Question

2) In a clearly labeled diagram, show the effect of a deep economic recession in the origin that affects all skill groups equally if the origin has lower returns to skill than the destination, and indicate your answers to the questions below.

Immigrants are:           Positively selected                  Negatively selected

The number of immigrants will:         Increase           Decrease         Not change

Immigrants will become (pick 1 of 4):    More positively selected   More negatively selected        

     Less positively selected     Less negatively selected

Answer 1

• Economic Recession will affect the growth of the economy negatively because it reduces the gross domestic product(GDP) of the whole economy togethere. As we can see in the time of COVID-19 people loose there jobs and move again to there birth places or there homes.In this situation immigration of people decreases.
• if we talk about the meaning of immigration which ,means the movement of people from one place to anothere as they are not the native of the country. the immigration increases the productivity and innovation of the country by hiring freshers but if the economy is in already recession than automatically the immigration of people will decreas.
• It will have negative effect on people with lower education and have positive effect for those with higher level of education.
• Ans (b) immigrants will be more negatively selected because immigartion has little or no impact on average employment.