"The Borjas Model"

The Borjas Model, developed by economist George Borjas, analyzes the impact of immigration on labor markets. It focuses on how the influx of immigrants affects wages and employment for native workers. The model suggests that while immigration can fill labor shortages, it may also lead to wage decreases for certain groups, especially low-skilled workers. Borjas emphasizes the importance of considering both the economic benefits and potential drawbacks of immigration policies, aiming to balance the needs of the economy with the welfare of existing workers.