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Immigration Into Britain: Bubble Before The Collapse


This economic ‘trick’ of higher wages, profits, turnover, prices – and a higher GDP creates a brilliant optical illusion. It is called progress.

Was this cartoon a Government effort at building popular opinion on immigration in 1921 - before the passage of the Immigration Act (1924)?  |  A 1921 cartoon from the US Library of the Congress. Creative and publication credits not available at source.

Was this cartoon a Government effort at building popular opinion on immigration in 1921 – before the passage of the Immigration Act (1924)? | A 1921 cartoon from the US Library of the Congress. Creative and publication credits not available at source.

M

odern OECD economies have an interesting economic model.

Overpaid waiters charge more for a coffee. Over-paid waiters fork out fancy amounts for a car-wash. Over-paid taxi-drivers pay huge amounts for a haircut.

And so on.

Socialist, Welfare States work best with slavery - or with immi-grunts model, in the last few centuries  |  Cartoon by Brian Fairrington; earliest date as per internet search 2010.

Socialist, Welfare States work best with slavery – or with immi-grunts model, in the last few centuries | Cartoon by Brian Fairrington; earliest date as per internet search 2010.

How Does Over Pricing Work

Compared to, say Indians, Norwegians are paid some 10-20 times more.These overpriced coffees and haircuts by overpaid waiters and barbers, increases GDP – and gives an optical illusion of wealth.

This economic ‘trick’ creates a brilliant optical illusion. Of higher wages, profits, turnover, prices – and GDP. Now replace Norway, with any OECD economy.

Same story and the plot does not change.

A waiter in Mumbai earns between 125-200 dollars. A Norwegian waiter earns closer to US$1500-2000 per month. Both do the same job and the net economic output should not change.

But it does. What Norway does is overstate Norwegian economic output.

By over-paying everybody.

Attracting imi-grunts on one hand - and making it impossible for some others. |  Cartoonist: John Deering; Pub. Date: 2013-01-30; source & courtesy - cartoonistgroup.com

Attracting imi-grunts on one hand – and making it impossible for some others. | Cartoonist: John Deering; Pub. Date: 2013-01-30; source & courtesy – cartoonistgroup.com

Nuggets of Information

Look behind this show …

A recent study concluded that nearly half of American population dies penniless. Spain has a million prostitutes from approximately 10 million women in the 15-50 age group.

What about the apparent wealth? The cars, trains and aeroplanes …

Using over-generous debt, workers can ‘buy’ the latest cars, toasters and lawn-mowers – which creates an illusion of economic well-being. The vast numbers of workers are tied down by increasing amounts of debt – and taxes.

Dos this ‘wealth’ give them freedom? Liberty?

Not if look at the number of people who are in prison. Who are bankrupt and indebted. Who die penniless. But as long as long as you do what the powerful elite wants you to do, you can have the latest cars, toasters and lawn-mowers.

But …

This illusion can be kept standing, only as entry into the labour pool remains low and limited.  This ties in neatly with low-marital rates – and low birth rates. in OECD countries. Low birth rates mean labour shortages – and need for immi-grunts.

High wages attract immi-grunts…

While making promises on one side - and erecting new obstacles.  |  Published: Wednesday, February 20th, 2013;  Immigration Reform cartoon by by Clay Bennett; source & courtesy - timesfreepress.com

While making promises on one side – and erecting new obstacles. | Published: Wednesday, February 20th, 2013; Immigration Reform cartoon by by Clay Bennett; source & courtesy – timesfreepress.com

And …

To a country like Britain also …

This line of immi-grunts allows British media to be gross and ill-mannered. It gives them the right to talk of ‘booting’ and ‘kicking’ people. Like in this report.

A Home Office report says there may be as many as 863,000 illegal migrants – 70 per cent of whom are living in London.

The study also reveals that 10,000 foreigners who had no legal right to live in Britain have been granted permission to stay under the so-called 14-year rule.

It means they managed to stay in the country for so long without being booted out that the Government has now given up the fight.

The illegal immigrants are a mixture of those who sneaked into Britain in the back of lorries and those who arrived on visas but never went home.

The ‘robust estimate’ of how many illegals are living in the UK comes from the London School of Economics, and is included in a study titled Practical Measures for Reducing Irregular Migration. The LSE found there were between 417,000 and 863,000 illegals living in the UK, with a central figure of 613,000. Ministers accept the figures.

