GeminiAtlas

An Unpleasant Comparison: Demographics and Deflation

I agree. They need up the allowance for educated workers drastically, but reduce the allowances for unskilled workers (i.e. stop illegal immigration) who are depressing wages for our own unskilled workers.
I also have a theory that having too many unskilled labor depresses investment in automation technologies and impedes progress instead of enhances it. Why do you think Japan is so advanced in robotics, etc? It has an aging population, high wages, not enough immigration to sustain the size of population. This creates an environment where investing in automation technologies would make sense, and indeed, that's what many Japanese firms do. A shrinking population that is getting older creates another set of problems but that's another subject.


On Jul 09 11:29 PM Alex_G wrote:

> Actually, there are millions of educated, skilled workers just dying
> to emigrate to the USA, but government puts limits on the number
> that can come.
>
> Imagine an entire new generation (ok, part of one) that cost nothing
> to raise or educate, ready from day one to contribute to the economy
> (and pay taxes).

An Unpleasant Comparison: Demographics and Deflation

Adding more uneducated, unskilled, poor people won't help the economy. In the 19th century the skills matched the jobs (repetitive, no need to read, etc.), so it helped the economy. Just adding more unskilled folks to the melting pot will make things worse. More skilled people are needed for this economy in certain sectors.



On Jul 09 01:02 PM Tony Petroski wrote:

> Could you not say it more simply: "Aging populations don't have
> as many animal spirits."
>
> Americans (as of yet) don't have an "insatiable" appetite for saving.
>
>
> Open the Southern border and youthen the population.
>
> What happens when the population doesn't just get older but actually
> declines? Deflation and declining GDP, but that is a half century
> away.