UCLA
Volume V. 1989-90 - California Immigrants in World Perspective:
The Conference Papers, April 1990
Title
Immigrant Entrepreneurs in Israel, Canada and California
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https://escholarship.org/uc/item/21f995xx
Author
Razin, Eran
Publication Date
1990-04-07
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University of California
1989-90, Vol. 5, Number 8
Immigrant Entrepreneurs
in Israel, Canada
and California
Eran Razin
ABOUT THE AUTHOR...
ERAN RAZIN: is a lecturer in the Department of Geography in
the Hebrew University of Jerusalem. He received his Ph.D.
degree from the Hebrew University in 1986.
Subject of
thesis:
"The effect of Organizational structure of
industry on the development of periphera7 towns in Israel."
In 1986- 1987 he was a Post-Doctora Scholar at UCLA,
studying the role of foreign migrants in urban economies in
the United States.
He is currently engaged mainly in
studies
on (a) location
and entrepreneurship
among
immigrant/ethnic
and Canada;
groups in Israel
(b)
evaluation of Israel's spatial industrialization policy;
and (c) competition among towns in Israel in a period of
local initiative.
A version of this paper was prepared for the UCLA
CONFERENCE ON CALIFORNIA IMMIGRANTS IN WORLD PERSPECTIVE,
Apri7 1990. The Conference was coordinated by Institute for
Social Science Research and sponsored by the Immigration
Research Program the Dean's office of the Division of
Social Sciences, and Internationa7 Studies and Overseas
Programs, UCLA.
The ISSR Working Papers in the Social Science is a publication series devoted
to current research topics undertaken by UCLA academicians and affiliated
scholars.
Comments or inquiries should be addressed to:
The Editor, ISSR
Working Papers in the Social Sciences, Institute for Social Science Research,
405 Hilgard Avenue, Los Angeles, California 90024-1484.
1
IMMIGRANT ENTREPRENEURS IN ISRAEL, CANADA AND CALIFORNIA
1. Introduction
Entrepreneurial activity has served as a route of economic advancement and
social mobility for
many
of the more successful immigrant groups
in their new
host countries. In addition to varying ethnic resources, the formation of smallbusinesses by new immigrants depends greatly on characteristics of the host
country and the specific urban area.
Moreover, interaction of location and
ethnicity factors may influence entrepreneurial behavior of immigrant groups;
i.e. the role of location may differ for each immigrant group. This role of
location has been given only cursory treatment in most previous studies of
immigrant entrepreneurs.
This paper outlines the relation between theories of entrepreneurship among
immigrant groups and studies on entrepreneurship in space.
case studies of self-employment among recent
Then, it focuses on
immigrants in Israel, Canada end
California, basing the analysis on national censuses of population from the
early 1980s.
Special attention has been put on the influence of location on the
propensity of immigrants from various origins to engage in self-employment, and
on the types of entrepreneurial activities performed by different immigrant
groups. The influence of human capital attributes, ethnic networks and local
opportunity structures on spatial variations
in entrepreneurial behavior of
immigrants is discussed.
Immigrant entrepreneurship is assessed in the context of changing realities
of the 1970s and 1980s. These years witnessed a certain revival in the role of
small businesses in job creation in many Western countries. A new role has been
assigned to
local entrepreneurs in public economic development efforts,
replacing post-war strategies,
based on capital-intensive industrialization
2
(Storey 1988).
International migration flows have also reemerged as a political
and economic phenomenon of major importance,
due to the passage of liberal
immigration legislature in countries of destination during the period of
economic growth and prosperity in the
196Os,
and due to pressures in the
countries of origin, aggravated by the economic crises of the 1970's and 1980s.
Thus, the phenomenon of entrepreneurship among immigrant groups has a growing
significance in assessing local economic development
processes and social
change.
2. Theoretical Outline
The propensity of an individual to engage in entrepreneurial activity can
be attributed to four major factors:
1. Personal character Prospects for becoming an entrepreneur depend cn personal
inclination towards risk taking, ambition and desire for
et al.
independence (Carland
1984). This inclination can be explained in personal psychological terms
but is also influenced by cultural values and social environment.
2. 1
language of host country,
such as sex,
.
Education, skills, knowledge of
financial wealth and other personal characteristics,
age and marital status strongly influence the prcpensity of
becoming self-employed (Ben Porath 1988a).
Moreover, individuals possessing
particular occupations, such as dentists, have
inherently a higher probability
of becoming self-employed.
3. Social n
e
t
w
o
r
k
s Entrepreneurial skills and behavior are often acquired
through personal contacts, and acquaintanceship with other entrepreneurs (Zimmer
and Aldrich 1987; Johannisson 1988),
vocational training. Family contacts,
and not through formal education and
community and ethnic networks may be of
3
crucial importance in this respect, as well as experience gained by working with
business proprietors.
ecm local
4.mbvthe
These are opportunities created
by geographical location, local economic structure, size and other attributes of
local markets and local
political-organizational attitude
towards small
businesses and entrepreneurs.
Theories focusing on the great variations in entrepreneurial activity among
immigrant groups refer to all the above four factors, but stress particularly
the role of social networks (Light 1984; Mars and Ward 1984; Portes and Bach
1985). Entrepreneurial immigrant groups have been found to follow the path of
preserving ethnic ties and forming e
n
c
l
a
v
eof _ based
on such assets as family cohesion, trust relations, common language, culture and
life habits. These enclaves have been characterized by extensive informal ethnic
networks utilized as major channels for recruiting labor, gathering information,
transmitting entrepreneurial skills, and in some cases also forming input and
output linkages. Tradition of enterprise and ethnic informal institutions such
as rotating credit associations are all elements characterizing these ethnic
networks. Employment in such ethnic enclaves has opened the way for immigrants
to acquire entrepreneurial skills more than employment in similar occupations in
the general labor market. Whereas it can be argued that similar
traits are
common to most small business owners and not only to immigrants
s and ethnic
minorities (Zimmer and Aldrich 1987), immigrant groups which do not
form such
ethnic networks, are at disadvantage with respect to utilizing various niches of
entrepreneurial opportunities.
The immigrants'
ethnic origin also influences their personal inclination
4
towards entrepreneurship, mostly through cultural values brought from their home
country. Furthermore, immigrants may favor risk-taking over job security when
they consider themselves as sojourners (Bonacich and Model1 1980). However,
human capital and personal resources, termed class resources by Light (1984),
are the major variables which have to be distinguished from ethnic networks in
explaining variations in entrepreneurial behavior.
their education,
Immigrant groups vary
in
skills and availability of capital. Sanders and Nee (198‘7)
assigned such variables an overriding role in a critical examination of the
ethnic enclave hypothesis. Differences
in the local opportunity structure can
attract immigrants with varying human capital attributes to different locations.
