Comments on: Unforseen consequences of weaker dollar - fewer immigrants! http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/ for students and teachers of AP and IB Economics Sat, 22 Nov 2008 08:25:06 +0000 http://wordpress.org/?v=2.6.3 By: Trevor Sun http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4846 Trevor Sun Mon, 14 Apr 2008 10:05:20 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4846 I think the reason why its so surprising to find out that these immigrants are skilled workers is because many think they are those crazy Mexicans trying to run across the border. In reality, they are simply people from another country, such as China, with high levels of education looking for a job that can keep the food on the table for their families back home. With current situation of the US economy it is unsurprising that they would choose to immigrate to another country with a more stable economy. I think the reason why its so surprising to find out that these immigrants are skilled workers is because many think they are those crazy Mexicans trying to run across the border. In reality, they are simply people from another country, such as China, with high levels of education looking for a job that can keep the food on the table for their families back home. With current situation of the US economy it is unsurprising that they would choose to immigrate to another country with a more stable economy.

]]> By: Robert Wang http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4828 Robert Wang Sun, 13 Apr 2008 16:01:57 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4828 Yeah Jess, probably a bit too much APUSH there. The American Dream has sort of ended I guess. =( Like Jess though, I didn't expect the majority of the immigrants to be skilled workers, we tend to think that immigrants are usually the unskilled workers, but I guess we're wrong. It does make sense to seek other options as opposed to going to America though. As shown in Sicko, doctors in the states don't actually get pension, whereas doctors in the UK do, so the better the immigrant doctor performs, the more he or she will actually be able to send home to the family. Yeah Jess, probably a bit too much APUSH there. The American Dream has sort of ended I guess. =(

Like Jess though, I didn’t expect the majority of the immigrants to be skilled workers, we tend to think that immigrants are usually the unskilled workers, but I guess we’re wrong. It does make sense to seek other options as opposed to going to America though. As shown in Sicko, doctors in the states don’t actually get pension, whereas doctors in the UK do, so the better the immigrant doctor performs, the more he or she will actually be able to send home to the family.

]]> By: Jessica http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4825 Jessica Sun, 13 Apr 2008 14:56:18 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4825 Interesting. When I hear immigrants, I usually think poor, European citizens who step off of dirty crowded boats, looking for the American Dream. Haha, I guess too much APUSH. Anyways, it never occurred to me that the immigrants who are going to America are the skilled workers, such as doctors and professionals. It makes sense that these professionals are choosing to go to other developed nations that would value their work more and they would be paid more. As for the increase in exports with the weaker dollar, will that actually make a big difference? Most things are Made in China anyways. If they're not, they're usually made in Colombia or India or some other developing country. Uh oh, looks like America's heading for a downfall. Interesting. When I hear immigrants, I usually think poor, European citizens who step off of dirty crowded boats, looking for the American Dream. Haha, I guess too much APUSH. Anyways, it never occurred to me that the immigrants who are going to America are the skilled workers, such as doctors and professionals. It makes sense that these professionals are choosing to go to other developed nations that would value their work more and they would be paid more. As for the increase in exports with the weaker dollar, will that actually make a big difference? Most things are Made in China anyways. If they’re not, they’re usually made in Colombia or India or some other developing country. Uh oh, looks like America’s heading for a downfall.

]]> By: Dana Y. http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4805 Dana Y. Sat, 12 Apr 2008 20:10:31 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4805 Although I do understand that skilled labor forces are moving to Europe instead of U.S. if given the choice, I just want to point out that U.S. is in the brink of recession or already in recession. Consequently, most companies are laying off many of their workers. In fact, most of the work force is very anxious about losing their jobs right now. This in perspective, I believe it is logical that Americans should devise more ways of employing American work force intact right now, instead of mourn about losing skilled workers from foreign nations. Although I do understand that skilled labor forces are moving to Europe instead of U.S. if given the choice, I just want to point out that U.S. is in the brink of recession or already in recession. Consequently, most companies are laying off many of their workers. In fact, most of the work force is very anxious about losing their jobs right now. This in perspective, I believe it is logical that Americans should devise more ways of employing American work force intact right now, instead of mourn about losing skilled workers from foreign nations.

