So terrible that these foreign workers complain despite the lavish wages they were promised in Qatar. If they are not happy, they can always come to a rule-of-law secure country as Singapore. Of course, we don't pay lavish wages since we provide these perks and such. Just a pretty good wage only
And for those who pass the national military exams, they are even allowed to serve as lavishly paid foreign mercenaries in Singapore. And this in a country not at war for 60 years. Amazing deal for those candidates who pass. Lavish wages, glorious working conditions, great environment. Truly a paradise upon Earth for these Chosen.
what if you just reupload ? If one creates a honest mistake, maybe its just best to accept it. Or maybe put a disclaimer or explanation: Sorry, have got the (undisputed) map wrong. Hope you consider. I respect your content and views.
As a Nepalese i can tell that working abroad is a trend now & it's because of low opertunate & low income, it kills us from inside to go abroad leaving behind a beautiful country & family but money talks which will increase the living standard of our family so we do what must be done.
Nepalese workers were even there in Iraq during the early 2000's doing kitchen type work for Americans. There was a major incident where many of them were captured and executed.
The more important question is why there is low opportunity and low income. We could have a world with plenty of opportunity and high income for all of us. Theoretically it's not hard. It's only practically hard b/c of greed and greed exists b/c some of us refuse to believe that we are all one.
We saw this sort of dependency develop in Moldova ; a common example was the wife taking care of some old man in Italy, while the husband was sitting at home with the children, and "cultivating" their drinking habit.
Also a surprising amount of people from eastern Europe became literal slaves in big farms in southern Italy, Spain. A few busts released hundred of people from slavery from single farms. Crazy. I also knew villagers from home who were slaves in Ukraine, in the early 90-ties, on sugar beet fields 😐
@@DumitruUrsu There are no slaves in italian farms, don't be ridicolous. What there is, way too often, is the "capolarato": some guy, usually as foreign as the others (because they need to speak the same language) that acts as a middleman keeping a share of the already quite low daily salary. No guy is forced to work. Of course, chances are they wouldn't find another job at all so they have little choice.
@@Origami84 Modern slavery is real. There are more slaves in the world today (by number) than at any point in human history. We have modern slavery in the UK so I am sure Italy also has the problem.
My brother worked for about a year in the Netherlands in a greenhouse picking flowers, through a middleman, like you say - there were some abuses, like unpaid overwork, but nothing like the stuff I hear from Spain and Italy. Us latin folks can be some real degenerates at times.
Another drawback, that is apparent in Tijuana, Mexico, is that a divided economy emerges between those with access to foreign ccurrency/remittances and those without access. It destroys the natural supply and demand equilibrium making basic living unaffordable for many as realestate, etc., appreciate. The local economy evolves to serve those with foreign currency. The appreciation of the local currency was discussed, but mostly on a macro level. The local consequences are worth another video. Tijuana is a particularly interesting case because it is situated right on the border, across from California, US, so people cross daily to work, which creates a deep divide between those with dollars and those without.
Despite being a non-resident Indian. I am unable to buy housing in my hometown in India because of the earlier expats who destroyed the affordability of real estate in India by spamming dollars. They purchased so much land that now even getting land is very difficult at this moment. The early movers ruined it for others. It not that these ashl*s are going to move back. They just squat on land making it inaccessible for others.
My mother once toyed with the idea of moving to Australia, she fount out that it be easier for her to get a working visa than it would my father. This was simply due to her profession, child care, being more sought after there than my fathers, manual labour.
@@Anonymous-md2qp That depends on the Australian immigration system. If the pair are accepted because she has the in-demand job, most countries will offer the husband a visa to move as well. That's pretty much a guarantee because when you apply for a visa, you must include your spouse's information as well. Your spouse will usually be granted at the very least a spousal visa so you can move together. The question is whether the husbands visa will allow him to work while he's in Australia or if he's just allowed to migrate, but not work. The husband may be able to work, but only after applying for a separate work permit individually.
