Student’sName Professor’s Name Subject Date
Freemobility of labor within the US and the opposition of immigrationinto the country.
Thereare positive and negative effects of controlling trade boundaries.Controls limit the number of immigrants entering the country whilefree labor mobility ensures Native American get priority when itcomes to job opportunities. This article discusses why it isconsistent to oppose immigration into the United States but favorfree labor movement within America.
Whyit is consistent to oppose immigration into the United States butfavor free labor movement within America.
Freemovement of labor within the United States ensures that individualscan go from one state to another in search of employment. Immigrantsbring into the country both productive and idle labor force.Immigration leads to wage narrowing and efficiency gains (McConnell,Brue, and Macpherson np). Migrants from a low wage country willinglyaccept lower salaries than Native-Americans. They thus reduce theaverage wage in America, especially in the low-skill labor market.The reduction affects the amount of money the citizens of the UnitedStates earn.
Favoringfree movement of labor within the US benefits the different statessince labor mobility allows the exchange of various labor skillswithin the country. There are various economic benefits associatedwith free movement of labor. Free labor movement makes laborefficient. Movement of labor benefits the states that experienceinefficiency of either skilled or unskilled labor.
Thefree movement of labor also helps solve the problem of unemployment.The unemployed from one state can find jobs in other states with moreopportunities for work but with an insufficient workforce. Also, itcan prevent wage inflation. Labor shortages in an economy lead to anupward push of the wages resulting in inflationary pressures. Freelabor mobility ensures that labor is evenly distributed whichprevents wage inflation.
Anotherbenefit of free mobility of labor is that it offers an opportunityfor Americans to work where they have never been before. As much asAmerica is united, some comprising states are very distant from eachother. An individual can move from Virginia to go and work in Nevada,Oregon or California (Pettinger np).
Freemovement of labor can also assist in the reduction of regionaldisparities. The different states of America do not have equaleconomies. Some states are more developed than others. Theycontribute differently to the country’s gross domestic product.Gross state product varies among the different states. The mobilityof labor can assist the country to reduce the regional inequalities.Citizens can work in a given state, (e.g. California), and spendtheir earnings in their states of origin
Asmuch as the mobility of labor reduces the wage rate, it also createsa demand for labor. The demand and supply of labor that is created bythe mobility of labor boost the economy of the US.
Anotherpositive impact is the creation of more flexible labor markets(Pettinger np). Some of the economies of the different states mayexperience shortages of various professionals that may take some timeto fill. However, encouraging free mobility of labor means thatqualified workers from other states can fill job vacancies faster.Workforce shortages are overcome quickly making the economy moreflexible.
Themobility of labor within the US can help spread out people of variousage groups across America. In some states, the population comprisesmostly of the old. Migrants from other states can assist in creatinga balanced population. The migrants can work and contribute to thenet public finances of a state (Pettinger np).
Itis also consistent to be opposed to immigration into the US whilefavoring free mobility of trade within America due the adverseeffects associated with immigration. Immigration creates variousproblems in America.
Immigrationleads to pressure on existing infrastructure due to a large number ofpeople getting into the country. The population of the country mayrapidly increase as a result of the huge number of individualsimmigrating into the country. The sudden population increase causesstrain on education, health, and housing. An increase in populationcreates a housing crisis because the demanded houses exceed thoseconstructed. The cost of housing in the country rapidly increases.
Immigrationleads to congestion. The public facilities cannot grow as fast as therise in population. An increase in population causes crowding in thepublic facilities such as health institutions. Traffic congestionalso increases due to the population density which causes an increasein the number of vehicles on the roads. There are thus moreindividuals in need of transportation and movement within the country(Problems of free movement of labor np).
Immigrantsfrom low-wage countries are often willing to accept low wages. Theypush wages downward (Problems of free movement of labor np).Immigrants increase the supply of labor which causes the wages ofNative American workers to reduce. It is the unskilled workers whomostly experience the effect of low wages
Mostimmigrants work for industries as unskilled laborers. Industriesspend less money on them due to the reduced cost of labor which inturn causes their profits to increase. The government receives taxesfrom such industries, but there is no assurance that the taxes gotowards making the public amenities accommodate the surpluspopulation. Industries are likely to replace Native American workerswith cheap immigrants.
Althoughthe government gains from the net contribution by immigrants, theavailable amenities continue to experience the pressure from theincreased population. The industries that utilize the immigrantworkforce remain the biggest gainers. Immigration into America alsodeprives the developing countries of their best-skilled workforcewhile creating unemployment in the United States.
Thedeveloping countries end up with a weak labor force to assist ingrowth as more people migrate to the US. Also, joblessness levelsincreases in the US since the immigrants take up some of the jobsthat the Native Americans could do (Problems of free movement oflabor np).
Thedecision to favor internal mobility of labor within the US and opposeimmigration into the country is consistent. Free mobility of laborwithin the US is adversely affected by immigrates making their wayinto the United States of America. Immigrants deny Native Americansthe opportunity to work. Employees prefer immigrant workers sincethey work for lower pay as compared to Native Americans. Immigrationinto the United States also brings with it other negativeconsequences such as congestion, increased unemployment and increasein crime which are all deterrents to the rapid growth of an economy.Opposing immigration into the country and encouraging free mobilityof labor within America protects the internal labor markets and theeconomy of the country.
McConnell, Campbell R, Stanely L Brue and David A Macpherson. Mobility, Migration, and Efficieny. New York: The McGraw-Hill Companies, 2013. Print.
Pettinger, Tejvan. Free movement of labour – advantages. 25 June 2016. Web. 21 December 2016. <http://www.economicshelp.org/blog/1386/economics/free-movement-of-labour/>.
Problems of free movement of labour. 2016. Web. <http://www.economicshelp.org/blog /21073/labour-markets/problems-of-free-movement-of-labour/>.