This paper studies the impact of skilled immigration policy changes in the U.S. using a dynamic general equilibrium model with skilled migration, offshore labor hiring, and intermediate input trade. The novel feature of the model is that it explicitly accounts for firms’ response in offshore...

Immigrants and offshore workers become important disturbing factors of domestic employment in the globalized economy. In this study we build a model with this feature to test how the three groups of workers in the labor force interact using a panel data of 155 countries over the period...