Laws Steer Immigrants Away From Starting U.S. Businesses, Study Finds

National Journal 
October 10, 2012

Strict U.S. laws are sending cues to high-skilled immigrants that the United States is not a place to start a business, driving the best and the brightest out of the country, some immigration and business advocates have warned. Now, a new study has found that immigrant-run high-tech companies have either stagnated or declined for the first time in decades.

The Kauffman Foundation study, which examined 1,882 new engineering and technology start-ups across the country, showed the proportion of immigrant-founded companies slipped slightly from 25.3 percent to 24.3 percent since 2005. A more noticeable decline occurred in Silicon Valley, the nation’s high-tech hub, where new start-ups led by immigrants dipped 8.5 percentage points to 43.9 percent.

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