However, it can be argued that identifying the net ethnic effect requires to
hold these human capital attributes constant.
The above ethnic influences are termed supply variables in entrepreneurship
by Light and Rosenstein (1989). A contextual factor, depending on ethnic origin,
which is part of
the local
opportunity structure,
is discrimination.
Discrimination may either push immigrants to self-employment, by blocking
alternative mobility paths in the labor market, or block their way to certain
self-employment opportunities.
Discrimination may also influence variations
across countries and even regions and urban areas in which different groups are
discriminated at different levels.
Other factors influencing the opportunity
structure for immigrant businesses,
termed demand variables by Light and
Rosenstein (1989), are discussed in the following section.
Empirical studies
of entrepreneurship in space have emphasized the
significance of variables such as size,
industrial structure,
business size
composition and social features of the urban area in order to explain regional
5
variations in business formation (Keeble and Wever
1986;
Razin 1990). These
studies usually focused on implications for regional development policies
(Giaoutzi, Nijkamp and Storey 1988). However, a broader theoretical debate
concerned the growth and decline of entrepreneurship-intensive environments,
termed flexible production complexes or Marshallian industrial districts. Such
spatial agglomerations evolve
in activities facing unstable and fragmented
markets, characterized by high levels of uncertainty,
in which the need for
flexibility outweighs economies of scale and leads to the disintegration of the
production process into a large number of small independent businesses. These
businesses have
dynamic and
complex linkage patterns,
agglomerate locationally together in order
leading them to
to reduce the spatially dependent
costs of external transactions and face-to-face communications (Scott 1988).
Storper and Scott (1989) and Piore and Sabel (1984) carry this argument
further by suggesting that shifts in the world economy, since the 197Os, are
leading to a 'second
by greater
industrial divide' or a 'post-Fordist era', characterized
instability, uncertainty,
fragmentation of
introduction of new flexible production methods.
demand,
and the
This shift, reflected by
statistical evidence on the revival of the small-business economy (Blau 1987;
Brock and Evans 1989; Storey 1988), leads to the re-agglomeration of production
and the resurgence of industrial districts. These new flexible industrial
oomplexes are typically composed either of high-technology industry, revitalized
craft production or business services. Different location factors influence each
of them
Local social networks associated with tradition of skills of family,
community or ethnic origin are particularly central in revitalized craft
production complexes.
In the most publicized case, such networks based on trust
relations and unwritten business norms, have led to the emergence of thriving
small-business complexes
in small and medium-sized towns in central and north-
6
eastern Italy, known as the Third Italy (Brusco 1962).
These arguments have been challenged by Amin and Robins (1969), who raised
doubts as to whether the contemporary resurgence of industrial districts is more
than a temporary or transitional phenomenon. Furthermore, they argued that
heterogeneous developments such as Italian industrial districts (revitalized
craft clusters), high-tech growth centers (product pioneering agglomerations)
and metropolitan service and control agglomerations can not collapse together.
Even within Third Italy,
there have been significant differences between the
clusters of small family and craft based firms. A few clusters conform with the
ideal model of flexibly organized and internationally competitive Marshallian
industrial districts.
However,
most are little more than clusters of small
family firms producing the same medium-to-poor quality product for few large
subcontractors or wholesalers. Often,
skills and little access to technology.
competition with each other,
these producers have few entrepreneurial
The local businesses are in fierce
and are based on self-exploitation, use of family
labor, poor wages and evasion of tax and social security contributions.
Entrepreneurial networks can, therefore, take diverse forms in different
locations. In metropolitan areas,
such networks can be extensive and dynamic,
dominated by business-oriented local ties. Networks would be more stable and
cosmopolitan
in areas dominated by high-techology industry. In flourishing
small-business (craft) regions,
entrepreneurial
networks would
still be
extensive, but based mostly on stable local social ties, whereas in other nonoentral areas such networks would be much narrower (Johannisson 1966).
Ethnic entrepreneurial enclaves formed by new immigrants should be examined
in light of these generalizations. Most enclaves develop in metropolitan areas,
but different metropolitan economies may generate different types of ethic
entrepreneurial networks. Thus,
the role of self-employment either as a
7
significant route for upward mobility of new immigrants or as a no choice
retreat (Ladbury 1984), depends on the type of ethnic entrepreneurial network,
reflecting both ethnic attributes and location characteristics.
Most ethnic
enclaves probably resemble networks such as those characterizing the less ideal
types of industrial districts in Third Italy, concentrating in various service,
trade and construction activities.
Immigrant entrepreneurs penetrating sectors
such as garment industry, wholesale or business services may form more advanced
networks. Nevertheless, even the less ideal complexes can be significant for the
local economy, and serve as a vital first step in the upward mobility route of
new immigrants,
enabling some capital accumulation and further advancement in
the labor market for the second generation.
The opportunity structure for immigrant entrepreneurs depends not only on
the structure of the local economy,
but also on the socio-ethnic structure of
the urban area. Multi-ethnic urban areas create particular opportunities for
small businesses to compete;
first, by forming fragmented patterns of demand
which reduce economies of scale in serving the local population;
end second, by
offering large niches serving central city minority slums, which do not attract
main-stream firms or native middle-class population (Light and Rosenstein 1989).
Location and ethnicity may interact with regards to their influence on
entrepreneurship among immigrants.
Such interaction effect, termed specific
demand factors by Light and Rosenstein (1989), was identified by Razin (1988a)
in California.
In addition to the role of discrimination, mentioned earlier,
immigrants from a common country of origin reaching different urban areas may
vary in their m capital attributes.
different
opportunity
qualifications
structures,
to each location.
These variations can be an outcome of
attracting
immigrants
with specific
They can also stem from the major role of
family and ethnic networks in the immigration process, leading immigrants from
8
particular regions within the country of origin to concentrate in different
urban areas. In addition, ethnic entrepreneurial networks tend to form only in
some of the locations in which the ethnic group is present, and can differ from
place to place in their characteristics. Thus, even when human capital variables
are kept constant, the influence of location on entrepreneurship may vary across
immigrant
groups.
3. Comparing the Israeli, Canadian and American cases
International comparisons of entrepreneurship among immigrants should
emphasize two major facets:
(1) Differences across receiving countries in the
attributes of immigrants, stemming, to a large extent,
from the immigration
policies of these countries. (2) Differences in the economic characteristics and
particularly the political-organizational attitude toward small businesses, and
legal requirements
and obstacles
for starting a business (Ward 1987).
Interaction effects of country of origin and country of destination on
entrepreneurship can be assumed to evolve from variations in human capital
attributes of immigrants attracted to different destinations. They can also be
caused by differing levels of discrimination toward specific immigrant groups,
whereas localized ethnic entrepreneurial networks can be expected to have a more
central influence in the inter-metropolitan scale.
