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Bound, Khanna, and Morales find multiple effects of H1-B visas on US tech industry

March 19, 2017

A recent NBER report by PSC researcher John Bound, U-M PhD grad Gaurav Khanna, and U-M grad student Nicolas Morales is cited in this *Wall Street Journal* piece on the impacts of H-1B visas on the tech industry. Bound et al., who looked at impacts during 1994-2001, conclude that high-skill foreign workers in the US on H-1B visas led to more innovation, cheaper products, and higher tech industry profits, but also to lower wages and employment for US-born workers given the availability of cheaper labor. They say: “In the absence of immigration, wages for US computer scientists would have been 2.6 percent to 5.1 percent higher and employment in computer science for US workers would have been 6.1 percent to 10.8 percent higher in 2001.”

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