Immigration policy index

I construct an immigration policy index which is heterogeneous across destination-origin country pairs and variant over time. This index is based on three types of entry visa restrictions: visa required, visa not required for short stays and visa not required at all. When estimated in levels, visa exempt country pairs account for around 15% more migrants than their counterfactual. I show that the effects of migration determinants vary by the type of visa restrictions. Further, I identify country pairs which changed their visa regime during 2000-2010 and find that the weakening of visa policy is associated with a 10% increase in migrant stocks and a significant shift toward male and less skilled migration from policy affected source countries. In contrast, the tightening of visa policy is not related to a significant change in migrant stocks, their gender or skill composition.