]]> By: TimChu http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4761 TimChu Thu, 10 Apr 2008 13:37:22 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4761 i feel bad for those who supported anti-immigration right now. They must be sitting at home thinking "damn. it backfired". I admit, all along, i expected most immigrants especially those down south would be making up most of the blue collar population. And all this time we've ignored the fact that other immigrants from European countries have been helping the US out with what they need most. Quite extraordinary if you ask me. Looks like the US will have to depend a lot more on other countries in the future... i feel bad for those who supported anti-immigration right now. They must be sitting at home thinking “damn. it backfired”. I admit, all along, i expected most immigrants especially those down south would be making up most of the blue collar population. And all this time we’ve ignored the fact that other immigrants from European countries have been helping the US out with what they need most. Quite extraordinary if you ask me. Looks like the US will have to depend a lot more on other countries in the future…

]]> By: Jeff Ye http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4747 Jeff Ye Thu, 10 Apr 2008 11:30:16 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4747 I may be wrong, but since the U.S. is lacking in skilled workers, wouldn't that mean higher wages for people just out of college with specialized degrees, potentially...us? Though i guess one would have to take in the rate of inflation first before celebrating too early. I may be wrong, but since the U.S. is lacking in skilled workers, wouldn’t that mean higher wages for people just out of college with specialized degrees, potentially…us? Though i guess one would have to take in the rate of inflation first before celebrating too early.

]]> By: Jeewon http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4722 Jeewon Wed, 09 Apr 2008 13:05:53 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4722 I keep hearing about the weakening of the US dollar, but I never knew that it could affect the number of immigrants moving into the country. Most immigrants move to the US in order to earn money and send it back home, but if the value of the US dollar falls, I guess they would decide to move somewhere else where the currency isn't so weak. I'm suprised that the immigrants are playing a significant role high skilled fields. I thought they took jobs that the Americans are not willing to take, for low wages. I keep hearing about the weakening of the US dollar, but I never knew that it could affect the number of immigrants moving into the country. Most immigrants move to the US in order to earn money and send it back home, but if the value of the US dollar falls, I guess they would decide to move somewhere else where the currency isn’t so weak. I’m suprised that the immigrants are playing a significant role high skilled fields. I thought they took jobs that the Americans are not willing to take, for low wages.

]]> By: emilyyeh http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4719 emilyyeh Wed, 09 Apr 2008 12:28:47 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4719 Besides immigrants, what happens to nations where the USD is very important in their trade? For instance, I've read reports that people in developing nations often choose to save their earnings in the US currency because they believe it is more stable than their nation's. So what happens when all that money in the bank becomes gradually worthless as the USD continues to weaken? I for one will look forward to switching my money to the yen or swiss franc that appear increasingly strong against the dollar to save the value of that hard-earned money! Besides immigrants, what happens to nations where the USD is very important in their trade? For instance, I’ve read reports that people in developing nations often choose to save their earnings in the US currency because they believe it is more stable than their nation’s. So what happens when all that money in the bank becomes gradually worthless as the USD continues to weaken? I for one will look forward to switching my money to the yen or swiss franc that appear increasingly strong against the dollar to save the value of that hard-earned money!

]]> By: MichaelChow http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4714 MichaelChow Wed, 09 Apr 2008 11:26:48 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4714 This whole idea of a decreased supply of immigrant labor in the US really surprised me in the sense that along with it, it has so many factors or effects. As mentioned in the article I along with the typical American in plain sight, at first thought that yes in fact this will be better without a doubt! Fewer immigrant workers means more jobs for Americans! But yes, with the case of the recession the economy of the US is desperately in need of all the jobs they can possibly fill to be filled. What also was interesting to me in this article was the introduction in how immigrant workers are more likely to persue higher skilled jobs, many of which are highly demanded by the economy. The weakening US dollar really has its negative effect on many aspects including immigrant preference in the location/place they wish to work in. In a way the US is in deep trouble. This whole idea of a decreased supply of immigrant labor in the US really surprised me in the sense that along with it, it has so many factors or effects. As mentioned in the article I along with the typical American in plain sight, at first thought that yes in fact this will be better without a doubt! Fewer immigrant workers means more jobs for Americans! But yes, with the case of the recession the economy of the US is desperately in need of all the jobs they can possibly fill to be filled. What also was interesting to me in this article was the introduction in how immigrant workers are more likely to persue higher skilled jobs, many of which are highly demanded by the economy. The weakening US dollar really has its negative effect on many aspects including immigrant preference in the location/place they wish to work in. In a way the US is in deep trouble.

]]> By: kevinchiu http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4705 kevinchiu Wed, 09 Apr 2008 04:07:53 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4705 Interesting... this appears to be solid support for why McCain shouldn't try to cut down on government spending in public capital goods like education; if people from abroad who have high-skill abilities are no longer coming to meet the demand of the US firms, people within the US will need to develop these high skills to try and meet the demand (thus, a higher education). Maybe firms in the US will just have to change markets.. Interesting… this appears to be solid support for why McCain shouldn’t try to cut down on government spending in public capital goods like education; if people from abroad who have high-skill abilities are no longer coming to meet the demand of the US firms, people within the US will need to develop these high skills to try and meet the demand (thus, a higher education). Maybe firms in the US will just have to change markets..