..
.
.
.
.
3.1 c on m
The United States, Canada and Israel are among the few countries with a
tradition of accepting permanent settlers (United Nations 1982). It is beyond
the scope of this paper to present a comparative historical account of
immigration to the three
countries, or to compare detailed principles guiding
present policies. Nevertheless,
some general observations are important for
9
evaluating entrepreneurial behavior of immigrants in each of the countries.
Immigration to the United States and Canada have many common traits;
Canadian policies being somewhat influenced by American practices. Prejudices
towards certain immigrant groups such as Chinese have been common to both
countries,
196Os,
end both have liberalized their immigration policies during the
eliminating
discrimination on
ethnic grounds,
thus enabling an
unprecedented influx of immigrants from Third World countries. However, a closer
look reveals some noteworthy distinctions. First, European, end particularly
British immigrants have remained more dominant in Canada (Statistics Canada
1984). Second, The ratio of immigrants per population has been much higher in
Canada. Thus,
immigration could influence more its economy and demographic
composition (Goldberg and Mercer 1986).
Third,
it seems that economic development
considerations have played a greater role
Immigration to the United States, on
needs and
labor market
in Canada (Statistics Canada 1984).
the other hand, has been based more on
precedent and on national tradition than on any recognized economic or
demographic needs (United Nations 1982). Fourth, the share of illegal immigrants
has been far greater
in the United States. As a consequence of these last two
factors, the occupational mix of immigrants in Canada, including that of nonwhites, has been more tilted toward the upper levels of the occupational ladder
(Keely and Elwell 1981; Ramcharan 1962).
Emphasizing economic considerations,
Canada has also implemented, since
1978, a specific program for attracting immigrant entrepreneurs, intending to
establish and manage businesses creating or retaining jobs for Canadians,
least creating their own job. A more recent
or at
investor program has been aimed
towards the wealthy who intend to invest large sums in the Canadian economy
(Nash 1987).
The Canadian program has been aimed towards those coming with
10
substantial capital,
proven record of business and definitive plans for
establishing one in Canada.
These are not new immigrants striving for economic
success and upward mobility through entrepreneurial activity in an ethnic
enclave, but rather wealthy businessmen who are expected to enter the higher
economic strata of Canadian society soon after arrival. This policy has been
perceived to have had some positive impact on
the Canadian economy, but was
devoid of close monitoring (Nash 1987). Concern has been raised to unknown
levels of abuse of the policy by immigrants, not residing in the province
sponsoring them, and not accomplishing the promised investment,
"but rather
continuing business as usual in Hong Kong, while their families are safely
settled in some posh Canadian suburb"
(Malarek 1987).
It can also be claimed
that non-economic family unification criteria are not less conducive for
entrepreneurship, since family ties provide a good basis for the integration of
new
immigrants
into
society, and
can in particular open paths for
entrepreneurial careers.
The Israeli case differs fundamentally from the American and Canadian
cases. Immigration policy has been motivated by maintenance of national identity
considerations, and the almost sole criteria for granting Israeli citizenship
has been the Jewish religious denomination. Immigrants to Israel have not been
usually motivated by economic considerations.
and political conditions since
However,
deteriorating economic
1973 have reduced immigration flows to Israel,
despite all incentives (DellaPergola 1988). It should be noted, that towards the
late 198Os, labor migration from countries such as the Philippines, Portugal and
Poland has become more visible,
partly due to deteriorating Jewish-Arab
relations, leading to a diminishing attractiveness of the later as a pool of
cheap unorganized labor. These i m m i g r a n t flows are partly illegal, perceived
only as temporary,
and have not influenced significantly the self-employed
11
sector, except perhaps for household work.
Absorption patterns varied considerably between the three countries. The
strong appeal of the United States has been based on its perception as the land
of endless opportunities (Sobel 1988). Immigrants knew that they have to make it
on their own, and practical assistance for immigrants has been mostly limited to
a network of voluntary organizations, mainly on an ethnic basis.
Canada might
have not been that different, but government and provincial agencies assumed
more responsibility for the welfare and settlement of immigrants (United Nations
1982).
In Israel,
the government took responsibility for the first steps of
absorption, assisting immigrants in acquiring language and other skills and
helping in housing and job search.
It can be argued that the greater dependency of immigrants in Israel on
recourse to major public agencies for the allocation of rewards and facilities,
reduces the probability of forming ethnic entrepreneurial sub-economies. It has
also been argued that the Israeli absorption system tends to attract the nonentrepreneurial,
elderly and poor,
whereas Jews having some capital and
entrepreneurial skills may forgo the Israeli government support systems for
better economic opportunities in Western Europe and North America. It is
difficult to differentiate the influence of the initial immigrant selection from
the impact of the absorbing systems (Inbar and Adler 1977). Nevertheless, in
Israel, cohesive immigrant groups also evinced higher capacity to adjust to the
new society. Self-employment have served, to a limited extent, as an alternative
mobility route for Jews of Eastern origins, immigrating to Israel in the 1950s
and early
1980s and lacking formal education and skills necessary for
advancement as employees (Nahon 1989; Razin 1988b).
The Canadian emphasis on multiculturalism, which differs from American and
Israeli assimilationist "melting pot" ideologies, may be assumed to slow
12
assimilation, particularly in bilingual localities such as Montreal. However,
evidence concerning this argument is not definitive. It seems that the myth of
advancement
through preserving ethnic ties and culture emerged paradoxically in
the United States,
whereas rapid cultural assimilation was considered as
beneficial for promoting economic mobility among immigrants in Israel and
Canada.
3.2 The kvlronment
The economic and political-organizational environment can be assumed to be
most conducive to entrepreneurship in the United States, which is most committed
to free enterprise ideology, Israel being at the
other end. There has been a
prevailing perception that the Canadian climate for investors and entrepreneurs
is inferior to that in the United States. However, the impression that there is
more state involvement in the Canadian economy does not stand close scrutiny.
Both Canada and the United States are advanced capitalist societies, and the
Canadian economy is only marginally more regulated than the American. Still,
there is a difference
in the sentiment toward government, and the Canadian
government is more willing to engage in public enterprise. The Canadian economy
is also more externally controlled, offers smaller internal markets, and is more
natural resources-based, attributes that can deter entrepreneurship (Goldberg
and Mercer 1988). According to Peterson (1977),
both the merchant and the
manufacturing entrepreneur did not enjoy high social status in Canada, and
Canadian entrepreneurs tended in particular to avoid manufacturing. He argued
that a negative attitude for entrepreneurship in Canada resulted from being too
comfortable in the paternalistic
shadow of a great neighbor, who along with
other countries has supported Canadian unearned high standard of living by
buying Canadian natural resources.
