14 : Factors That Effect Flexiblilty In The Labour Market MIGRATION

Question 1

What are some advantages in migration

Answer 1

• New skills : migrants bring new skills to the country which can raise the productivity of the work force

• multiplier effects : new workers create new jobs there is a multiplier
Effects

• tax revenues : legal immigrants in work pay direct and indirect taxes

Question 2

What are some disadvantages of migration

Answer 2

• Lower wages : more supply = lower wages for lower paid occupations

• possible unemployment : higher supply of labour means competition for for jobs

• benefit claims : many immigrants find it hard to get work so they might claim benefits