Sunday, October 11, 2015

The value of an asylum seeker...


Germany has received 547,034 applications for asylum since 2011 ; France: 255,800; Italy 155,536 United; Kingdom 125,139. according to New York Times. This blog attempts to draw up a value sheet:

Value = Benefits minus costs
Benefits and costs of the worker migration to Europe would be:
Benefits
Costs
Outflows are  reverse of Dutch disease
Forex outflow  weakens if not deteriorates balance of payments
Lowers cost of production; wages move downwards
Unpredictable flows of human capital adds to severe unemployment woes
Stimulates  demand for locally produced and traded goods
Unpredictable flows of fund flows- might be used by launderers
Helps consumer by reducing the cost  of  production
Substituting local labour adding to social tensions
Good work habits as they look to earning incomes
Dis-savings and lack of capital formation
Higher saving rates
Virtually little investment in capital generation
Income lubrication in the circular flow of funds
Lowers standard of living directly
Financial Sector transaction volumes increase
Income distribution turns adverse


Note:
Aasylum seeker is defined as a person fleeing persecution or conflict, and therefore seeking international protection under the 1951 Refugee Convention on the Status of Refugees;
refugee is an asylum seeker whose claim has been approved. However, the UN considers migrants fleeing war or persecution to be refugees, even before they officially receive asylum. (Syrian and Eritrean nationals, for example, enjoy prima facierefugee status.)
An economic migrant, by contrast, is person whose primary motivation for leaving his or her home country is economic gain. The term "migrant" is seen as an umbrella term for all three groups. (Said another way: all refugees are migrants, but not all migrants are refugees.)


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