Without discussing the validity of these
13
arguments in the past,
changing. The
it should be noted that these attitudes have been
"quiet revolution"
in Quebec has been accompanied by changing
attitudes towards small-businesses, and Canadian regional policies have also
shifted towards promoting local entrepreneurship (Savoie 1987).
Ethnic networks have been critical in attaining economic success also in
Canada, as demonstrated in a study of Portuguese
However,
in
immigrants (Anderson 1974).
the case of the non-enterprising Portuguese
considered to serve as "stepping stones"
immigrants, jobs
were usually unionized jobs. Other
groups were more entrepreneurial and unlike majority group entrepreneurs,
minorities typically chose in the first place the route of self-employment, and
could have changed from one type of business to another in search for success,
utilizing kinship networks and broader ethno-religious ties (Kallen and Kelner
1983). It could be argued that Canadian ethnic enclaves tended to operate in a
narrower sense than in the American context, serving as ethnic support systems,
but not forming complex internal input-output and information linkages. Canadian
cities also lacked the large protected niches of serving central city minority
slums,
utilized by immigrant entrepreneurs
in the United States. Still, the
Jewish entrepreneurial enclave in Toronto's garment industry, formed during the
early 20th century (Hiebert forthcoming), as well as its later succession by
Chinese (Wickberg 1982), showed close resemblance to the same phenomenon in New
York (Waldinger 1988). Thus,
it can be argued that what counts more are not
marginal differences between the American and Canadian immigration policies or
economic systems, but differences in metropolitan opportunity structures.
The Israeli economy has been characterized by a large public sector and
deep government intervention (Ben Porath 1988b), and has not been most receptive
toward small entrepreneurs. This was due to early socialist bias favoring
enterprises owned by the Federation of
Labor, and to later policies oriented
14
toward large investors, having the ability to face government bureaucracy. A
gradual reorientation of public attitude towards entrepreneurship has been
visible since the late 197Os, due to pressures stemming from infiltration of
“New Right" ideologies from Britain and the United States, as well as to the
political change in 1977,
and the general stagnation and crisis conditions in
many of Israel's large industrial corporations (Razin 1980). However, unlike the
reversal of the long term trend of decline in the proportion of self-wployed in
the United States (Light end Sanchez 1987) and Canada
(Cohen 1988), the
percentage of self-employed in Israel has been still declining throughout the
early 1980s (Razin 1990), perhaps due to the initially higher rates of selfemployment in the less advanced Israeli economy. Israel still offers smaller
markets, inferior opportunities for financing ventures,
and somewhat greater
legal obstacles for starting a business. These factors have been brought up by
Israeli immigrants starting businesses
in
the United States (Sobel 1986),
although their role in influencing the decision to migrate to the United States
has never been thoroughly examined.
Both Canada (Lithwick 1987) and Israel (Razin forthcoming) employ regional
policies aimed at supporting their economically backward regions. Whereas
motivations for initiating the policies have differed, the means employed showed
closer resemblance,
including the recent interest in promoting the small-
business sector in backward regions.
The United States lacks clear regional
policy, but development efforts pursued by local authorities have traditionally
emphasized small businesses and entrepreneurs.
Dispersing new immigrants to peripheral localities has been a corner stone
in Israel's population dispersal policy since 1948 (Shachar 1971). Measures to
15
direct immigrants to non-metropolitan development towns were of diminishing
effectiveness since the late 1980s. Yet,
new immigrants have still tended to
disperse more than the general population,
due to government involvement in
their absorption process, and perhaps also due to the initial dispersed
distribution of immigrants, accompanied by relatively low rates of internal
migration in Israel. This has not been the case in Canada and the United States,
where immigrants tended to gravitate freely towards the largest metropolitan
areas.
In Canada,
the economic advantages of immigration were emphasized by
policy makers, and it was stressed that the Canadian entrepreneur immigrant
program contributed to widen the gap between the have and the have not
provinces, since its main beneficiaries have been the largest metropolitan areas
(Nash 1987).
A Canadian attempt to implement a policy of settling immigrants in
places where labor force is needed, other than Toronto, Montreal and Vancouver,
has faced the problem that employment opportunities and ethnic ties assisting in
economic advancement have been mainly concentrated in the largest metropolitan
areas (Anderson and Frideres 1981). In the United States, an attempt was made
during the late 1970s to influence the resettlement pattern of Southeast Asian
refugees, so that no state would bear a disproportionate burden of resettlement
efforts. However, an initially dispersed pattern has soon become concentrated,
as a second wave of refugees gravitated towards the largest concentrations of
earlier arrivals, and internal migration patterns led to increased clustering of
immigrants in a limited number of states (Desbarates 1985). In Israel, where the
government has been more successful in dispersing immigrants, it seemed
worthwhile to examine to what extent did this dispersal affect their prospects
for entrepreneurship.
zyx
16
4. self -Employment hung-t Imigrantsin
Data Analysis
the Three Countries- A Census
4.1 Data
The exploratory analysis presented in this section focuses on the influence
of location on the propensity of recent
immigrants from various origins to
become self-employed, and on the industrial composition of the self-employed
immigrants. The analysis treats only new immigrants,
particular group
of those
who turned
thus referring to the
into self-employment soon after
immigration. It is based on the public use
files (individual records) of the
1983 Israeli Census of Population, the
1981 Census of Canada, and the 1980
American Census of Population. The Israeli file includes a 20% sample of the
total population,
the California file is a 5% sample, and the Canadian file is
only a 2% sample, lacking sufficient details on some variables.
sampling,
The different
end the fact that the studies on each country were carried out
separately, restrict to some extent the level of detail at which comparisons can
be made.
The present study includes: (a) immigrants who arrived in Israel
between 1972 and 1983, and lived in 1983 in one of its
metropolitan areas or
other towns of over 5000 inhabitants; (b) immigrants who arrived in Canada
between 1971 end 1981, and lived in 1981 in one of its
areas;
13 major metropolitan
and (c) immigrants who arrived in the United States between 1970 and
1980, and lived in 1980 in one of California's three major metropolitan regions.
In addition to basic cross-tabulations, logit models for identifying variables
influencing the propensity to become self-employed, and log-linear models for
identifying factors associated with the industrial composition of the selfemployed were constructed for the Israeli and Canadian cases. The following is a
summary of some of the general findings.
