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by froogle 3575 days ago
> It's not at all clear this violates "Econ 101". Supply and demand set prices, and wages are basically the price for labor. Increasing the supply of labor should necessarily decrease wages, and vice versa.

Increasing the supply of labor also increases the demand for other goods. Workers have to eat! If you kick someone out of the country, you reduce demand for food, clothes, etc., eliminating the local jobs that would have gone towards satisfying that worker's needs.

Not that I'm arguing against the possibility of more workers lowering wages. They might, to some degree (studies are unclear on to what degree they do), but it's not a zero-sum game, here.

1 comments

But does the benefit make up for the cost? It would be really unlikely if 100% of a workers wages went into the local economy, let alone local workers. Many products they buy may be from overseas, for instance.