One of the seemingly unfair things regarding inter-state relations today is the trouble that many people go through in order to qualify for visas into the countries of Europe of North America. Starting with the demolition of committees intent on determining the labour requirements in the UK, Tim Harford presents a brilliant and market-driven approach to issuance of permits to immigrants.
While I am opposed to strong nationalism as a form of discrimination, I also understand the possibility that some immigrants could be motivated to move to countries with welfare systems. This possibly small number of freeloaders may then benefit from redistribution of income from other tax paying workers. Tim Harford's solution challenges the cultural biases by asking governments to price immigration permits through auctions and use the proceeds in supporting public services. A good idea in applied economics even if politically impractical for the time being.
I am impressed because auction theory is among the ideas in economic theory that I find to have real and practical value. More thinking power to Tim Harford.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment