Stanford Economist Hanno Lustig Highlights Economic Costs of Deterring 'Smart, Driven People'

Stanford Graduate School of Business economist Hanno Lustig recently issued a pointed statement on social media, cautioning against policies that exclude "smart, driven people and risk takers" from contributing to national prosperity. His remarks underscore a critical debate regarding the economic implications of immigration and talent retention for a nation's growth and global competitiveness. Lustig's commentary suggests that such exclusionary practices could inadvertently undermine efforts to achieve national goals. In his tweet, Lustig explicitly stated, "> Keeping out smart, driven people and risk takers to make America great again." This powerful statement frames the exclusion of specific demographics, particularly those with valuable skills and entrepreneurial drive, as counterproductive to the very objective of national advancement. As an economist, Lustig's perspective consistently centers on the measurable impact of human capital and entrepreneurial spirit on economic output and innovation. Economic research frequently supports the notion that immigration, especially of skilled individuals, can significantly benefit host economies. Studies on the fiscal impact of immigration often conclude that the net effect is minimal or positive, with immigrants frequently contributing as much or more in taxes than they receive in public services. Highly skilled migrants, in particular, are consistently identified as net fiscal contributors, bolstering public finances, driving innovation, and filling critical labor gaps that native-born populations may not. Further analysis indicates that increased immigration can stimulate broader economic growth, leading to higher local wages for existing residents and fostering a vibrant environment for innovation, as evidenced by a rise in new patents in areas with higher immigrant populations. This extensive body of evidence suggests that policies designed to deter or exclude talented individuals could inadvertently stifle economic dynamism, reduce overall productivity, and impede long-term national development. The ongoing discussion among policymakers, business leaders, and economists continues to weigh the strategic advantages of attracting global talent against restrictive immigration measures, with Lustig's tweet adding a prominent voice to the economic argument.