> only works if you have the process for developing unnaturally skillfull talent, which is just not going to happen once the smart people stop moving to the US

So how did America become a world power before H1B? The U.S. was the world’s largest industrial power by the early 20th century with almost zero skilled immigration. We had restrictionist immigration policies from 1921-1965 and skilled immigration after that was a trickle until the 1990s. Apart from one-off events like German scientists after World War II, immigration was heavily skewed towards poor but hard workers.

Because unskilled work and a gigantic natural resource base was the basis for wealth of the 19th century but that doesn’t hold up anymore?