This paper outlines some recent points of debate over the economic impact of skilled migration on Australia. It is argued that the national gains from an increase in skilled immigration are likely to be small but there are significant effects on income distribution. Recent general equilibrium modeling results are used to show that the skill based immigration programme is a blunt instrument for targeting particular skills needs and may have many potential unintended consequences including the “crowding-out” of higher education in Australia.
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Paper provided by School of Economics, The University of New South Wales in its series Discussion Papers with number
2007-22.
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