This paper analyses the impact of immigration on the welfare of the native population in an economy that consists of skilled and unskilled workers. Due to unionisation, the wage rate in the market for unskilled labour is above the competitive level. For a given skill endowment of the native...

Many countries are placing a greater emphasis on productive skills in the immigrant selection policies as a way of achieving national objectives regarding immigration. These changes stem primarily from the belief that skill-based immigrants do better in some sense and provide greater economic...