"The number of applicants is now so great that the government might run out of permits." - This is the catchy opening statement of the article from CNN addressing the U.S's cash for green cards program mentioned in another blog post a few weeks back.
For wealthy Chinese families, having a green card offers a lot of opportunities in the U.S. as well as an improvement in quality of life. For the U.S., this is another lucrative source of finance. With the "comparatively low cost" of a $ 500,000 investment, Chinese applications no doubts swarmed the immigration offices.
Is this also one of the way that resources flow from "poorer economies" to "richer economies" as mentioned in our lectures?
Please feel free to leave a comment.
Source: http://money.cnn.com/2014/03/25/news/economy/china-us-immigrant-visa/index.html?iid=HP_River
I did not realize the U.S only offers 10,000 visa cards a year.. priced at 500k a pop thats a quick 5,000,000,000 entering the economy every year. What are the disadvantages to allowing it to be 20 thousand or 50 thousand visa's a year?
ReplyDeleteI think the US should have different classes of Visa's available for purchase. The smartest thing for us to do is to use an auction to capture the full producer surplus from our sale. Another class of visas could be available for family re-unification cases, etc. It is certainly a lucrative business.
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