A critical comparison of migration policies: Entry fee versus quota

Oded Stark, Lukasz Byra, Alessandra Casarico & Silke Uebelmesser
We ask which migration policy a developed country will choose when its objective is to attain the optimal skill composition of the country’s workforce, and when the policy menu consists of an entry fee and a quota. We compare these two policies under the assumptions that individuals are heterogeneous in their skill level as well as in their skill type, and that individuals of one skill type, say “scientists,” confer a positive externality on overall...
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