I know EE likes to stay on the macro-scale, but that does hide the real brutality of how Migrant Labor is treated, especially in these rich Gulf States. The practice of passport confiscations by employers coupled with the government requiring a visa to *exit* the country is just one example of how this turns from a mutually beneficial into being exploitation.
What's the alternative? Europe's policies kill a lot more migrants in brutal conditions (often by drowning, starving, etc). Skilled workers get good treatment everywhere. For unskilled labor, it's way way more brutal to go to Europe compared to Qatar.
@@nadmoi That's not even mentioning outsourced labor into Asian and African sweatshop-factories. This whole Qatar indignation seems like another cynical Western attempt at blaming others for the world their capitalist colonialism created. Of course, the well has been poisoned, so no real point in arguing. Just ignore them.
@@eskimo4130 Whoever contributes to the 750mn eur agency FRONTEX. Their job is to make sure no unskilled migrants from outside come and make a living within their borders.
I look forward to your take on the other side of the spectrum: my country, the Philippines, which is a well-known “exporter” of migrant workers, probably one of the biggest relative to our country’s entire population. Our government literally has a Department of Migrant Workers.
@David Cox as the video said: "It depends" As a non economist, I'm guessing its a net negative(for the populous) since spending power increases-> prices increases since people are willing to spend more. So, if you don't have a child working abroad, it may be hard to buy stuff because other family having the cushion to buy the stuff at a higher prices. But from an individual level, the family will be proud of their child if you get a job international especially in developed nations
@@Random_dud31 I cant say the net benefit for the nation as I am a beneficiary of migrant labor myself having my education being paid for with migrant money, as with many others. On the other side, housing (especially condos in city centers) are more expensive now more than ever because developers and real estate agents target migrant workers who have really big purchasing power even when compared to the average white collar local.
I think one thing is being missed here is that the local currency of the home country doesn’t have to appreciate. The central bank of that country can “sanitize” the flows by buying treasuries and preventing the rise of its domestic currency to preserve export competitiveness. Many many countries do this… notably China… which is why their forex reserves go up.. I can’t believe this huge thing was ignored in this video.
No one casually chooses to get out of his country to work in really bad conditions in a strange place. They migrate in large scale because they have no opportunity in their homelands, and this has to do way more with the conduction of the economic policy there and the economic freedom.
An undocumented immigrant has no rights. Rights are for citizens, not unwanted trespassers. A nation is obligated to look after it's own citizens, and not to allow outsiders to hurt them. The solution for people from crappy nations is to fix their nation, not break their neighbours.
Lets start; In sharp contrast to today’s American "undocumented population," _illegal European immigrants_ of the past faced few *legal* repercussions. There was virtually no immigration enforcement infrastructure. If caught, few faced deportation. All of those who entered *unlawfully* before the 1940s were protected from deportation by statutes of limitations, or were given amnesty. Many can tell where this is going already... Within the span of a few decades from the late 19th to the early 20th century, the United States was transformed from a predominately rural agrarian society to an industrial economy, and owners of production required the labor. Today, we see the same dynamic of migrant labor when needed, but with the modern twist of returning these laborers back to their country of origination once their role is complete. These modern immigrants, and their successive families, are not allowed to reap the generational financial benefits of their servitude.
The economics are identical whether an immigrant is documented or undocumented. Beyond that, it's impossible to have a balanced discussion because it depends on a value judgment: is the health and security of a human being worth differently depending on their circumstance?
It is also important to point out that while this video describes the economics of migrant labor in general, it does not focus on the humanitatian consequences, particularly for countries like Qatar. Many of the "migrant jobs" in countries like Qatar are near enslavement with horrific living and working conditions, and workers are frequently prevented from leaving the country by employers withholding their worker's passports. Definitely worth researching if you are interested, especially because there are plenty of sources more qualified than EE or this TH-cam video commenter to discuss these topics.
