Rebordering Britain & Britons after Brexit
The economic impact of Brexit-induced reductions in migration
Abstract
We analyse the determinants of migration flows to the UK, and the impact of restrictions on free movement post-Brexit, in both the short and long term. We then provide plausible, empirically based estimates of the likely impacts on growth and wages using relationships from the existing empirical literature. We find that Brexit-induced reductions in migration are likely to have a significant negative impact on UK GDP per capita (and GDP), with marginal positive impacts on wages in the low-skill service sector.
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