(a)[2]
Identify the relationship between the variables shown in Fig. 1.1 and suggest one possible reason for the relationship.
(b)[4]
With the aid of a production possibility curve (PPC) diagram, explain both the likely effect on the US’s productive potential of preventing migration to the US from 2019 and of the retirement of older US workers.
(c)[6]
Using the information and labour market theory, analyse why the wages received by migrant workers in the high-tech industries are likely to be higher than the wages received by migrant workers in the hospitality industry.
(d)[8]
Evaluate the likely impact on the macroeconomic performance of the US economy if migration returned to the levels seen prior to 2019.