It’s necessary to hold onto the passport or else many would probably illegally migrate. Doesn’t justify the poor conditions otherwise, but the passport thing is completely sensible.
And yet many of those workers home nations are in far worse positions than the horrific conditons to which they now reside. While i agree there is an atrocious vrisis they people willing go into this bondage generally to escape death for believing differently than their former boyar or being forcably impressed into a military who ideology is to use this new adult as cannon fodder at best or a smart bomb at worst. So when you bring this up, know that they do so willingly to escape a worse fate.
Indeed, "remittances" are only a benefit when the labourer is actually paid what they were promised, and not screwed, kidnapped and slaved or worked to death like so many in Qatar.
What are the humanitarian consequences of extreme anti-immigration policies of western countries? Can these workers live like kings thanks to the 700mn euro border security forces that Europe has? For reference, the same guardian reports that 30,000+ people died because of Europe's strict policy against migrants. How is that better?
Yeah, I've talked to people working abroad. The money really makes a lot of difference. A small salary of $24000 annually made it possible for one guy to build a big house in his home town in India, and another told me her mother told her not to come back, because there is alot of benefit from the money she sends back, and there are no jobs in her home country.
I don’t believe this was a mistake. You have depicted India before too. It was correct that time. It was on purpose wasn’t it? And seeing as it has been hours since you have acknowledged this comment, I am getting surer about your supposed “mistake”
culture of dependency is a big thing. Many immigrants here in the states can just send 20-60 bucks a month (just another bill) to their home country and take care of a whole extended family. Have most do that, and you end up with people who expect money sent to them, meanwhile it also cause inflation in said home country and ... well it spirals.
Well as a person from one of those immigrant sending countries , let me assure you that people left behind in such families and communities also work and earn on their own unless they are children or elderly ( two groups which need care in all the countries of the world ) . It's more about the lure of FOREX .
8:23 Uhh that's not what India looks like. Normally I wouldn't care enough to comment about something like this, but this map has cut out a HUGE chunk of India.
Hi I am from India and I am a economic student and because of you it become easier to understand world economy . I like your content . Your all content very knowledgable .
Hi.Great analysis but one issue I observed was the assumption that remittances will increase the value of Nepalese Rupee. But that won't happen as the currency is pegged to Indian Rupee at a fixed rate factor of 1.6, so no matter how much demand for Nepalese Rupee increases due to increasing remittances, it won't affect the purchasing power of Nepalese Rupee.
It's complicated than that. If ur fact is true,Nepal should have high forex reserve.that is definitely not case. If money is not in market then it's in forex reserve. So I think Nepal doesn't earn that much to surplus their import. What Is balance of payment of Nepal if u can tell.
Weird that the example for skilled labour migration was hospital workers when I continue to hear news of labour shortages in hospitals both at home and abroad.
Pretty sure that's just down the western countries not being run properly and COVID coming in to showcase it. UK NHS is completely reliant on migrant workers to run, but places like India and Malaysia only produce so many medical professionals. At some point, western countries need to become a bit more self-sufficient; we won't be able to tempt people away from their countries to work here forever
Map of India at 8:25 is extremely wrong. You omitted so many states. Please edit the video or add a disclaimer in the description/pinned comment. Thanks.
You'd expect from an educational channel diligence. Indian map shown in the video has whole North Eastern states cut out from it, Kashmir and Ladakh isn't acceptable either.
I've never thought about remittances in the context of Dutch Disease. I'd be curious to hear about real world examples of the issues mentioned in the video (e.g. reduction in labour participation, currency appreciation). Are these hypothetical or happening in reality?
