03-30-2017, 02:20 PM
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Sieg Hi!
Industry Role:
Join Date: May 2011
Location: Lissabon
Posts: 3,613
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Quote:
Originally Posted by woj
your line of reasoning would be true under capitalism... under socialism however it's not...
imagine country has 10 people each making $10 = $100 total
50% gets paid in taxes, so government gets $50 for various gov services
now 1 person that is happy to work for $5 immigrates to your country
he replaces 1 of the 10 people that were productively employed, so now total = $95
producers are happy, cause now they pay $95 instead of $100
consumers are happy, cause it drives down the cost of goods, etc
BUT government (tax payers) is not happy, cause now they get $47.50 instead of $50
AND they have to feed the person that got replaced by the immigrant at lets say cost of $5, so government (tax payers) are left with only $42.50
... but $42.50 is not enough, so gov services need to be cut or taxes raised....
so immigration only works well under capitalism, under socialism the net result is certainly debatable, but likely negative like described in the simplified example above...
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Wrong... under socialism there is something that is called: "minimum wage"...
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