Immigration and economic welfare: Resource and environmenta

The relation between immigration and the economic welfare of residents is analyzed for resource-rich economies (such as Australia) both under competitive conditions and when various distortions are present. Immigration provides efficiency gains for residents under distortion - free competition for s...

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Bibliographic Details
Published in:The Economic record 1993-09, Vol.69 (206), p.259
Main Authors: Clarke, Harry R, Ng, Yew-Kwang
Format: Article
Language:English
Subjects:
Competition
Consumption
Cost control
Economic conditions
Economic theory
Environment
Expenditures
Externality
Government spending
Immigrants
Immigration
Immigration policy
Noncitizens
Population
Rentals
Studies
Subsidies
Taxes
Wages & salaries
Welfare economics
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Summary:The relation between immigration and the economic welfare of residents is analyzed for resource-rich economies (such as Australia) both under competitive conditions and when various distortions are present. Immigration provides efficiency gains for residents under distortion - free competition for standard "gains from trade" reasons. Such reasons, however, tend to be ignored by immigration and "optimal population" theorists who raise the issue of restricting immigration without explicitly referring to the distortions. In situations where distortions and externalities are present, it is contended that it is generally preferable to devise policies which specifically target the distortions than to restrict immigration. Regardless of population-immigration policies, there are strong arguments for efficient resource pricing. Population and immigration policies seldom emerge as an efficient way of dealing with environmental and resource problems.
ISSN:0013-0249
1475-4932