TY - JOUR A2 - Davila, Alberto AU - Kondoh, Kenji PY - 2014 DA - 2014/06/30 TI - Emigration, Immigration, and Skill Formation: The Case of a Midstream Country SP - 858460 VL - 2014 AB - This study theoretically investigates the economy of a small country that exports skilled labor to higher developed countries and simultaneously imports unskilled labor from lower developed countries. Compared with the free immigration case, if this country adopts an optimally controlled immigration policy by imposing income tax on immigrants to maximize national income, skills formation is negatively affected and the number of domestic unskilled workers increases. Moreover, under certain conditions, we can assert the counter-intuitive possibility that the wage rate of domestic unskilled workers may decrease but that of skilled workers may increase owing to the restriction of foreign unskilled workers. SN - 2090-4029 UR - https://doi.org/10.1155/2014/858460 DO - 10.1155/2014/858460 JF - International Journal of Population Research PB - Hindawi Publishing Corporation KW - ER -