MIGRATION Reasons for migration Migration happens as a result of a process of economic development and wage differences. Individuals try to maximize their income, therefore they migrate to regions with higher income. To escape poverty To seek superior healthcare For jobs and business opportunities To offer more opportunities to children ADVANTAGES OF MIGRATION 1 2 3 Increased economic growth Increase in immigration will leads to a larger size of the labour force, resolves labour shortage problem and increase the productivity of the nation. Potential entrepreneurs Young and educated immigrant are quite likely to be entrepreneurs – set up businesses which create innovative products. Transfer of technology Skilled foreign immigrants bring along knowledge, skills and experience which can be imparted to local talents. DISADVATAGES OF MIGRATION 1 Create a negative impact on real wage Foreign unskillled immigrant can bear with lower incomes, making them to be sought after by local employers and leads the local labours being discriminated and have to submit themselves to similar exploitation as the foreign workers to get a job. Structural unemployment Immigration could lead to some displacement of local workers who then experience structural unemployment. Additional expenditure for the government Influx of foreign immigrants has put pressure on the public serivices - schools, hospitals, roads and public transport 2 3