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Discussion 5 Immigration -- Article 2

Discussion 5 Immigration -- Article 2 - Letters On...

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Letters On immigration, data privacy, our cover of June 19th, mobile phones, Kyrgyzstan, accountancy, counter-insurgency, Dr Octopus, job titles Jul 8th 2010 Ideas on immigration SIR – I appreciate that you discussed my proposal to create a market for immigration ( Economics focus (http://www.economist.com/node/16424085?story_id=16424085) , June 26th). Your article accurately presented the essence of my argument, but mentioned two criticisms that are unpersuasive. First, and contrary to the claim that you attributed to Abhijit Banerjee, the system I propose of poorer immigrants borrowing from their employers to finance their immigration fees allows the migrants to move freely between employers. As long as labour markets are competitive, such quits and hires of immigrants would be perfectly feasible and fair, unlike the sugar-plantation case mentioned in your article. The second criticism, attributed to Sendhil Mullainathan, is that some immigrants may provide benefits to the rest of society; that is, they may create positive “externalities”. In my lecture I
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