Guest Worker Programs: A Theoretical Analysis of Welfare of the Host and Source Countries

Slobodan Djajic and Michael Michael

University of Cyprus Working Papers in Economics from University of Cyprus Department of Economics

Abstract: This paper examines the interaction between migration policies of the host and source countries in the context of a model of guest-worker migration. For the host, the objective is to provide low-cost labor for its employers while avoiding illegal immigration. It optimizes over these objectives by setting the time limit of a guest-worker permit. The source country seeks remittance flows and return migration by offering fiscal benefits to returnees. Within this framework, we solve for the Nash equilibrium values of the migration policy instruments and compare them, to the extent possible, with the ones that emerge in a cooperative setting.

Keywords: Temporary Migration; Remittances; Migration Policy (search for similar items in EconPapers)
Pages: 34 pages
Date: 2011-01
New Economics Papers: this item is included in nep-mig
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://papers.econ.ucy.ac.cy/RePEc/papers/05-11.pdf (application/pdf)

Related works:
Journal Article: Guest worker programs: A theoretical analysis of welfare of the host and source countries* (2013)
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:ucy:cypeua:05-2011

Access Statistics for this paper

More papers in University of Cyprus Working Papers in Economics from University of Cyprus Department of Economics
Bibliographic data for series maintained by ().