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The Economic Benefits from Immigration

  • George J. Borjas

Natives benefit from immigration mainly because of production complementarities between immigrant workers and other factors of production, and these benefits are larger when immigrants are sufficiently 'different' from the stock of native productive inputs. The available evidence suggests that the economic benefits from immigration for the United States are small, on the order of $6 billion and almost certainly less than $20 billion annually. These gains, however, could be increased considerably if the United States pursued an immigration policy that attracted a more skilled immigrant flow.

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File URL: http://www.aeaweb.org/articles.php?doi=10.1257/jep.9.2.3
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Article provided by American Economic Association in its journal Journal of Economic Perspectives.

Volume (Year): 9 (1995)
Issue (Month): 2 (Spring)
Pages: 3-22

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Handle: RePEc:aea:jecper:v:9:y:1995:i:2:p:3-22
Note: DOI: 10.1257/jep.9.2.3
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  1. Randall Filer, 1992. "The Effect of Immigrant Arrivals on Migratory Patterns of Native Workers," NBER Chapters, in: Immigration and the Workforce: Economic Consequences for the United States and Source Areas, pages 245-270 National Bureau of Economic Research, Inc.
  2. Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-53, September.
  3. John A. James & Jonathan S. Skinner, 1984. "The Resolution of the Labor Scarcity Paradox," NBER Working Papers 1504, National Bureau of Economic Research, Inc.
  4. George J. Borjas, 1994. "The Economics of Immigration," Journal of Economic Literature, American Economic Association, vol. 32(4), pages 1667-1717, December.
  5. Robert Dekle & Jonathan Eaton, 1994. "Agglomertion and the Price of Land: Evidence from the Prefectures," Boston University - Institute for Economic Development 47, Boston University, Institute for Economic Development.
  6. Borjas, G.J. & Freeman, R.B. & Katz, L.F., 1991. "On The Labor Market Effects Of Immigration And Trade," Harvard Institute of Economic Research Working Papers 1556, Harvard - Institute of Economic Research.
  7. Rachel M. Friedberg & J. Hunt, 1995. "The Impact of Immigrants on Host Country Wages, Employment and Growth," Working Papers 95-5, Brown University, Department of Economics.
  8. Ethier, Wilfred J, 1985. "International Trade and Labor Migration," American Economic Review, American Economic Association, vol. 75(4), pages 691-707, September.
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