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Study: Losing the H-2B Visa Lottery Shrinks Firms, Doesn't Create US Jobs

Commenter questions whether the study accounts for market competition

An HN commenter argues that lottery-losing firms can't just hire market-rate US labor because they must still compete against lottery-winning firms with access to below-market-rate foreign labor, asking whether the economists addressed this dynamic.

Commenter questions whether the study accounts for market competition
aeaweb.org

“The firms who do not win the visa lottery "just become smaller firms" instead of hiring market-rate labor because they still have to compete in a market against other firms who won the visa lottery and have access to below-market-rate labor.”

fwlr

Michael A. Clemens Study co-author, economistEthan G. Lewis Study co-author, economistUS Department of Labor Agency administering the H-2B visa lottery

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