Bilateral labor agreements could unlock $156 billion in global welfare gains.
The article discusses how allowing temporary movement of workers between countries can boost global welfare by over US$156 billion annually. It suggests using bilateral labor agreements to promote trade in services through the temporary movement of people. These agreements need to be designed specifically for this purpose and ensure that the movement of workers is temporary. Case studies show that these agreements can be beneficial for middle-income countries with small migratory flows. Source country governments should commit to ensuring the temporary nature of these movements and work with the private sector to select sectors to promote in target markets.