The gains from immigration of labor or capital to the recipient nation can be summarized as:
A) the total cost of acquiring new resources versus the cost of using domestic resources.
B) the increase in prices minus the increase in the unemployment rate.
C) the gain in domestic real GDP minus costs from immigration.
D) the impact on the ability of labor unions to attract new members and the ability of domestic firms to retain profits.

Question

Quizplus · Accepted Answer

The gains from immigration of labor or capital to the recipient nation can be measured by the increase in domestic real GDP minus costs from immigration. This means that the benefits of immigration should outweigh the costs associated with integrating new immigrants into the economy, such as providing education and healthcare services, and potentially increased competition for jobs. It is important to note that the impact of immigration may vary depending on the specific circumstances of the recipient nation, including its labor market conditions and political environment.

The Gains from Immigration of Labor or Capital to the Recipient