EconPapers    
Economics at your fingertips  
 

Blue Cards, Blue Prospects?

Pavel Ciaian and d'Artis Kancs

Journal of Economics and Econometrics, 2007, vol. 50, issue 1, 1-28

Abstract: Recently, the European Commission has proposed to introduce a new migration policy instrument - Blue Cards - to attract highly skilled workers from abroad by lifting labour market restrictions, offering financial and housing benefits. The excludability character of human capital suggests that what is beneficial for receiving countries might be harmful for sending countries. This article investigates if and why high-skill migration in general and Blue Card scheme in particular might be harmful for sending countries. We find that the proposed Blue Card scheme makes the developing country growth prospects indeed blue. However, compared to other forms of labour migration, the upcoming Blue Card scheme is known well in advance. Analysing alternative policy options we show that, taking advantage of this ex-ante information, targeted and timed policy interventions can minimise the adverse impacts of high-skill emigration. Thus, compared to other migration regimes Blue Cards are worse for sending countries, but they oer better opportunities for them to avoid the adverse impacts.

Keywords: High-skill migration; innovative capital; economic growth; general equilibrium. (search for similar items in EconPapers)
JEL-codes: F02 F22 (search for similar items in EconPapers)
Date: 2007
References: Add references at CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
https://ideas.repec.org/a/eei/journl/v50y2007i1p1-28.html
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Blue Cards, Blue Prospects? (2007) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eei:journl:v:50:y:2007:i:1:p:1-28

Access Statistics for this article

More articles in Journal of Economics and Econometrics from Economics and Econometrics Society Contact information at EDIRC.
Bibliographic data for series maintained by Julia van Hove ().

 
Page updated 2019-07-23
Handle: RePEc:eei:journl:v:50:y:2007:i:1:p:1-28