alt Hacker NewsExcept you can't create Google in India. Google isn't minted by divine inspiration hitting a couple of smart guys in a garage.
It's created by an entire ecosystem that allows a project like that to be conceived and executed in such a way that has benefited the entire world, including the poor in India.
It's a big qualifier, but like I said, it's not zero-sum.
No economist will argue that limiting skilled labor immigration (or any immigration, really!) is an optimal policy for improving the lives of the poor elsewhere. It just doesn't work that way.
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I doubt its better for India to have Indians making Google richer than to have them staying in India to make something even a fraction of the size of Google in India. How is India going to create that ecosystem if all the smart people leave?
This is the correct answer. Concentration of talent creates cross pollination and collaborative learning. The innovation is then exported.
That's why I said long term. This logic might as well argue it would be better for China to have had huge immigration to the US 50 years ago and contribute to the manufacturing or automobile industries there. But they didn't, and now they've built up their own ecosystems instead that are more efficient and ahead of the US' ecosystems. You can create Google in India or BYD in China, it just takes time for the ecosystem to build. It has helped China at least, and maybe the world more than if they had immigrated en masse.
The other line of argument is again the fault-tolerance I mentioned above, maybe see Taleb or distributed systems. Maximizing efficiency has trade-offs in resiliency. Yes it might be less efficient for there to be 3 ecosystems in 3 countries instead of 1, but its more resilient to shocks. We saw the risks of highly efficient but single point of failure supply chains materialize just a few years ago during the pandemic.
It's also pretty obvious that the tech companies being in the US benefits the US more than other countries. The big salaries are in the bay area, the tax revenue goes to the US, all the ex-Googlers founding new companies found them in the US etc.. So of course Google being founded in country X would benefit country X more than it being founded in the US.