The Home Office says the top five countries from which the illegals have arrived are believed to be India, Nigeria, Pakistan, China, and Bangladesh.

This is based on the nationalities of those people the authorities have detected.

Earlier this month, the official Census showed that 7.5million people who were born abroad were living here in 2011, of whom more than half have arrived since 2001.

The Home Office study sets out for the first time how many beneficiaries there have been of the 14-year rule.

This states that, once a migrant has lived in the UK for this long, he or she will have established a right to a family life and should not normally be kicked out.

via Enough illegal migrants to fill three cities the size of Newcastle: 863,000 of them in UK, study finds | Mail Online.

What would be just great is if Brazil decided to throw out British businesses – who are seeking to exploit Brazilian opportunities.

Theresa May, the British home secretary, faces a row with cabinet colleagues over proposals to impose visa restrictions on Brazilians, underlining the tensions between the search for economic growth and the need to recognise public concern over immigration.

Ms May’s plans to tighten rules for Brazilians is a serious test for the coalition, as it tries to balance conflicting priorities. Ministers fear the restrictions will cast a shadow over British relations with Brazil, a fast-growing economy that David Cameron has targeted as a key trading partner for Britain. The Home Office is already fighting criticism from tour groups and UK luxury retailers that the complex process of obtaining a tourist visa in China is preventing high-spending Chinese nationals from entering the UK.

Mr Cameron and Nick Clegg, deputy prime minister, have both visited Brazil since the election and have tried to bolster trade links. But Ms May believes the country is also the source of much illegal immigration to Britain.

The home secretary will propose ending the current agreement, which allows Brazilians to visit Britain for up to six months without a visa. Her suggestion comes as countries such as the US and Australia are taking the opposite course by easing visa restrictions with Brazil, to encourage tourism and business ties.

William Hague, foreign secretary and George Osborne, chancellor, are among those who have clashed with Ms May over her operation of Britain’s visa regime.“The Home Office is in favour of new visa restrictions but everyone else in the cabinet is basically against,” said a person involved in the discussions.

Lord Mandelson, the former Labour minister and EU trade commissioner, said the idea was “certifiably mad”.

Only last summer, Mr Cameron visited São Paulo and Rio de Janeiro accompanied by a 58-strong business delegation, to develop better trade ties with the $2.3tn-a-year economy. According to UK Trade & Industry, 14 government ministers have visited Brazil over the past 18 months.

Home Office figures for 2011 show that Brazil is fifth in the top 10 of illegal immigrant nationalities in the UK, with more than 2,000 forcibly removed that year.

via UK set to tighten Brazilian visa rules – FT.com.

The racism behind the British immi-grunt debate is papered over. Worth looking at some British Government statistics.

Long-stay immigrants into the UK from Poland, India and China are outnumbered by Germans, South Africans, North Americans, people from the white Commonwealth and returning Britons.

Official figures show that of the top ten migrant countries in 2008, 137,000 were from the first group and 152,000 from the second group.

There is no debate in the media, among politicians and among the public concerning North Americans and the white Commonwealth.

The fact that they ‘take jobs’ in the UK does not feature as an issue among those who are most concerned about immigration.

The anti-immigration campaign group Migration Watch and UKIP create fear about immigration numbers and fail to point out that immigrants include people from Australia, US, New Zealand and others.

The figures are contained in the Office for National Statistics latest annual report on migration, Migration Statistics 2008, http://www.official-documents.gov.uk/document/cm71/7197/7197.pdf

Of those intending to stay for a long period, the report states:

British, 77,000 (i.e. UK citizens returning to the UK)

Poland, 54,000

India, 48,000

China, 18,000

Germany, 18,000

Pakistan, 17,000

USA, 15,000

South Africa, Australia, Italy, 14,000

The report suggests that many of the Indian, Chinese and perhaps Pakistani long-stay migrants are students. In terms of all visitors and migrants into the UK, the report states: ‘Citizens of the United States of America (USA) comprised 32 per cent of total non-EEA admissions, the nationality with by far the most admissions, representing an increase of 6 per cent to 4.1 million in 2006. The next three nationalities with the highest numbers of admissions were Australia (up 8 per cent to 1.1 million), Canada (up 11 per cent to 1.0 million) and India (up 23 per cent to 0.8 million).’

