THE ECONOMIC CASE FOR IMMIGRATION

Diane Coyle

Economic Affairs, 2005, vol. 25, issue 1, 53-55

Abstract: Immigration into the UK has increased in response to high labour demand in the recent past. This additional supply of labour has helped keep interest rates lower, and growth higher, than they might have been otherwise. The longer‐term impact of higher immigration may be an increase in trend productivity growth. Although the evidence on such long‐term economic effects is incomplete, there is no reason to believe market principles ‐ or fundamental freedoms ‐ are any less relevant when it comes to flows of people rather than goods or capital.

Date: 2005
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