Discussion Paper No.2003

Abstract :
Applying a simple two-country model, we find that under mutual reaction by each country regarding the productive quality of migrants, the host country may be able to reduce the total number of illegal immigrants by changing the restriction policy toward illegal immigration. On the other hand, the host country has no effective policy method to improve the average quality of immigrants, but the relative population increase in the source country may realize this improvement.

Keywords : illegal immigration, brain drain, strategic policies toward migration, per-capita national income, average quality of foreign workers
JEL classifications: F22, J61