Self-Confirming Immigration Policy

by Palo E Giordani and Michele Ruta WTO Staff Working Paper ERSD-2012-06, March 2012 We study immigration policy in a small receiving economy under self-selection of migrants. We show that a a¤ected by the migratory decisions of skilled and unskilled foreign workers. From this interaction multiple equilibria may arise, which are driven by the natives.expectations [...]