The United States does have a product that the rest of the world wants. It is called a “U.S Passport”. What if the United States auctions off 2 million passports this year? I would guess that the price will be $250,000 each. If this experiment works, we can do it again in the near future.
I will leave it to the RBC to explain the costs of this idea so permit me to focus on the benefits;
1. It will generate $500 billion in new revenue each time we hold this auction.
2. The winners of the lottery will need a place to live in the U.S and this increase in housing demand will raise home prices and this will reduce foreclosure rates and could stimulate some new housing construction.
3. High tech firms facing tight labor markets in technical subfields will have new talent to hire from.
4. Younger people (who have more adult years to live here) will be most likely to acquire these new passports. Such an influx of younger workers could help to stabilize the challenging future demographics we face with Social Security’s current financing.