It is likely that most illegal immigrants are from North America and white Commonwealth countries.

According to the Institute for Public Policy Research, few people sneak into the country undetected so most illegal immigrants are overstayers, or people who stay in the UK beyond their entitlement.

There are few figures concerning overstayers by country. When Australia checked their overstayers in 2005, they found the top countries were the US and Britain.

via UK Indymedia – Most illegal migrants likely to be white.


  1. March 9, 2013 at 11:29 am

    ‘A waiter in Mumbai earns between 125-200 dollars. A Norwegian waiter earns closer to US$1500-2000 per month. Both do the same job and the net economic output should not change.’.
    ah,seemingly correct,but missing the diagnosis.the norwegian waiter is protected by his passport.the indian waiter is condemned by his passport.as a software guy,it used to trouble me why Indian engineers doing exactly the same work were paid less than his american team mates.but the answer lies in simple economic principle of average productivity.
    the norwegian waiter is privileged to live in a country where the average productivity of businesses is high.their factory workers in norway have on an avg higher productivity than their indian counter parts -not because they are smarter,but because they have access to more tools/capital goods.it is the actions of his countrymen that allow the norwegian waiter to charge more -because the factory workers’ opportunity cost in norway is higher than that of an equivalent worker in india.india simply has too many poor people who unfortunately produce very low output.thus indian average productivity is much lower than that in richer nations.capital formation is also discouraged because of poor tax policies and in general anti business political regimes and therefore we struggle to get out of the low productivity trap.
    if there were no passports,many poor indians could emigrate to richer countries and thus reduce norwegian waiter salaries .but we live in a world where labor protectionism is a given

    the debt fueled disasters these rich nations have brought upon themselves is because they have abandoned the golden controlling yoke on their monetary policies.it doesnt have to do with productivity.in fact the debt ,as you rightly point out,reduces their future productivity thus reducing their standards of living.

  2. March 9, 2013 at 8:57 pm

    Just pointing …

    At the beginning you start by saying, “the average productivity of businesses is high.their factory workers in norway have on an avg higher productivity”

    And by the time you are finishing, you are saying “it doesnt have to do with productivity.”

    This kind of comment by an Indian “condemned by his passport”, is surely unproductive.

    Do you think another commentator, “privileged to live in a country” and “protected by his (Norwegian) passport”, would make a comment like this?

  3. March 10, 2013 at 6:44 am

    i’ll try again. it is always about the average productivity.the marginal productivity of the norwegian waiter and the indian waiter is the same.but the norwegian waiter lives in a country where the avg productivity is high.moreover his passport protects him against indian waiters trying to go there to benefit from the high wages.that is why he earns more even though his net contribution is as low as anywhere else for a waiter’s job.

    obviously i am condemned by my passport.this nation state vs nation state nonsense does no good to individuals.my existence is constrained by the vicious games of the nation states and i feel is it a shame.
    the norwegian waiter is lucky,for now.the debt their nation states have taken will ensure his descendents wont have it easy

  4. JS
    March 23, 2013 at 8:43 pm

    dsylexic :
    i’ll try again. it is always about the average productivity.the marginal productivity of the norwegian waiter and the indian waiter is the same.but the norwegian waiter lives in a country where the avg productivity is high.moreover his passport protects him against indian waiters trying to go there to benefit from the high wages.that is why he earns more even though his net contribution is as low as anywhere else for a waiter’s job.
    obviously i am condemned by my passport.this nation state vs nation state nonsense does no good to individuals.my existence is constrained by the vicious games of the nation states and i feel is it a shame.
    the norwegian waiter is lucky,for now.the debt their nation states have taken will ensure his descendents wont have it easy

    Lol, this is a funny one…. Norway exports what exacty? Other than natural resources and raw materials? You debate doesn’t even make sense. A much better argument would have been generations of stored wealth given from US in the form of Bretten Woods systems that gives a lot more advantages and free money that our country has to acquire through your “productivity”.

    Indian “condemned by his passport”

    Nice attempt at hiding your inferiority complex, but it isn’t the case. Good luck finding jobs in western countries where they are as scarce as water on a desert. The problem is that their educated citizens don’t beat their chests and whine infront of the international community about their “hard life” like a certain group of people in our country (which it seems is increasing day by day).

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