Foreign Professionals in the United States: Regulatory Impediments to Trade

Posted: 16 Jun 2009

See all articles by Aaditya Mattoo

Aaditya Mattoo

World Bank - Development Research Group (DECRG)

Deepak Kumar Mishra

World Bank

Date Written: June 2009

Abstract

Changes in demographics and patterns of investment in human capital are creating increased scope for international trade in professional services. India, one of the largest exporters of skilled services, and the United States, one of the largest importers of skilled services, are two countries that mirror these broader global trends. The scope for mutually beneficial trade is today inhibited not only by quotas and discriminatory taxation, but also by a number of domestic regulatory requirements-including qualification and licensing requirements. To illustrate the nature and implications of these regulatory impediments, this article focuses on the regulatory requirements that Indian professionals face in the US market. It explores the consequences of regulatory discrimination and the economic cost of regulations, and presents some illustrative estimates. The article concludes by examining how the trade-inhibiting impact of regulatory requirements could be addressed through bilateral and multilateral negotiations.

Suggested Citation

Mattoo, Aaditya and Mishra, Deepak Kumar, Foreign Professionals in the United States: Regulatory Impediments to Trade (June 2009). Journal of International Economic Law, Vol. 12, Issue 2, pp. 435-456, 2009. Available at SSRN: https://ssrn.com/abstract=1418393 or http://dx.doi.org/jgp019

Aaditya Mattoo

World Bank - Development Research Group (DECRG) ( email )

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HOME PAGE: http://econ.worldbank.org/staff/amattoo

Deepak Kumar Mishra

World Bank ( email )

1818 H Street, N.W.
Washington, DC 20433
United States

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