What Do You Think will Happen with the Economy with the Increased of Migrants While Contributing The Same GDP?
Biggest impact of having more than 900 million people plus immigrants with the same GDP is on demand and supply. If demand exceeds supply, prices will rise.
Imagine a bustling city with a vast population of 900 million, all contributing to the same GDP. It's like a crowded restaurant where everyone is ordering the same dish. If the demand for that dish surpasses the kitchen's ability to supply it, prices soar. In this economic analogy, the dish is equivalent to goods and services, and the kitchen represents the nation's production capacity.
Now, if this nation faces high tariffs on its exported goods, those dishes become expensive for global buyers. Consequently, local businesses struggle to sell their products abroad. To cope, companies might relocate overseas for cheaper production costs, potentially leading to a decline in the United States' economic vitality.
As the economy falters, job opportunities decrease, and companies may resort to cost-cutting measures like outsourcing or hiring cheaper labor. This can create a cycle where basic commodity consumption rises due to population size, but job opportunities decline, fostering inequality and discrimination in employment. So, even a highly skilled individual (like person A) may lose out to a less qualified candidate (like Joe) in a job market focused on quick, cost-effective solutions.
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