The 2004 accession of Eastern European countries (EU8) to the European Union has generated concerns about the influx of low-skill immigrants to the Western member states (EU15). Only three countries, namely Ireland, Sweden, and the UK, did not impose restrictions to immigration from Eastern...

While most countries welcome (and some even subsidise) high-skilled immigrants, there is very limited evidence of their importance for domestic firms. To guide our empirical analysis, we first set up a simple theoretical model to show how foreign experts may impact on the productivity and wages...

We study the migration policy set by a welfare maximizing government in a model where immigrant workers differ in their skills and are imperfectly matched with heterogenous occupations. The policy fixes a minimum skill level for legal migrants, and foreign workers that fall below it can only...

This paper studies attitudes towards income redistribution in the country of origin among those who stay in a welfare state, and those who emigrate. We find a striking gender difference among Danish emigrants. Majority of men opposes increasing income redistribution, while majority of women...

This paper examines the macroeconomic consequences of the diversion of migration flows away from Germany towards the UK in the course of the EU’s Eastern Enlargement. The EU has agreed transitional periods for the free movement of workers with the new member states from Central and Eastern...

We develop a general equilibrium model of technological change and migration to examine the effects of a change in skill endowments on wages, employment rates and emigration rates of skilled and unskilled workers. We find that, depending on the elasticity of substitution between skilled and...

Fluency in (or ease to quickly learn) the language of the destination country plays a key role in the transfer of human capital from the source country to another country and boosts the immigrant’s rate of success at the destination’s labor market. This suggests that the ability to learn and...

We investigate the labor market effects of immigration in Denmark, Germany and the UK, three countries which are characterized by considerable differences in labor market institutions and welfare states. Institutions such as collective bargaining, minimum wages, employment protection and...

There is little previous comparative research on how new EU member state immigrant population (NMS) and their labour market performance differ across the old member states. This paper extends the earlier literature by investigating NMS immigrants’ composition and labour market performance in...

We estimate the impact of the income earned in the host country on return migration of labour migrants from developing countries. We use a three-state correlated competing risks model to account for the strong dependence of labour market status and the income earned. Our analysis is based on...