Friday, February 7, 2014

Binational U.S.-Mexico immigration authority could improve policy

fiercehomelandsecurity.com

Were the United States and Mexico to set up a binational immigration authority that shares detailed information about migrants, policy responses in both countries could improve, says a new Rand Corp. study.

That authority "would compile detailed data on each individual migrant's work
history, employers, qualifications, occupations, employment and unemployment periods, family characteristics, and contributions to the social security systems of both countries," the report proposes.
Detailed data would improve each country's understanding of the labor market. For the United States, knowing more about migrants and the drivers of immigration could help it craft more effective visa policies, for example. Policies that more closely harmonize the supply of migrant labor and the demand for it could reduce illegal immigration and improve border security.

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The report also says that the United States should consider a bilateral social security agreement with Mexico, in order to reduce dual taxation when employees contribute to social security both where they work and in their country of origin. The lack of an agreement encourages migrants to work for more years in the United States, in order to claim retirement benefits, when they might otherwise prefer to return to Mexico sooner.

Additionally, "without such an agreement between the United States and Mexico, return migrants are less likely to qualify for social security benefits upon return to Mexico and could be more vulnerable to poverty in old age," the report says.

The United States already has binational social security agreements with two dozen countries, mostly in Europe. Chile is the only Latin American country with an agreement.

Understanding the motives of migrants could help Mexico improve schools, infrastructure and the business environment in areas that see a significant amount people emigrate. Policymakers in Mexico could design incentives to give residents more opportunities in their place of origin.

Contrary to popular perception, the report says, migrants to the United States don't come from the poorest areas of Mexico, but rather from those where poverty rates are low or moderate.

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