]]> By: Kristie Chung http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4698 Kristie Chung Tue, 08 Apr 2008 15:53:52 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4698 Now that I think about it, it makes a lot of sense. The reason why immigrants were going through the trouble of going to America was that the dollar was strong, and they thought they would be better off there. However, with the American economy going through a recession, the immigrants are probably not going to the States, but rather places with stronger and more stable economies, such as Europe. I guess the poor economy and the weak dollar has many effects. Now that I think about it, it makes a lot of sense. The reason why immigrants were going through the trouble of going to America was that the dollar was strong, and they thought they would be better off there. However, with the American economy going through a recession, the immigrants are probably not going to the States, but rather places with stronger and more stable economies, such as Europe. I guess the poor economy and the weak dollar has many effects.

]]> By: Helen http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4693 Helen Tue, 08 Apr 2008 13:38:13 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4693 I remember us talking about immigration earlier in class and the misconception of how immigrants "stealing" American jobs is bad for Americans. First of all, many immigrants are taking up jobs that Americans don't want - low wage, labor intensive. Second of all, immigrants offer low labor costs for the US economy, which keeps the price level down (relatively). If Americans, not immigrants, were working in smoky factories, the American workers would be demanding a much higher wage than the immigrants. This goes back to hurting Americans themselves as the increase in wages drive up the price level. Something that I think is related: my dad told me that he recently demanded that his salary be paid in RMB, not US dollars - same logic as the immigrants, right? I remember us talking about immigration earlier in class and the misconception of how immigrants “stealing” American jobs is bad for Americans. First of all, many immigrants are taking up jobs that Americans don’t want - low wage, labor intensive. Second of all, immigrants offer low labor costs for the US economy, which keeps the price level down (relatively). If Americans, not immigrants, were working in smoky factories, the American workers would be demanding a much higher wage than the immigrants. This goes back to hurting Americans themselves as the increase in wages drive up the price level.

Something that I think is related: my dad told me that he recently demanded that his salary be paid in RMB, not US dollars - same logic as the immigrants, right?

]]> By: Rebecca Sung http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4691 Rebecca Sung Tue, 08 Apr 2008 11:05:47 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4691 Going back to Elaine's friend saying that "immigrants ought to stop stealing the jobs of honest Americans," it seems to me that having a more people who are highly skilled would actually increase productivity and efficiency. Like Elaine said, the immigrants are taking great pains to go to different countries to make money, so they're probably not focused on "stealing" jobs of Americans, but to make money for their family. It would be very interesting if you email her :P. Going back to Elaine’s friend saying that “immigrants ought to stop stealing the jobs of honest Americans,” it seems to me that having a more people who are highly skilled would actually increase productivity and efficiency. Like Elaine said, the immigrants are taking great pains to go to different countries to make money, so they’re probably not focused on “stealing” jobs of Americans, but to make money for their family. It would be very interesting if you email her :P.

]]> By: kxc.024 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4689 kxc.024 Tue, 08 Apr 2008 10:05:02 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4689 I've attended international schools all my life and I remember wondering, as a kid, why my friends had to keep moving to another country (well back then, I thought of it more along the lines of why they were ditching me haha). My mom would always then explain to me that they move wherever the job is better for their parents and I guess this article really portrays that. The people that are moving away aren't the low-skilled workers. One reason is probably because it's too expensive for them to travel somewhere else. But another more obvious reason is probably that they won't earn that much more in a different country. However, it's different for those skilled entrepreneurs because for them, their talent is worth a lot more in a country where the currency isn't devaluing. This is a bad situation because then the prices of a lot of things that people take for granted will go up (like health care), meaning people are going to be worse off, in relation to their real wages. I’ve attended international schools all my life and I remember wondering, as a kid, why my friends had to keep moving to another country (well back then, I thought of it more along the lines of why they were ditching me haha). My mom would always then explain to me that they move wherever the job is better for their parents and I guess this article really portrays that.
The people that are moving away aren’t the low-skilled workers. One reason is probably because it’s too expensive for them to travel somewhere else. But another more obvious reason is probably that they won’t earn that much more in a different country. However, it’s different for those skilled entrepreneurs because for them, their talent is worth a lot more in a country where the currency isn’t devaluing. This is a bad situation because then the prices of a lot of things that people take for granted will go up (like health care), meaning people are going to be worse off, in relation to their real wages.

]]> By: Jason Welker http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4687 Jason Welker Tue, 08 Apr 2008 04:46:56 +0000 http://welkerswikinomics.com/blog/2008/04/03/unforseen-consequences-of-weaker-dollar-fewer-immigrants/#comment-4687 Elaine... that was beautiful! The image of America as Britney Spears is surprisingly acute today... thanks! Elaine… that was beautiful! The image of America as Britney Spears is surprisingly acute today… thanks!

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