I am from a small town in Bulgaria - not that poor country as of now, but wages used to be very low 15- 20 years ago, so there were/are a lot Bulgarians working in Western Europe. My father worked in Germany for 6 years. Reduction in labour participation is definitely a thing, especially when you have your own house and live in a village/small town. If you work fulltime (if you find a job; in most small towns there just weren't enough work opportunities), you are going to make 40-50 euro a month, which doesn't cover living expenses like food and bills, so why bother if you get money from your parent(s) working abroad. There is also the humanitarian side - a lot of kids are basically raised by their grandparents and see their parent(s) once or twice a year if they are working abroad illegally (best case scenario) or are on their own and receive money /are just abandoned (worst case scenario). I don't think there was currency appreciation, but our currency has been tied to the Deutsche Mark/Euro since 1997. However, at one point the property prices were in Deutsche Marks. In a economy like this there are some peculiar business opportunities. About 20 years ago it was feasible to buy broken or defective second-hand cars and appliances from Germany, The Netherlands or Italy, repair and sell them in some small town, because people didn't have money for new ones ("Made in China" was still unheard of, aside from knock-off Nintendos, so TVs, computers, PS especially were very expensive relatively - maybe about 6 months salary; having a new car was a sign that you are making big money, probably an affluent business owner or involved in extortion/drugs/human trafficking).
Samoa,Tonga and other smaller Pacific Island nations have 'programs' (assistance with air fares and accommodation) for working on orchards and other horticultural work in New Zealand. Am sure Australia would have similar programs. New Zealanders also work in Australia for the 'money' after a few years and a nest egg working in the mines, they than cruise home and pay big $ for housing....
I am very happy that day by day the Middle East is becoming less and less popular as a destination to work for Indonesians, This is proven by data on migrant workers from Indonesia in Qatar, no more than 80k. Indonesians are currently more attracted to East Asia like Korea,Taiwan, Japan.
Economic and political systems for a country are like colors on an artists palette. Obviously the ethical considerations between the compared are completely different. But the idea is that while one color might look horrible on one painting, it could be perfect for another, and the same can be said for socioeconomic and political systems.
In Australia we have the GST or goods and services tax. I'd love to see your take on the economic differences if this tax would only affect goods or only affect services.
Hey! Great video, really informative! I've gotta say tho the map of India shown at 08:23 is just plain wrong. I'm not talking about the Kashmir part before anyone argues, but you've cut out the entirity of the north-east. I don't know if this was a political choice or an accident but this should be fixed.
It was definitely a political choice. If he can’t make unbiased videos, lets show how we make political choices. I used to be a fan of this show. I have watched every single video he posted. But not anymore. I will never support anyone who supports separating my motherland
I thought I am only one noticed that POK& LOC are understandable he wiped out 7 States from his map. look like US map with out Alaska or western side that includes California .
One important aspect is also "Brain drain" where individuals with particularly high skill levels will seek work abroad for better opportunity. This makes it even more difficult for the home country to develop local businesses.
In reality there is not really any highly skilled native quataris. They have no incentive. They get given money simply for existing, and companies have to have a set ratio of locals (10%?) Which means that they can't be fired from jobs, so most don't even turn up for work. When your kids regularly loose track of which diamond encrusted iPhone was theirs, money ceases to have any real meaning.
Just wanna say theres a mistake at 8:23 where entire northeast has been ommitted from the map of India. I hope you correct it and maybe reupload that again @economic explained ?
Its geographically connected. Literally every map depicts it such, as the Northeastern India is physically connected to rest of India . Not like Alaska which is ~2000 km away from Mainland US. Also notice how I didn't raise anything about Andaman Nikober Islands as I know how it works, the Hawai. Oh, the internet.
Dark aspect of remmittance in Nepal is that the Nepals government is unable to utilize remmiittance for productive sector. Instead the country people are becoming stagnant, & inactive to use available local resources and people from rural village are migrating towards cities.
Timestamp 8:23. What map of India did you choose to put in here? I know your subject is not geography. But cutting down the whole of North-East India is offensive.
