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Skilled Immigration UPSC NOTE

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  Skilled Immigrants Drive Innovation and Job Creation Immigrants not only fill existing positions but also create new ones by founding comp...

 Skilled Immigrants Drive Innovation and Job Creation

  • Immigrants not only fill existing positions but also create new ones by founding companies, which attract investments and generate jobs.

  • Immigrant-founded companies in the U.S. have historically grown faster than native-founded firms, with more than half of America’s billion-dollar startups started by immigrants.

  • Skilled immigrants play a crucial role in expanding the foundation of American employment, especially in tech and biotech sectors.

Impact on Wages and Productivity

  • Hiring foreign STEM workers leads to increased productivity and innovation, which in turn benefits native workers through higher wages and more job opportunities.

  • Studies show that each H-1B visa holder creates additional jobs for native-born American workers, (research indicating an increase of 1.83 jobs for every H-1B visa holder over seven years)

  • Foreign workers also drive significant gains in patents and technological advancements, contributing to the overall growth of the economy.

‘Brain Circulation’ and Global Talent Competition

  • The flow of skilled workers is seen as "brain circulation," with Indian professionals returning home to bolster India’s tech sector after gaining experience abroad, benefiting both nations.

  • India’s tech ecosystem has been strengthened by the experience and knowledge brought back by skilled immigrants, positioning the country as a significant player in global innovation.

  • Global competition for talent is increasing, and countries with liberal immigration policies, like Canada, are attracting companies and jobs from nations with restrictive policies, like the U.S.

A Solution for Flexible Immigration Policies

  • The current H-1B visa system creates artificial scarcity, hindering American companies from expanding and reducing potential job creation.

  • The U.S. needs more flexible visa regimes, including:

    • adjusting caps to reflect market demands 

    • ensuring a smoother transition for foreign students trained in U.S. universities to stay and contribute.

  • India should also focus on creating innovation clusters with global standards, offering incentives for research and development, and fostering an ecosystem that supports risk-taking and entrepreneurship.

  • India can attract global talent and entrepreneurs through programs like a startup visa, which can contribute to building a dynamic innovation ecosystem in the country.


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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Skilled Immigration UPSC NOTE
Skilled Immigration UPSC NOTE
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