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Legal migration policy and law

Author

Listed:
  • Meenakshi Fernandes
  • d'Artis Kancs
  • Cecilia Navarra

Abstract

This paper investigates the potential macro-economic effects of selected EU-level policy options on legal migration on the EU economy. The approach is based on a macro-economic model that models several frictions and barriers on the supply and demand side of the EU labour market resulting in a sub-optimal allocation of labour and lower productivity. Each policy option addresses a specific friction or barrier and consequently has a specific role in generating economic gains relative to the policy status quo. In terms of GDP, these gains range between about €2.8 billion and €19.5 billion per year, when considering individual policy options. Implementing several options together substantially increases the long-run benefits (between about €37.6 and €74.0 billion per year), generating synergies and greater economic gains for society.

Suggested Citation

  • Meenakshi Fernandes & d'Artis Kancs & Cecilia Navarra, 2021. "Legal migration policy and law," EERI Research Paper Series EERI RP 2021/10, Economics and Econometrics Research Institute (EERI), Brussels.
    • Handle: RePEc:eei:rpaper:eeri_rp_2021_10
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    File URL: http://www.eeri.eu/documents/wp/EERI_RP_2021_10.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    International migration; model; human capital; skills; occupational choice; labor productivity;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F47 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Forecasting and Simulation: Models and Applications
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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