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2011-05-16

Chris Evans empty claims

Comments on Chris Evans “Industry backs our skills plan”, 16/05/2011, http://www.theaustralian.com.au/national-affairs/budgets/industry-backs-our-skills-plan/story-fn8gf1nz-1226056357593

Chris Evans is selectively using opinions to back up his claims.

One does not need Evans' post to know that business has always supported for higher immigration, because higher immigration benefits businesses in two ways:

1. It depresses wages as labour supply increases

2. It increases domestic market demand for goods and services

Of course the bottom line is to increase business profits.

However, if one looks from the welfare of Australians' point of view, the picture can be different. Real wages and productivity may not grow as rapidly with higher immigration. So wouldn't be their welfare and well being, as per capita income is diluted and infrastructure becomes inadequate, such as traffic congestions, worsening housing market.

Further, by increasing labour supply through immigration, government can hide its inadequacy and shortcomings in training and education of our own labour.

So political rhetoric, particularly selective use of opinions by politicians is harmful to our society and our collective welfare.

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