.S. graduate education. Combining administrative data from China’s college admissions system and the U.S. SEVIS database, we leverage the centralized quota system in Chinese college recruitment for identification. We find that China’s college expansion explains roughly 30% of the increase in Chinese graduate student enrollment in the U.S. between 2003 and 2015. We also document downstream consequences for U.S. universities: Chinese master students generate positive spillovers, increasing the number of other international master students and American master students. Our findings highlight how domestic education policy in one country can reshape the academic and economic landscape of another.
JEL Classifications
  • I2 - Education and Research Institutions
  • P0 - General