Thanks for the great content! Please will you make a video on the economic and political situation in South Africa? I think a lot of people would be interested to see what is going on in the country in that regard, given it is the most industrialised African country and a hotspot for tourists. Thank you!
I suppose it is reasonable to extrapolate that if remittances inflate the value of the receiving country's currency, they must also deflate the value of the host country's currency but to a smaller degree. With Canada having one of the highest ratios in the world of foreign-born inhabitants, I'm curious how significant an effect remittances have on the CAD against the USD. As a Canadian, I'm acutely aware of the pros and cons of a weak dollar against the US. Canada's film industry has done exceptionally well because of the disparity, but with economic nationalism policies growing under both Trump and Biden, it seems like the list of cons for Canadians is starting to heavily outweigh the list of pros.
hey EE i wanna ask you this question if you can turn off the global economy and fix some of its flaws and then turn it on, what are these changes gonna be?
One of the things you didn't address is the underground economies, especially with currency export restrictions. A lot of countries have export controls to keep a handle on their money supply. If they also have a lot of migrant workers then an intermediary currency gets involved, usually USD. Once there, there's not a rush to convert into the native currency. It means a large influx of FOREX and generally a large underground economy based on USD. Inflation rears its head as well which speeds the process. Interesting times.
An entire industry that relies on this type of labor is the cruising industry. We're far from rock bottom. When you start hearing about people from African countries (world's poorest) getting work in these industries, then you'd know we're close.
My favorite thing about your content is that you don't shy away from the fact that contemporary capitalism is likely not the most efficient nor the most ideal human economic system and that inequality is necessarily baked into the system as we know it today. It tends to feel more often than not that economists in the west are still somewhat high off the alleged "end of history" and don't even attempt to conceal their bias toward thinking the contemporary system is the end-all, be-all organizational structure of human society. Just a breath of fresh air and gets my thoughts flowing, thank you🙏
I really like your videos, they cover a variety of topics and have helped me understand economics better. But I would urge you to use a proper map of India in your videos.
In your little example: could the "Nepalese" avoid crushing there "carpet industry" by allowing both currencies to coexist? And how does that compare to the situation/Dolarisation in Latin America?
The economics of migrant labour : A new model of modern slavery and exploitation that Qatar is a prime example of? And no mention here that many "migrant" workers need to pay a fee (which is often taken out as a loan) to an agent before being granted access to a nation like Qatar. So perhaps the economics of migrant labour should be concentrating on the economics of the migrant worker industry, and how it actually works rather than some rosy assumptions of how economic theory says it is supposed to work.
I like that you mentioned that remittances may dwarf wages in an S hole economy causing voluntary unemployment. This actually can cut local market productivity, decreasing local commodity availability, creating scarcity and pushing the cost of living higher. Also all this cold capital coming in, chasing commodities and housing, pushes inflation within that economy even harder and does a disservice to those who actually work for shamefully low wages locally.
when it comes to highly skilled workers it still causes lower wages and unemployment. In my country we have huge unemployment with doctors and engineers while 90% of the doctors and in engineers working in companies and hospitals are forigners because they're cheaper to hire and nothing is being done about it because rich law makers are the owners of those companies and hospitals
It's voluntary at first, but once the worker is in Qatar, their passport is taken by their employer, and they're immediately put into debt and told they can't leave until they pay off the debt. These types of abuses are well documented in Qatar, and they need to stop. I disagree with original poster that this will never change. It will never change if people give up with a resigned "so sad, it's always been like this, there's nothing we can do." There are plenty of places where it's not like this, and there are things we can do to help fix it.
Hey! I'm sure you didn't mean any offence... but the map at 8:26 of India fails to show the northeast part of India which is a key part of the country! Hope you can fix this issue to avoid unwanted backlash
People go to Qatar to work. Many Migrants make 2000 dollars a month over there, they come from countries where they couldn't make 2 dollars a month. The rate the UK is going, I will think about joining them. The work is in the Middle East.
