Three Essays on Low-skilled Migration, Sustainability and Trade in Services PDF Download

Author: Catherine Alexandra Milot
Publisher:
ISBN:
Category : Altruism
Languages : en
Pages :

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Book Description
Chapter 1 Low-skilled Migration and Altruism: Population ageing has become a common concern among welfare states, including Canada and most of the OECD countries. Immigration has been identified as a solution to help sustain labour-force growth in industrialized countries, and as the factor most able to mitigate dire predictions of future fiscal imbalances. This chapter examines the impact of low-skilled immigration in a host country where households are altruists with a pay-as-you-go pension system to support the elderly. It demonstrates that low-skilled immigration does not harm the welfare of the domestic population. We use an overlapping-generations model similar to the work of Razin and Sadka (2000) but introduce paternalistic altruism into the life-cycle framework. Within this context of inter-generational altruism and pay-as-you-go pension systems, the initial negative fiscal impact of low-skilled migrants is compensated, thus, all income groups (high and low) and all age groups (young and old) benefit from migration. // Chapter 2 Growth and Sustainability: In light of the major environmental issues experienced by several countries in the last decades, several papers have advocated the rethinking of the role of governments in environmental preservation. This chapter develops an overlapping-generations model of environmental quality and production and investigates the potential role of governmental participation in the preservation of the quality of the environment so as to achieve both economic growth and environmental sustainability. The analysis suggests that long term economic growth and environment sustainability can be maintained with tax-funded environmental programs in a context of a negative production externality on the quality of the environment. // Chapter 3 The Incidence of Geography on Canada's Services Trade: We estimate geographic barriers to export trade in nine service categories for Canada's provinces from 1997 to 2007 using the structural gravity model. Constructed Home, Domestic and Foreign Bias indexes capture the direct plus indirect effect of services trade costs on intra-provincial, inter-provincial and international trade relative to their frictionless benchmarks. Barriers to services international trade are huge relative to inter-provincial trade and large relative to goods international trade. A novel test confirms the fit of structural gravity with services trade data.