While most countries welcome (and some even subsidise) high-skilled immigrants, there is very limited evidence of their importance for domestic firms. To guide our empirical analysis, we first set up a simple theoretical model to show how foreign experts may impact on the productivity and wages...

We consider the fiscal impact of work related high skilled immigration to a generous welfare state. In a simple theoretical model, we show that, even though a generous welfare state tends to attract immigrants with a high demand for public services, the high skilled immigrants may still be...