Ceteris paribus,when new immigrants enter a country:

Question

Quizplus · Accepted Answer

The size of the labor force increases, as new immigrants will add to the number of available workers in the economy. This can lead to increased production possibilities and aggregate supply, as there are more workers to produce goods and services. Crowding in may occur if the increase in population is not matched by an increase in resources and infrastructure. Option A is incorrect as immigrants can contribute to overall economic growth. Option B is incorrect as an increase in labor supply should lead to an increase in aggregate supply, shifting the curve to the right rather than left.

Ceteris Paribus,when New Immigrants Enter a Country