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How was immigration connected to economic growth?

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Answer: Immigration has been connected to economic growth in a number of ways. One of the main ways is through the labor market. Immigrants bring a diverse set of skills and talents to a country, and often fill labor shortages in specific industries. This can lead to increased productivity and economic growth as businesses are able to expand and create new jobs. Additionally, immigrants often start their own businesses, which can lead to new economic activity and job creation.

Immigrants also tend to consume goods and services, which drives demand for products and services, leading to economic growth. This is especially true for immigrants who are in the process of establishing themselves, who tend to have a higher propensity to consume than native-born citizens.

Immigrants also contribute to economic growth through innovation and entrepreneurship. Immigrants have historically been overrepresented among patent holders and business owners, and they often bring new ideas and ways of doing things that can lead to economic growth.

Immigration can also have a positive impact on economic growth by increasing the size of the workforce and the size of the consumer market. This leads to increased economic activity, greater productivity, and higher GDP per capita.

In summary, immigration has been connected to economic growth through labor market, consumption, innovation and entrepreneurship, and by increasing the size of the workforce and the size of the consumer market.

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