17
Rates of
self-employment among new immigrants were highest in the
metropolitan areas of California and lowest in Canada (Table 1). Intra-national
variations were small in California and Canada, but more marked in Israel, where
new immigrants in Tel Aviv and Jerusalem possessed high "Californian"
self-employment,
whereas
those in
Haifa and
particularly low rates. Spatial variations
rates of
in development towns had
in rates of self-employment among
immigrants in Israel and Canada reflected, with a few exceptions, those of the
general population, although new immigrants showed a lower propensity to be
self-employed (Table 1). Thus,
the local opportunity structure clearly
influenced the prospects of immigrants to become self-employed.
In Israel,
small development towns offered inferior opportunities for
entrepreneurship (Table l), being dominated by externally owned industry and not
enjoying significant central place functions, as most Canadian small towns do. A
relatively high proportion (24.3%) of the economically active new immigrants in
Israel lived in development towns in
prospects for entrepreneurship.
1983, and this might have hampered their
In Canada,
rates of non-agricultural self-
employment were lower in metropolitan areas than in smaller urban and rural
centers,
end were particularly low in the provinces of Ontario and Quebec,
having the greatest concentrations of large industrial and public administration
establishments (Cohen 1988). Thus, immigrants to Canada tended to concentrate in
localities which proportionally offered more abundant opportunities as salaried
employees than as self-employed.
The ethnic composition of immigrants in each of the three countries
differed considerably. Immigrants from the USSR were dominant in Israel, Latin
Americans in California, and a mix of Asians end Europeans dominated in Canada.
However, these wide differences in country of origin do not appear to influence
18
markedly the
rate of self-employment among immigrants in each country.
Immigrants in California, in spite of being dominated by non-entrepreneurial
Latin Americans, had the highest rates of self-employment (Table 1). Moreover,
these rates were equal in San Francisco and Los Angeles, despite the far greater
concentration of Latin American immigrants in the later metropolis (Razin
1988a). Without ignoring the influence of ethnic resources, these findings
indicate on a major role of the local opportunity structure in determining the
extent of entrepreneurial activity among immigrants. The existence of large nonentrepreneurial groups in California, particularly in Los Angeles, merely opened
the way for other immigrant groups
to reach extraordinary high rates of self-
employment (Table 1).
Turning to specific immigrant groups:
immigrants from the USSR were much lower
rates of self-employment among
in Israel than in California end
Canada. This might have been due to (a) the initial preference of North America
by more entrepreneurial immigrants;
(b) the impact of the Israeli absorption
system and economic environment; and (c) the high proportion of poorly-educated
Georgians among USSR immigrants to Israel. However, it seems that the absorption
system and the economic environment did not play in Israel the major role, since
immigrants from the USSR to Tel Aviv had a lower propensity to become selfemployed than "average" immigrants or the general population in that metropolis,
whereas immigrants to Toronto or Los Angeles had a much higher propensity than
"average" to become self-employed (Table 1).
Spatial variations in the entrepreneurial behavior of immigrants from
specific countries of origin
backgrounds. Thus,
frequently stem from different class and ethnic
Latin Americans immigrating to Israel were middle-class Jews
fleeing economic and political instability, whereas most of those immigrating to
North America were lower classes possessing few entrepreneurial capabilities.
19
Varying ethnic backgrounds could
account for
differences between Poles
immigrating to Israel end Canada, Indians immigrating to Israel and California,
and Middle Easterners in Israel and California (Table 1). The wide gap in rates
of self-employment between Chinese immigrants in Canada and California, could be
either attributed to the Canadian immigration policy, more oriented towards the
highly educated and skilled,
or to ethnic networks leading Chinese from
different backgrounds to different destinations.
Iranian immigrants were more entrepreneurial in California than in Israel.
It has been observed that many Jews Iranian preferred California or even left
for Los Angeles shortly after immigrating to Israel, due to the greater
potential offered by the later for entrepreneurial ventures and profitable
utilization of capital brought over from Iran. Still, Iranians were the most
entrepreneurial new immigrant group in Israel, and had particularly high rates
of self-employment in Tel Aviv (Table 1). Immigrants coming from developed
Western countries could be assumed to integrate more rapidly in the host North
American societies, utilizing to a lesser extent ethnic networks and resources.
It could also be assumed that these immigrants have been mostly absorbed in
relatively well paid jobs in the primary labor market, end self-employment did
not necessarily mean for them higher levels of economic well-being end better
prospects for economic mobility.
Still, rates
of self-employment among
immigrants from countries such as Britain and Germany varied widely between
different locations in North America.
Substantial immigration flows existed among the three host countries
included in this study.
The rate of self-employment among Israelis in Los
Angeles was nearly three times as high as the rate among the urban population in
Israel (11.7%).
This significant difference can be explained in two ways: (1)
Israelis with entrepreneurial skills are attracted to the more facilitating
20
climate for entrepreneurship in the American
e c o no m y.
(2)
Israelis in the United
States resort to entrepreneurship as a major channel open for those coming with
high aspirations to surpass the not so low Israeli levels of well-being, but
lacking professional qualifications and contacts to advance rapidly in the
primary labor market.
This second explanation is likely to be of greater
significance than the first.
Whereas Americans showed similar levels of self-employment in American
SMSAs (7.2% - Light and Sanchez 1987) and Canadian CMAs (7.5%), Canadians were
much more entrepreneurial in California than in their home country. North
Americans immigrating to Israel were also more entrepreneurial than the American
average, but one should take into account that these were Jews who possessed an
above average rate of self-employment in North America. It should also be noted
that rates of self-employment among North American migrants varied substantially
across metropolitan regions,
Los Angeles,
Vancouver and Jerusalem being the
preferred locations by self-employed in each of the host countries.
The influence of country of birth and urban area of residence on the
propensity of male immigrants
in Israel and Canada to become self-employed was
examined by
y multi-variate logit models which included the following additional
explanatory
variables: age,
marital status, years of schooling, knowledge of
language of host country and industry (Razin and Langlois 1990). Country of
birth was
identified in both Israel and Canada as a variable of major
importance, even when all other explanatory variables were taken into account.
Urban area of residence, on the other hand, had a significant impact only in the
Israeli case.
All other attributes had a very similar influence on the
propensity of new immigrants to become self-employed in Israel and in Canada.
21
co- of m
Immigrants to the three countries differed not only in their propensity to
become self-employed, but also in the industrial composition. Those turning to
self-employment in North America showed a greater propensity to engage in
wholesale trade and business services, whereas
construction, food services,
those turning to self-employment in Israel were represented more in public
(mainly health and education) services,
and in manufacturing (Table 2). The
differences in the industrial composition of the self-employed immigrants were
largely influenced by differences
employed sector in each country.
in the general composition of the selfAn exception was the high propensity of
immigrants in Israel to engage in public services end their low tendency to
engage in construction and
food services. This was probably due to the middle-
class backgrounds of a large proportion of immigrants in Israel during the
1970s.
