GDPs Without Borders – That even Japan is open now to immigration shows what mistakes other aging, rich countries are making

Source: The post is based on the article “GDPs Without Borders – That even Japan is open now to immigration shows what mistakes other aging, rich countries are making” published in The Times of India on 29th March 2023.

Syllabus: GS – 3: Employment.

Relevance: About global worker shortages and the role of the immigrant workforce.

News: The Japanese agriculturalists are now recruiting farm labour from across the Indian countryside. This is because Indians are willing to climb up Japanese mountains to cut and carry down Koyamaki (umbrella pines).

This is a win-win for both, as India has an overabundance of young farmers and the declining Japanese economy is facing worker shortages. Further, migrants also send money back to India.

How global nations are tackling worker shortages?

Many countries, like Japan, are having ageing populations. These countries are fully aware that expanding the immigrant workforce will expand their tax base, innovation, productivity, GDP et al.

IMF and others have also found that aggregate gains from the immigrant workforce can materialise very quickly.

What are the alternative methods tried by global nations to tackle worker shortages?

Efforts for raising national birth rates: This method is a complete failure. For example, in Japan itself, the population has changed little since 1991.

Create barriers to immigration: Rich countries’ that keep the barriers to immigration not only hurts the poorer origin countries but also the rich countries also.

What needs to be done to facilitate a more immigrant workforce in future?

Countries like China and America’s futures will likely be scripted by their exceptional attractiveness to migrants. A full embrace of immigrant workers will cheer the global economy and create GDPs Without Borders.