CGD in the News

Immigration Tariff: Reforming a Broken System (Huffington Post)

September 06, 2011

Senior fellow Michael Clemens was mentioned in a Huffington Post blog on U.S. immigration reform.

From the Article

America's immigration system is broken. Years of overregulation aimed at micromanaging the system has produced nearly 100 different types of visas, each with its own complex rules, regulations, and requirements. These rules and regulations hold back American economic growth by discouraging the hardworking and entrepreneurial to come to this country. With unemployment persisting above 9 percent and escalating government deficits, an immigration tariff to replace the current regulatory labyrinth is both sensible and pragmatic.

The immigration tariff is a fee levied on every work visa or green card issued. The tariff approach would streamline immigration procedures, increase federal revenue, and remove most of the cumbersome, economy-killing immigration restrictions now on the books. Ideally, the government immigration services would just interdict criminals, suspected terrorists, and those with deadly transmittable diseases. All others would be eligible for work visas or green cards, for which they would pay the tariff.

Our immigration laws are crammed with silly requirements and anachronistic rules that prevent entrepreneurial immigrants from setting up shop here. For example, EB-5 visas, which are issued to entrepreneurs, require that applicants invest between $500,000 and $1 million in a new U.S. commercial enterprise depending on the region of the country, directly create 10 new jobs within two years, or significantly expand an existing U.S. business. No wonder EB-5 visas are underused.

Read it here