Inter-metropolitan variations
in the industrial composition of self-
employed immigrants were more marked than variations in the rates of selfemployment among immigrants.
Immigrants had a stronger tendency to establish
manufacturing businesses in the largest metropolitan areas - Tel Aviv in Israel,
Toronto and Montreal in Canada,
and Los Angeles in California. The largest
metropolitan centers offered, as expected, an advantage also in wholesale. On
the other hand, entrepreneurial opportunities for new immigrants in less central
locations, such as Israel's development towns and Canadian smaller CMAs, were
relatively concentrated in food services, transportation and personal services
(Table 2). Immigrant entrepreneurs showed a particularly strong tendency to
gravitate toward food services in Montreal and San Francisco, but this tendency
was prominent only for certain groups, namely Chinese, Iranians and Greeks.
Particular local socio-ethnic composition can be considered as part of the
22
local opportunity structure influencing entrepreneurial behavior of immigrants.
Presumptions that the economic conditions (Higgins 1986) and the bilingual
character of Montreal (Ossenberg 1964) might provide a milieu less compatible
with the economic and social integration of immigrants than in Toronto, were not
supported by differences in rates of self-employment among immigrants. However,
whereas immigrants in Montreal were slightly more likely to become self-employed
than in Toronto (Table l),
the data hints that the bilingual character of
Montreal strongly hindered prospects of immigrant entrepreneurs to engage there
in business services (Table 2).
Log-linear models for male new immigrants
in Israel and Canada who were
self-employed, examined the association of education, country of birth, urban
area of residence and
industry of the self-employed (Razin and Langlois 1990).
Industries were grouped into three categories: (1) distribution - mainly trade,
restaurants and transportation;
(2) blue-collar - mainly manufacturing and
construction; and (3) white-collar - mainly business, public and personal
services. All first three variables were found to be associated with industry,
although the significance of urban area of residence was somewhat lesser than
that of the other two variables. The lower educated and those coming from Asian
end African (and in the Canadian case also Latin American) origins tended to
concentrate in
distribution self-employment activities. These immigrants,
engaged in distribution small businesses, tended to cluster in the largest and
most diversified metropolitan areas - Tel Aviv,
Montreal and Toronto. For
example, self-employed immigrants coming to Israel from Asian and African
countries, particularly from Iran, gravitated towards retail (Table 3), and thus
tended to concentrate in the Tel Aviv metropolis,
which offered the best self-
employment opportunities in retail for immigrants. The more educated and those
coming from Europe and North America gravitated toward white-collar activities,
23
which were less concentrated in the largest metropolitan areas.
The log-linear models, as well as detailed data for each metropolitan area,
not presented due to limitation of space,
indicate that the interaction of
country of birth and urban area of residence clearly influences the industrial
composition of immigrant entrepreneurs in North America, but less so in Israel.
As much as 70% of the self-employed immigrants coming to Israel from Europe,
North America and South America were engaged in business, public and personal
services
(Table 3).
Jerusalem offered ample self-employment opportunities in
these activities, linked with its role as Israel's capital and its extraordinary
large public services sector (Razin 1990). The relative concentration of these
immigrants in Jerusalem, end their high rates of self-employment in that city
conformed with their high propensity to engage in white-collar self-employment
occupations.
This concentration can not be regarded as a typical ethnic
entrepreneurial enclaves,
which is usually dominated by distribution or blue-
collar activities. Nevertheless, it can be claimed that North American and South
African immigrants either come to Israel with a greater tradition of enterprise
than that characterizing native Israelis,
or are pushed to self-employment,
since they lack necessary contacts to compete over the few professional job
vacancies in the Israeli labor market,
characterized
by high rates of job
tenure, and low turnover of employees.
Various immigrant groups in Canada and California were more active then in
Israel in typical ethnic entrepreneurial niches,
other than retail,
such as
construction and food services (Table 3). Self-employed Iranians, for example,
were much less concentrated in retail in California than in Israel, showing
greater concentrations in construction, food services and particularly business,
public and personal services.
relatively
concentrated in
Such activities of various groups tended to be
specific
metropolitan
areas.
Self-employed
24
Northwestern European and American immigrants in
Vancouver had relative
concentrations in construction, while in Toronto they tended to concentrate in
wholesale, retail and business services and in smaller CMAs they were more
concentrated in public services. Southern Europeans were mainly concentrated in
construction and personal services
particularly to food services
in Toronto,
and the Greeks gravitated
in Montreal. Iranians in California were engaged
in varied entrepreneurial activities in Los Angeles, while showing a relatively
high concentration
in food
services in San Francisco (28.8%). Chinese
entrepreneurs were heavily concentrated in eating and drinking places in San
Francisco (34.3%),
but were engaged with much more diversified activities in
their smaller and more entrepreneurial community in Los Angeles (Razin 1988a).
These examples
indicate the existence of localized ethnic entrepreneurial
enclaves of various types in North America, influenced both by ethnic resources
and local opportunities.
5. Conclusions
This paper argues that location and ethnicity influence independently and
interact with regards to their influence on entrepreneurship among immigrants.
On the international scale,
the role of location can be attributed to
differences in human capital characteristics of immigrants attracted to various
countries, and to differences in opportunities created by the absorbing economic
systems. As to the inter-metropolitan scale, an additional role of localized
ethnic entrepreneurial enclaves can be of major significance.
The greater bureaucratization of the absorption process in Israel, as well
as Israel's economic attributes end implications of its regional policy could
have created a climate less conducive for entrepreneurship among immigrants than
the North American climate.
Canadian attempts to attract entrepreneurs coming
25
with sufficient capital end proven record of business have been aimed only
towards those few coming with qualifications for joining the higher economic
strata of Canadian society soon after immigration. The greater emphasis on
family and ethnic ties in the United States might have contributed most to the
formation of ethnic enclaves,
enabling advancement through entrepreneurial
careers for large numbers of immigrants lacking prior qualifications to begin at
the
"top". Still,
differences in metropolitan economies, rather than the
marginal differences between the US and Canadian economies,
might have
influenced most the prospects for the evolution of ethnic entrepreneurial
enclaves.
The rate of self-employment among new immigrants in each country or
metropolitan area was mostly influenced by the local opportunity structure, as
reflected by the general size and characteristics of the self-employed sector,
rather than by the ethnic resources of the particular mix of immigrants. Thus,
the existence of large non-entrepreneurial immigrant groups produced more selfemployment opportunities for other immigrants. The metropolitan wider socioethnic characteristics, such as the bilingual character of Montreal and the
concentrations of central city minority slums in American metropolitan areas,
also influenced prospects for
utilization of
particular self-employment
opportunities by immigrants.