In short: that's why I have been calling for the separation of ideology, philosophy, faith and expertise. Life experience wasn't good to rely on for politics in the first place but now it's a spiraling out free market of ideas
Too many skilled workers should drive costs down, not force a doctor to quit medicine. That seems absurd economic reasoning. A higher supply means demand can increase or the price can go down, not that one doctor can afford to work and another can't afford to work.
Croatia lost 500 000 people in the last 10 years that went to western countries for a better job. That is more than 10% of the country's population. And those were young people. Small countries are like human farms for the rich countries. Take the best and leave the rest and help them with some eu subsidies, funding that are given politically.
Carpenter selling carpets to local customers for higher prices -> will have extra money for those high-end German machines for carpet manufacturing -> it will optimize mamufacturing -> now carpenter can manufacture 10x more products for those German buyers that search for cheapest products.. Increase of money supply in country can lead to two scenarios: 1. Everything becomes more expensive, that leads to lower export. 2. Business and factories get more money for: new machines, new softwares, new servers, employee trainings, and MARKETING.. as a result, companies become healthier, more optimized and can produce more stuff for less cash.
There is a difference between voluntary migrant work and people kept against their will in terrible conditions, forced to work, not gettting paid and not allowed to leave, what happens in the Gulf states. The video failed to adress this.
"Unfortunately the more a country's people depend on working abroad, the more they will depend on working abroad." It seems like human society is full of these positive feedback loops. There is a tendency to get locked into one path or another.
You should talk about the lebanese economy and how dependent it is on remittances from people living abroad. It is impossible to have exact figures as most of the money is smuggled to the country in euros and dollars. After the collapse of the lebanese economy, i expect that the remittances make up more than 50% of the GDP. Too many expats send lots of money to support their families in a country which today produces almost nothing.
Working in gulf country is not as bad as you think, as my own relatives work there. And they said it is far better to live in gulf country as migrant as in India. Living condition is also better, even the toilet is air-conditioned.
i'm sorry... that map @ 8:23 depicting India is inaccurate af. There's the entire northeast that's missing...and the place isn't even disputed. Note: 1. I love your content and channel, but this can lead to your channel being branded as anti Indian. I'm sure you meant well. 2. I'm not sharing this video or pointing out the obvious as a spotlight on me. But these are sensitive issues.
It's not that their currency gets more valuable because a government could easily make the value lower its more that the workers become more expensive to make the carpets
thank-you, I have to have this conversation with my fellows almost everyday. I live in the US and there is a background conversation about migrant workers from Latin America. Better understanding this problem may let me explain to my peers how and why to treat these workers as well as systems we should implement to resolve conflict and preserve the native industry.
Think about it, even Economics Explained is run by 3 Australian economists working abroad virtually because the size of Australian audience isn't big enough to support the channel
Much as I like Argentina, its victory was a sham. The team kept breaking rules the whole match, and especially in the later part of the second period, and the judge did nothing! Argentina did not deserve to win.
Appreciate the video but you could have criticized the Qatar government and all parties involved a little more, for they directly or indirectly either caused the death of those 6.5k immigrants or they knew all about the poor treatment of the immigrants but remained silent. I'm Rojin from Bangladesh. People in Bangladesh are so brainwashed that most don't even know about the deaths of their countrymen. I hope people like you keep raising awareness about these horrible incidents.
Human rights culturally and sadly have never been universally recognized as a construct. Point 2: I don't know how many workers from Nepal truly believe they have lost compared to their lives and prospects in the home countries. At least recognize a different viewpoint before we apply our developed country privilege perspective, as "right" as we think or may be.
