Kaldorian disaggregation, temporary migration and domestic welfare
journal contribution
posted on 2024-11-02, 00:03authored byJennifer Lai, Bharat Hazari, Vijay Mohan
We build a model with two agents: domestic residents and temporary immigrants. The modelincorporates Kaldorian disaggregation, with the two groups consuming different goods produced in theeconomy. It is established that, under certain conditions, an increase in immigrant labor lowers thewelfare of the domestic residents. This runs against conventional wisdom that temporary immigrationenhances the welfare of domestic residents.