Question:

Econ help, please?

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How does the addition of 1 million immigrants affect (i) employment of farm workers and (ii) employment of native U.S. farm workers?

a. Total employment is unchanged, but employment of native U.S. workers falls by 1 million.

b. Total employment rises by 1 million, and total employment of native U.S. workers is unchanged.

c. Total employment rises by less than 1 million workers so employment of native U.S. workers falls.

d. Total employment falls so employment of native U.S. workers falls by more than 1 million.

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2 ANSWERS


  1. ♦ c. Total employment rises by less than 1 million workers so employment of native U.S. workers falls.

    But to be more specific it all depends on short or long-run and type of reaction in labor-market. Here are at least 4 possible outcomes:

    For static model:

    1) Immigrants counted as unemployed:

    Total employment falls

    Total unemployment rises

    Local employment unchanged

    Local unemployment unchanged

    2) Immigrants instantly become employed:

    Total employment increases

    Total unemployment falls

    Local employment unchanged

    Local unemployment unchanged

    For dynamic model (in a middle of cycle)

    3) Immigrants counted as unemployed

    Total employment falls

    Total unemployment rises

    Local employment falls

    Local unemployment increases

    4) Immigrants instantly become employed:

    Total employment increases

    Total unemployment falls

    Local employment falls

    Local unemployment increases.

    So just give more details what happens with these immigrants.


  2. i pick  A

    since only a few native U.S farm workes work in farms, they would not be badly affected. if you talk about farm workers, it will reduce wages since new immigrants work for less than native or immigrant that have more time in the U.S. if there was not a minimum wage, employment of natives would be reduced by a million because of the lower wage taken by immigrants

    this question needs more details to give a more specific answer.
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