I understand that you are trying to make a point about return on capital, but I dont understand how you are connecting it to the question of H1-B visas and if local benefits to industrial expertise outweigh the downward pressure from labor competition.
> I dont understand how you are connecting it to the question of H1-B visas and if local benefits to industrial expertise outweigh the downward pressure from labor competition.
Because what you are calling "local benefits to industrial expertise" is ultimately realized in the form of returns on capital.
Whether these benefits outweigh the costs is an open question.
When the tech industry's growth was very talent constrained as it was in the last few decades, arguably opening labor competition had the effect of increasing overall growth (mainly through new production invention). The list of immigrant technologists who have created new technologies and products - and jobs as a result - could probably fill an encyclopedia.
It's unknown whether that type of growth - the kind that creates more and better jobs - will continue, especially given recent developments in AI.
If the benefits going forward are largely going to be based on massive increases in labor efficiency, then it's not as clear that the benefits (mostly to capital) outweigh the costs (mostly to labor). Most business models in AI are predicated on replacing people, who are expensive, not making more or better goods. Sure, we'll get some neat robots along the way that actually make stuff, but that will likely be a small fraction of the money to be made.
Or perhaps we are at the dawn of a new era of technology which will make more and better jobs. We'll see.
OK, so you were changing the topic to something else you wanted to talk about. That was not clear to me. I thought you were making a rebuttal to what I was saying.
Correct, if you look at my comment I was unpacking what the phrase "to help industry" could mean, not rebutting your comment.
It's relevant to the original context because what helps industry (in terms of immigration regulation) might or might not help workers in that industry.