I have an interesting tidbit to add to this discussion. The population of Qatar would not be 90% migrants if it weren't for some of the most restrictive citizenship requirements in the world. There are multi-generational families in Qatar who are still "temporary residents" even though it was their grandparents or even great grandparents who immigrated to Qatar. Even children of Qatari women married to non-Qataris, born in Qatar, are NOT Qatari citizens at birth. These types of citizenship rules are common in the GCC and other Arab countries. Part of the reason for this is that Qatari citizens enjoy huge perks and welfare benefits that the "locals" don't want to share, and that the government cannot afford to extend to so many more people. Side note: this is also part of the reason GCC countries (Qatar, UAE, etc) have so little crime. Basically the locals are showered with money and everyone else has the threat of deportation constantly hanging over their heads!
@@shauncameron8390 The difference is that there is basically no defined process of naturalization at all. Like I said, there are people born in Qatar, to parents born in Qatar, to grandparents born in Qatar, to GREAT grandparents who immigrated to Qatar, and they're STILL not citizens. They speak the language, know the culture, contributed to the enormous development of the country, and have no path to citizenship. I can't think of very many countries where that would be the case.
Economics is a social science masquerading as a hard science. The reality is any economic analysis fails entirely to account for long term externalities of migrant work on the host nation. If these were ever analyzed and these 'cultural costs' which a social science should concern itself with it would be obvious to anyone that the answer to any is migration beneficial to the economy would always be solidly in the red, on every front not just the social but also the financial analysis.
Economic theory is a hard science that relies on math and numbers. The problem is, that all economic models don't factor in the human factor, which makes them unreliable
Is there any experimental support for this argument that remittances create a "culture of dependence?" This is often brought up in relation to welfare, and most research seems to point against such an effect. It feels like this is one of those concepts in economics that is born in spite of contrary knowledge in psychology. Or am I missing something?
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Lol, thanks for translating temperature to American. 😁😅🤣😂 ❤️ 🇺🇸 Also, thank you in general for such a great educational channel.
why did u remove northeast,pok and aksai chin from india's map?
So terrible that these foreign workers complain despite the lavish wages they were promised in Qatar. If they are not happy, they can always come to a rule-of-law secure country as Singapore. Of course, we don't pay lavish wages since we provide these perks and such. Just a pretty good wage only
And for those who pass the national military exams, they are even allowed to serve as lavishly paid foreign mercenaries in Singapore. And this in a country not at war for 60 years. Amazing deal for those candidates who pass. Lavish wages, glorious working conditions, great environment. Truly a paradise upon Earth for these Chosen.
what if you just reupload ? If one creates a honest mistake, maybe its just best to accept it. Or maybe put a disclaimer or explanation: Sorry, have got the (undisputed) map wrong. Hope you consider. I respect your content and views.
As a Nepalese i can tell that working abroad is a trend now & it's because of low opertunate & low income, it kills us from inside to go abroad leaving behind a beautiful country & family but money talks which will increase the living standard of our family so we do what must be done.
Nepalese workers were even there in Iraq during the early 2000's doing kitchen type work for Americans. There was a major incident where many of them were captured and executed.
@@Kraken9911 where can I find an article on this,
Take care. ❤
@@EconomicsExplained Thanks mate & you too ❤
The more important question is why there is low opportunity and low income. We could have a world with plenty of opportunity and high income for all of us. Theoretically it's not hard. It's only practically hard b/c of greed and greed exists b/c some of us refuse to believe that we are all one.
We saw this sort of dependency develop in Moldova ; a common example was the wife taking care of some old man in Italy, while the husband was sitting at home with the children, and "cultivating" their drinking habit.
@@user-hg4jk2q 😂😂 right. She’s earning her money the old fashioned way
Also a surprising amount of people from eastern Europe became literal slaves in big farms in southern Italy, Spain. A few busts released hundred of people from slavery from single farms. Crazy. I also knew villagers from home who were slaves in Ukraine, in the early 90-ties, on sugar beet fields 😐
@@DumitruUrsu There are no slaves in italian farms, don't be ridicolous. What there is, way too often, is the "capolarato": some guy, usually as foreign as the others (because they need to speak the same language) that acts as a middleman keeping a share of the already quite low daily salary. No guy is forced to work. Of course, chances are they wouldn't find another job at all so they have little choice.
