The simple immigration model suggests that, for a high-wage country like the United States, immigration tends to reduce domestic output as well as the total income of businesses.

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Quizplus · Accepted Answer

The simple immigration model actually suggests that immigration increases the overall labor force, leading to an increase in domestic output and potentially increasing the total income of businesses due to the availability of more labor and possibly lower wage costs, enhancing productivity and economic growth.

The Simple Immigration Model Suggests That, for a High-Wage Country