Still, ethic origin, approximated by country of birth, had a more central
role than location within the country in predicting the entrepreneurial behavior
of individual immigrants
Whereas the overall entrepreneurial activity of
immigrants greatly depended on the local opportunity structure, entrepreneurial
behavior of specific immigrant groups in different locations frequently depended
on class resources and ethnic networks
of immigrants
reaching various
destinations. The local opportunity structure might have indirectly attracted
26
the more entrepreneurial immigrants to countries and metropolitan areas offering
more ample opportunities for entrepreneurial ventures. However, it seems that a
phenomenon such as the extremely high rates of self-employment among Israelis in
Los Angeles,
reflects more an unintended outcome of blocked opportunities for
advancement in the primary labor market,
accompanied by ample self-employment
opportunities not utilized by other immigrant groups.
Location and ethnicity interact in their influence on self-employment among
immigrants more clearly in North America than in Israel. This might indicate the
existence of
localized ethnic entrepreneurial enclaves in North America
specializing in various distribution or blue-collar activities. In Israel,
advancement of
immigrants
with
entrepreneurial activity was more
metropolis.
inferior
levels of education through
limited to retail and to the Tel Aviv
Ethnic entrepreneurial enclaves either do not exist to the same
extent, or are limited to the Tel Aviv metropolis
in various distribution
activities and to Jerusalem in white-collar services. Rates of self-employment
among immigrants in Tel Aviv and Jerusalem resembled those in the metropolitan
areas of California, and were higher than in Canada. However, the high tendency
of self-employed immigrants in Israel to engage in white-collar services, and
their relative concentration
in Jerusalem differed from the North American
experience. These tendencies can be partly attributed to the local opportunity
structure,
a nd
partly to the attributes of immigrants from Europe and North
America, being of middle-class background.
These immigrants frequently had
ideological-religious motivations and were, thus, attracted to Jerusalem. Their
tendency to engage in white-collar self-employment activities in Jerusalem did
not represent typical ethnic enclaves.
Still,
difficulties in penetrating
attractive jobs in public and private organizations might have increased their
propensity to resort to self-employment.
The reemerging
de ba te on
where to
27
settle new immigrants in Israel, and the increasing role assigned by demographic
trends to immigration in future expansion of the labor force in North America,
emphasizes the significance of patterns
identified in this paper for future
local and regional development trends.
Footnotes
1.
The study of the Israeli case was supported by a grant of the Israel
Foundation Trustees. The study of the Canadian case was done with Andre Langlois
from University of Ottawa,
and was supported
by the
Programme of Canadian
Studies of the Hebrew University.
2. The complete studies,
treating wider populations and including formal
hypotheses and details of the logit and log-linear models are available by
request from the author.
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TABLE 1: Rates of self-employment among new immigrants in Israel-1983, Canada-1981
and California-1980 by country of birth and urban area of residence.
Israel-1983
!
!A11 cities !Tel Aviv!Jerusalem!Haifa !Develop.
!& towns
!metro. !metro.
!metro.!townsl4
Country
of birth
Canada-1981
!
!13 CMAs
!Montreal
!CMA
!
--------_-_-___--___~-------~~~~~~--~~-~~-~~--~--~~~~~-~~~~~~~~~~-~~~~~~~~~~~~~~~~--
USSR
Poland2
11668
240
1733
x
Germany
5.1
10.0
13.3
x
5.8
9.7
11.0
Britain4
Portugal
Europe-others
&7 4.0
Irane
8755 15.8
India7
287 0.3
Chinae
- Israel
- Middle Eastothers
458 12.0
Asia-others
- Africa
1267 10.8
North A m e r i c a 1374 9.8
Latin America
1592 10.6
- - - - - - - All immigrants 20541 7.0
Total pop.13
11.6
(1:::)
4.1
113 8.8
132 3.0
206 14.8
1372 5.2
765
2.4
1277 8.2
x x
(E,
. .
(23.5)
X
..
X
..
X
X
4x.7
..
z.8
8.5
0.8
X
7.0
18.5
0
lE.0
14.0
0
. .
. .
. .
4.0
0.9
8.8
X
14& g.1
x x
15.3
15.2
6.9
12.6
- 8.0
13.3
(0)
12.1
12.2
10.3
- - 9.9
10.4
(9.7)
7.9
4.8
7.4
- 4.8
10.1
i.3
X
(2.2)
2&3 ts.1
4.4
7 7 8 9.4
11.1
583 7.5
8.4
2131 2.6
- - - - - - 5.0
11700 5.9
8.4
6.7
X
8.2
9.1
7.0
2.3
5.9
6.1
Canada-1981 !
California-1980
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - country
!Toronto!Vancou-!Other !Three metro.!Los Ang.!San Franc.!San Diego
of birth
!CMA
!ver CMA!CMAsl6!regions
!SCSA
!SCSA
!SMSA
- - - - - - - - - - - - - - - - - - - - - - - - - - - 7.4
USSR
10.9
. .
240 14.2
15.2
. .
(0)
Poland2
0
X
(2.0)
Germany=
15.1 (14.6)
1;;s ;f.s
E.4
14.1
lg.2
Britain*
5.0
3.9
504 12.7
15.9
8.3
(16.7)
(ii7
1.6
Portugal5
3.3
1.6
155 1.3
15:5
15.1
Europe-others 7.9
7.2
8.6
1029 15.3
14.5
Irane
X
X
X
593 24.6
23.7
24.8
(33.3)
X
5.6
India
X
12.6
410 9.0
Chinae
5.7
5.3
4x.2
18.3
13.5
(23.5)
1424 15.7
Israel
X
X
X
189 28.1
30.5
20.4
..
Middle East23.0
X
others
X
X
605 23.6
23.6
(28.0)
7.3
13.1
5.8
Asia-others
4887 9.7
Africa
:.:
:-ii
11.7
323 13.0
14.4
(36.6)
North America 7.3
5.4
299 17.4
18.3
12.3
lit.::
(27.3)
2.5 11011 3.6
Latin America 2.3
10.3
3.5
3.6
5.6
-
-
-
-
-
-
-
All immigrants 5.5
Total pop.ls 7.0
-
-
-
::"3
-
-
57
6.4
-
-
-
-
-
22881 8.5
n.a.
-
-
8.4
n.a.
-
-
-
8.4
n.a.
-
-
-
-
9.8
n.8.
-
Table 1 (continued)
1. Sources: national censuses of population. For definitions of populations, see the
Data and Methodology section. The Table does not give the details for Israeli nonmetropolitan veteran towns in the coastal plain, end for some minor countries of
birth. However, these are included in the relevant "total" rows and columns.
The figures in the Table are of % self-employed, except for those in bold which are
of the total working population. These figures of the total working population refer
to the samples used in the analysis (20% in the Israeli case, 5% in the Californian
case, 2% in the Canadian case).
