Pareto-improving Immigration in an Economy with Equilibrium Unemployment

Economists from around the industrialized world demonstrate the strength of both theories about the rise of economic inequality: that is it the mechanical consequence of changes in such economic fundamentals as technology and demographic parameters; and that it is the contingent consequence country-specific and time- specific changes in institutions. They find that though institutions always play a crucial role in shaping inequality and sometimes preventing it, still it creeps in.