Question 1

If all nations prohibited the international migration of labor, we would expect world output to decline.

Accepted Answer

A) True 
 B)False

Question 2

In the accompanying graphs, the pre-migration labor force in country A is 100 and in country B it is 150. The migration of labor will

Accepted Answer

A) increase domestic output in both countries. 
B) decrease domestic output in both countries. 
C) increase domestic output in country A and decrease domestic output in country B. 
D) decrease domestic output in country A and increase domestic output in country B. 
A) increase domestic output in both countries. 
B) decrease domestic output in both countries. 
C) increase domestic output in country A and decrease domestic output in country B. 
D) decrease domestic output in country A and increase domestic output in country B.

Question 3

Other things equal, younger workers are more likely to migrate than older workers.

Accepted Answer

A) True 
 B)False

Question 4

In reality, the wage-gap between two countries will

Accepted Answer

A) always be reduced to zero through migration. 
B) be greater than zero because of migration costs. 
C) always be sufficient to cover the marginal costs of migration. 
D) be smaller the greater the distance between the countries. 
A) always be reduced to zero through migration. 
B) be greater than zero because of migration costs. 
C) always be sufficient to cover the marginal costs of migration. 
D) be smaller the greater the distance between the countries.

Question 5

Which of the following statements is true about illegal immigration?

Accepted Answer

A) Illegal immigrants are often willing to work for less pay, keeping costs and prices for consumer goods and services lower. 
B) Illegal immigration reduces wages for U.S. workers who are complementary inputs. 
C) Illegal immigration tends to reduce wages less for previous immigrants than for native-born workers. 
D) All of the other answers are correct. 
A) Illegal immigrants are often willing to work for less pay, keeping costs and prices for consumer goods and services lower. 
B) Illegal immigration reduces wages for U.S. workers who are complementary inputs. 
C) Illegal immigration tends to reduce wages less for previous immigrants than for native-born workers. 
D) All of the other answers are correct.

Question 6

Common causes for a backflow in migration do not include which one of the following?

Accepted Answer

A) Expected gains in the new country are exceeded by actual gains. 
B) Living costs in the new country are higher than expected. 
C) Costs of being away from family and friends are greater than expected. 
D) Anticipated jobs and promotions are not found in the new country. 
A) Expected gains in the new country are exceeded by actual gains. 
B) Living costs in the new country are higher than expected. 
C) Costs of being away from family and friends are greater than expected. 
D) Anticipated jobs and promotions are not found in the new country.

Question 7

The largest category of legal immigrants into the U.S. in 2017 was

Accepted Answer

A) family-sponsored immigrants. 
B) refugees. 
C) employment-based preferences. 
D) diversity immigrants. 
A) family-sponsored immigrants. 
B) refugees. 
C) employment-based preferences. 
D) diversity immigrants.

Question 8

Suppose that Rosa is considering migration to another country. To move, she will have to spend $5,000 on transportation and $4,000 in application and other processing fees. Rosa's stream of future earnings in her home country is $500,000. She expects to earn a stream of future earnings of $800,000 in another country. Based on this information, Rosa's explicit cost of migrating is

Accepted Answer

A) $500,000. 
B) $9,000. 
C) $509,000. 
D) $5,000. 
A) $500,000. 
B) $9,000. 
C) $509,000. 
D) $5,000.

Question 9

Which of the following countries has the largest number of immigrants, as a percentage of the labor force (as of 2017)?

Accepted Answer

A) Austria 
B) New Zealand 
C) United States 
D) Australia 
A) Austria 
B) New Zealand 
C) United States 
D) Australia

Question 10

Economic analysis suggests that immigration can either benefit or harm a nation, depending on the number of immigrants, their education, skills, and work ethic, and the rate at which they are absorbed into the economy.

Accepted Answer

A) True 
 B)False

Question 11

Native-born workers are more likely to be harmed by immigration if

Accepted Answer

A) they are complementary resources to immigrant workers. 
B) they are substitute resources for immigrant workers. 
C) demand for their labor is inelastic. 
D) there is a substantial amount of backflow. 
A) they are complementary resources to immigrant workers. 
B) they are substitute resources for immigrant workers. 
C) demand for their labor is inelastic. 
D) there is a substantial amount of backflow.