(
) Based on a sample of less than 50.
A sample of less than 25.
x The country of birth is included in a broader category in the Table.
- No cases in the sample/irrelevant.
..
2. Poland - included in Europe-others in the California sample.
3.Germany -- including Austria in the Israeli sample; including Austria and the
Netherlands in the Canadian sample.
4. Britain - included in Europe-others in the Israeli sample.
5. Portugal - included in Europe-others in the Israeli sample.
6. Iran - included in Asia-others in the Canadian sample.
7. India - included in Asia-others in the Canadian sample.
8. China- including Taiwan and Hong Kong in the California sample; includes Asian
born of Chinese ethnic origin in the Canadian sample.
8. Israel - included in Asia-others in the Canadian sample.
10. Middle East-others - not including Fgypt in the Israeli sample; included in Asiaothers in the Canadian sample.
11. Africa - not including Egypt in the American sample.
12. North America - including Oceania in the Israeli sample; includes only the USA in
the Canadian sample; includes only Canada in the American sample.
13. The rates of self-employment of the total working population refer in the Israeli
sample only to Jews.
14. Development towns - all peripheral towns in Israel, including Beer Sheva, and
non-metropolitan new towns in the coastal plain populated by immigrants after 1848.
15. Halifax, Quebec, Ottawa-Hull, Hemilton, St. Catharines-Niagara, Kitchener,
London, Winnipeg, Calgary, Edmonton.
TABLE 2: Self-employed immigrants by urban area of residence and industry, Israel1983, Canada-1981, California-19801
-
-
-
-
-
Agricu- Manufa- ConstrFood
Transp.,
lture, cturing uction Wholesale Retail services storage,
communic.
primary
- - - - - - - - - - - - - - - - -
Tel Aviv metro.
Jerusalem metro.
Haifa metro. &
veteran towns
in coastal plain
Development towns
- - - - - 13 CMAs
Montreal CMA
Toronto CMA
Vancouver CMA
Other CMAs
- - - - - - -
0.1
0.2
0
15.8
18.3
11.3
2.8
2.1
3.9
4.8
7.1
2.7
25.8
28.7
19.8
8.1
7.1
3.1
5.9
4.8
3.1
0.4
0
- -
13.4
15.2
- - -
4.8
1.7
- -
3.4
1.3
- -
28.1
27.3
- - -
4.8
8.2
- -
5.5
12.8
- - -
-
8.7
1.9
9.8
5.0
0
10.9
8.4
1.1
11.4
17.3
8.3
7.9
8.4
1.1
7.3
- - - - - - - - -
7.8
8.1
Los Angeles SCSA
San Francisco SCSA 8.4
10.9
11.9
8.4
9.3
9.8
8.2
8.0
5.9
8.2
7.1
1.7
- - -
23.9
9.8
24.8
14.9
28.8
5.0
18.5
11.0
21.2 12.8
- - - - - -
8.4
8.9
8.4
2.4
7.8
- -
5.9
8.5
4.3
19.4
18.9
20.7
3.3
3.2
3.7
10.3
8.4
14.8
Business Public Personal Total
services services services (abs.no.)
- - - - - - - - - - - - - - - - - - 19.8
8.4
18.9
7.1
Tel Aviv metro.
18.0
21.0
Jerusalem metro.
Haifa metro. &
veteran towns
23.1
in coastal plain 8.0
18.9
Development towns 4.3
- - - - - - - - - - - - - -
10.9
8.0
19.1
8.9
238
12.8
231
- - - - - -
12.5
12.7
8.7
12.9
4.0
12.9
Montreal CMA
11.1
14.3
7.5
Toronto CMA
11.8
13.4
8.3
Vancouver CMA
15.1
14.5
10.1
Other CMAs
- - - - - - - - - - - - - - - 10.5
Los Angeles SCSA 10.2
San Francisco SCSA 11.2
9.9
9.2
11.8
1378
852
257
12.9
13.8
10.7
887
101
280
127
179
- 1818
1281
535
1. The Table includes only those who immigrated to the three countries during the
decade prior to the census. For detailed definitions, see the Data and Methodology
section. Classifications of industries differ slightly in each country.
Particularly, services are split in a slightly different way into business, public
and personal services. Also, horticultural services are included in agriculture in
the United States and in services in Israel.
TABLE 3: Self-employed immigrants by country of birth and selected industries,
Israel-1983, Canada-1981, California-19801
-
-
-
-
Manufa- ConstrFood
Business Public, T o t a l
cturing ucticn Retail services services personal (absolute
services numbers)
- - - - - - - - - - - - - - -
Iran
Asia, Africa*
USSR
Europe
North America*
Latin America
8.7
19.0
18.5
17.3
7.3
17.4
1.9
1.4
3.7
1.8
5.7
1.2
58.2
36.7
25.6
17.3
6.5
25.2
6.8
4.2
8.2
2.8
3.3
7.8
1.9
5.6
4.7
11.4
18.7
15.0
8.8
18.3
28.0
43.1
51.2
28.2
103
142
571
272
123
167
USA, Northwestern Europe 8.4
Southern Europe 10.7
18.7
Europe-others'
8.9
Asia
8.0
Chinese
14.5
Latin America
14.3
22.6
14.3
3.1
5.3
3.6
13.6
15.5
19.0
34.9
21.3
21.8
3.9
11.9
2.4
13.0
18.7
1.8
21.4
3.8
9.5
8.9
13.3
9.1
28.6
23.8
23.8
13.5
21.3
25.4
154
84
42
192
75
55
12.4
11.9
12.4
4.0
10.3 5.7
21.3 25.2
10.0
10.9
20.4
15.3
371
202
10.1
7.6
6.4
12.8
23.8 9.9
14.3
21.8
9.8
12.8
23.9
16.9
516
133
9.2
13.0
5.9
15.2
34.4 7.5
11.2 10.3
7.0
13.4
24.7
21.0
186
224
Latin America
China, Taiwan
East and south
Asia-others
'Iran
Middle Eastothers
Europe
1. See note no. 1 for Table 2. The Table does not include countries of birth
classified as others in the Canada end California samples.
2. Not including Iran and South Africa.
3. Including South Africa.
4. Including Oceania.
5. USA, Belgium, Luxembourg, France, Germany, Netherlands, Austria, Ireland,
Britain.
8. Yugoslavia, Greece, Italy, Portugal.
7. Mostly East European countries and the USSR.
8. Not including those of Chinese ethnic origin.
9. Chines8 ethnic origin born in Asia.
10. Not including the USSR.
11. Including also industries not specified in the Table: agriculture, other
primary, wholesale, transportation, storage and communication.