[Economics] The Migration Business - Skilled labor shortage vs Digitization 2019-04-02

  1. Digitization
  2. Skilled Labor Shortages
  3. Migration
  4. Opinion Polls
The promotion of migration is often seen as "leftist", the aid as "humanistic" and the consequences as "cosmopolitan". All these terms are positively occupied and disguise whose interests are served here. It is about supplying the local labor market with cheap workers. In migration from low-wage countries to high-wage countries, employers and investors profit on a large scale. Thus labor migration from low-wage countries to high-wage countries deserves criticism like recently with study of the Bertelsmann-Foundation that is close to employers. [1] [2] [3] [3,pdf]

But migration causes more people to compete for limited resources such as jobs, housing and social welfare. In the process, the equilibrium price for work is falling, living space is becoming scarcer and therefore more expensive and the costs of social assistance are rising. Thus companies benefit from lower wages can get lucrative orders for care and employers' organizations can use sentiment through migration to cut social assistance and thus lower the implicit minimum wage.

Meanwhile the left and employers' organizations seem to have agreed on a joint program. But this way the left has degraded itself programmatically. While employers' organizations demand immigration leftists are make do with managing the resulting society. And instead of fighting for higher incomes and a better standard of living they complement the demands of employers' organizations. See also:
[Commentary] The left is looking for a replacement proletariat [4] [5] [6] [7]

Time and again it is said that because of digitization very soon millions of people will be unemployed. At the same time there is a warning against demographic change, the aging of society and the alleged shortage of skilled workers. Therefore unemployment could soon be a thing of the past and it would be essential to recruit workers from abroad. Both claims are exorbitant and contradict each other. All the more impressive is that both claims are still in circulation.

The claim that as a result of increased labor productivity through digitization work is running out is old and widespread among so-called futurists. However the entry date is repeatedly postponed and now it has the name "Economy 4.0".

Digitization

However an increase in labor productivity is the norm and a leap forward in development as predicted by so-called futurists has not yet been observed in any country. Labor productivity is the amount of goods or services that comes from a given amount of labor input.

An increase in labor productivity is therefore positive and means that more goods and services are created with equal labor input. However in order to be able to consume the additional goods and services wages in the same country must increase accordingly. Or the working time is decreased to compensate for the increase in labor productivity.

Skilled Labor Shortages

The credibility of claiming a shortage of skilled employers is inversely proportional to unemployment and the rise in wage levels. In certain fields it can happen that the demand for employees can not cover the supply of jobs. In such a case in a functioning market either the equilibrium price in the form of the wage level would increase. However wages are currently stagnating in much of Europe and the industrialized world. If one is unwilling to pay a reasonable price for a good or service then one can not complain about a shortage at this price. Or employers would resort to training young workers or retraining other workers with a different education.

The demand side of labor are employers and determine today the price in the form of wage level. However when one site dictates conditions it is right to speak of a market failure. And when wage levels stagnate permanently it also reduces the incentives for employers to increase labor productivity through investment. Stagnating wages thus hinder technological progress and labor productivity growth.

And in the study of the Bertelsmann Foundation of 2019 which demands migration demands accordingly to stagnating labor productivity. And stagnating labor productivity fits the scenario where higher wages and potential investment are prevented by an over-supply of workers.
Annahme 14:
Die Arbeitsproduktivität nimmt bis 2025 um insgesamt weitere 0,23 Prozent zu.

Assumption 14:
Labor productivity will increase by a further 0.23 percent by 2025. [3,p.105]

Migration

So again when employers' organizations talk about the need for migration or a shortage of skilled employers they mean something different. They want to avoid higher wages as well as the necessity and the associated costs of education, training and investments. However they are depriving the countries of origin of their resources in the form of skilled employers. And to lure trained workers from low-wage and developing countries should not be represented by leftists.

Opinion Polls

However this development does not leave the popular population unscathed. On the one hand the countries of origin consider the migration from low-wage- to high-wage countries to be a problem.
Majorities in many countries think outmigration is a big problem
Greece 89 %
Spain 88 %
Italy 80 %
Hungary 80 %
Poland 68 %
Russia 71 %
India 64 %
Kenia 72 %
Nigeria 68 %
Tunisia 81 %
Mexico 79 %
[8] On the other hand in the high-wage- or countries of destination there are usually more against than for more immigration. And in a survey by Pew Research in half of high-wage- or countries of destination the majorities of the people who were asked are against more immigration.
Around the world, few want more immigration
weniger oder gar keine mehr
Greece 82 % 2 %
Italy 71 % 5 %
Germany 58 % 10 %
Sweden 52 % 14 %
Median 51 % 10 %
Spain 30 % 28 %
[8] In many countries in Europe there is even a majority to stop migration from Muslim countries.
All further migration from mainly Muslim countries should be stopped
Ja Nein
Spain 41 % 32 %
Great-Britain 47 % 23 %
Total 55 % 20 %
Italy 51 % 23 %
Poland 71 % 9 %
[9]

[1] Rückgang und Alterung sind nicht mehr aufzuhalten 2011/16
http://doku.iab.de/kurzber/2011/kb1611.pdf
[2] Ohne Zuwanderung ist Deutschlands Stärke in Gefahr 2017-09-27
https://www.welt.de/wirtschaft/article169073617/Ohne-Zuwanderung-ist-Deutschlands-Staerke-in-Gefahr.html
[3] Deutscher Arbeitsmarkt auf außereuropäische Zuwanderung angewiesen 2019-02-12
https://www.bertelsmann-stiftung.de/de/themen/aktuelle-meldungen/2019/februar/deutscher-arbeitsmarkt-auf-aussereuropaeische-zuwanderung-angewiesen/
https://www.bertelsmann-stiftung.de/fileadmin/files/Projekte/Migration_fair_gestalten/IB_Studie_Zuwanderung_und_Digitalisierung_2019.pdf
[4] Wer die Kanakisierung unserer Gesellschaft zurückdrängen will, ist in der Sache rechts 2018-06-07 https://www.woz.ch/-8d1c
[5] Entwurf eines Gesetzes zur Änderung des Grundgesetzes – Grundrechte für alle 2018-11-19 http://dip21.bundestag.de/dip21/btd/19/058/1905860.pdf
[6] "Deutschland ist eine Einwanderungsgesellschaft" 2018-11-30 https://www.die-linke.de/start/nachrichten/detail/deutschland-ist-eine-einwanderungsgesellschaft/
[7] "Die Bundesregierung steht bei den Leuten in der Schuld" 2019-03-10 https://www.heise.de/tp/features/Die-Bundesregierung-steht-bei-den-Leuten-in-der-Schuld-4325869.html
[8] Many worldwide oppose more migration – both into and out of their countries 2018-01-01
http://www.pewresearch.org/fact-tank/2018/12/10/many-worldwide-oppose-more-migration-both-into-and-out-of-their-countries/
[9] What Do Europeans Think About Muslim Immigration? 2017-02-07
https://www.chathamhouse.org/expert/comment/what-do-europeans-think-about-muslim-immigration

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