Question 12

Other things equal, larger wage differences between nations tend to increase the flow of immigration toward the country with higher wage opportunities.

Accepted Answer

A) True 
 B)False

Question 13

What is the quota for "diversity immigrants" into the U.S.?

Accepted Answer

A) 1 million per year 
B) 500,000 per year 
C) 50,000 per year 
D) 25,000 per year 
A) 1 million per year 
B) 500,000 per year 
C) 50,000 per year 
D) 25,000 per year

Question 14

Why would a low-wage nation oppose emigration?

Accepted Answer

Low-wage nations oppose emigra

Question 15

How do most immigrants gain their legal status? List the major categories of legal admission into the United States along with their respective percentages.

Accepted Answer

The largest percent of legal U.S. immigr

Question 16

U.S. workers will be attracted to otherwise undesirable work as long as

Accepted Answer

A) the compensating wage differential is high enough. 
B) the compensating wage differential is low enough. 
C) there are not enough illegal immigrants to fill all of the available jobs. 
D) there are laws that restrict illegal immigrants from working in the U.S. 
A) the compensating wage differential is high enough. 
B) the compensating wage differential is low enough. 
C) there are not enough illegal immigrants to fill all of the available jobs. 
D) there are laws that restrict illegal immigrants from working in the U.S.

Question 17

Suppose the elasticity of labor demand is 1.4. Then a decrease in the wage rate will

Accepted Answer

A) decrease total wage income. 
B) increase total wage income. 
C) have no impact on total wage income. 
D) have an indeterminate impact on total wage income. 
A) decrease total wage income. 
B) increase total wage income. 
C) have no impact on total wage income. 
D) have an indeterminate impact on total wage income.

Question 18

With labor migration, the destination country experiences

Accepted Answer

A) an increase in output and a rising wage rate. 
B) an increase in output and a falling wage rate. 
C) a decrease in output and a falling wage rate. 
D) a decrease in output and a rising wage rate. 
A) an increase in output and a rising wage rate. 
B) an increase in output and a falling wage rate. 
C) a decrease in output and a falling wage rate. 
D) a decrease in output and a rising wage rate.

Question 19

In the accompanying graphs, the pre-migration labor force in country A is 100 and in country B it is 150. In country A, total business income after immigration occurs is

Accepted Answer

A) $320M. 
B) $720M. 
C) $650M. 
D) $1,200M. 
A) $320M. 
B) $720M. 
C) $650M. 
D) $1,200M.

Question 20

Which of the following "magnet countries" has the largest share of immigrants as a percentage of its labor force?

Accepted Answer

A) Australia 
B) United States 
C) Canada 
D) United Kingdom 
A) Australia 
B) United States 
C) Canada 
D) United Kingdom

Exam 25: Immigration

If all nations prohibited the international migration of labor, we would expect world output to decline.

In the accompanying graphs, the pre-migration labor force in country A is 100 and in country B it is 150. The migration of labor will

Other things equal, younger workers are more likely to migrate than older workers.

In reality, the wage-gap between two countries will

Which of the following statements is true about illegal immigration?

Common causes for a backflow in migration do not include which one of the following?

The largest category of legal immigrants into the U.S. in 2017 was

Which of the following countries has the largest number of immigrants, as a percentage of the labor force (as of 2017)?

Economic analysis suggests that immigration can either benefit or harm a nation, depending on the number of immigrants, their education, skills, and work ethic, and the rate at which they are absorbed into the economy.

Native-born workers are more likely to be harmed by immigration if

Other things equal, larger wage differences between nations tend to increase the flow of immigration toward the country with higher wage opportunities.

What is the quota for "diversity immigrants" into the U.S.?

Why would a low-wage nation oppose emigration?

How do most immigrants gain their legal status? List the major categories of legal admission into the United States along with their respective percentages.

U.S. workers will be attracted to otherwise undesirable work as long as

Suppose the elasticity of labor demand is 1.4. Then a decrease in the wage rate will

With labor migration, the destination country experiences

In the accompanying graphs, the pre-migration labor force in country A is 100 and in country B it is 150. In country A, total business income after immigration occurs is

Which of the following "magnet countries" has the largest share of immigrants as a percentage of its labor force?

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