@@Origami84 Modern slavery is real. There are more slaves in the world today (by number) than at any point in human history. We have modern slavery in the UK so I am sure Italy also has the problem.
My brother worked for about a year in the Netherlands in a greenhouse picking flowers, through a middleman, like you say - there were some abuses, like unpaid overwork, but nothing like the stuff I hear from Spain and Italy. Us latin folks can be some real degenerates at times.
Another drawback, that is apparent in Tijuana, Mexico, is that a divided economy emerges between those with access to foreign ccurrency/remittances and those without access. It destroys the natural supply and demand equilibrium making basic living unaffordable for many as realestate, etc., appreciate. The local economy evolves to serve those with foreign currency. The appreciation of the local currency was discussed, but mostly on a macro level. The local consequences are worth another video. Tijuana is a particularly interesting case because it is situated right on the border, across from California, US, so people cross daily to work, which creates a deep divide between those with dollars and those without.
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Thanks for mentioning this social consequence. You can see a similair thing happen in Windsor Ontario Canada near where i grew up.
Ditto for Cuba.
Despite being a non-resident Indian. I am unable to buy housing in my hometown in India because of the earlier expats who destroyed the affordability of real estate in India by spamming dollars. They purchased so much land that now even getting land is very difficult at this moment. The early movers ruined it for others. It not that these ashl*s are going to move back. They just squat on land making it inaccessible for others.
@@julm7744 that's not what he means. Doesn't matter what prices in tijuana are compared to in the US, but compared to other local Mexican cities.
My mother once toyed with the idea of moving to Australia, she fount out that it be easier for her to get a working visa than it would my father. This was simply due to her profession, child care, being more sought after there than my fathers, manual labour.
@@0deepak Because her husband couldn't move.
@@nishant54 U can move. If one spouse moves then the other one can come together with the child for family reunion
@@redhidinghood9337 I think Nishant was highlighting that the husband would be out of work for a long period and would need to find a new industry.
Is manual labor a profession?
@@Anonymous-md2qp That depends on the Australian immigration system. If the pair are accepted because she has the in-demand job, most countries will offer the husband a visa to move as well. That's pretty much a guarantee because when you apply for a visa, you must include your spouse's information as well. Your spouse will usually be granted at the very least a spousal visa so you can move together. The question is whether the husbands visa will allow him to work while he's in Australia or if he's just allowed to migrate, but not work. The husband may be able to work, but only after applying for a separate work permit individually.
I know EE likes to stay on the macro-scale, but that does hide the real brutality of how Migrant Labor is treated, especially in these rich Gulf States.
The practice of passport confiscations by employers coupled with the government requiring a visa to *exit* the country is just one example of how this turns from a mutually beneficial into being exploitation.
What's the alternative? Europe's policies kill a lot more migrants in brutal conditions (often by drowning, starving, etc). Skilled workers get good treatment everywhere. For unskilled labor, it's way way more brutal to go to Europe compared to Qatar.
@@nadmoi That's not even mentioning outsourced labor into Asian and African sweatshop-factories. This whole Qatar indignation seems like another cynical Western attempt at blaming others for the world their capitalist colonialism created. Of course, the well has been poisoned, so no real point in arguing. Just ignore them.
@@nadmoi which countries and policies are you referring to?
@@eskimo4130 Whoever contributes to the 750mn eur agency FRONTEX. Their job is to make sure no unskilled migrants from outside come and make a living within their borders.
@@nadmoi okay. But what countries are they?
I look forward to your take on the other side of the spectrum: my country, the Philippines, which is a well-known “exporter” of migrant workers, probably one of the biggest relative to our country’s entire population. Our government literally has a Department of Migrant Workers.
What’s the attitude to put on Filipino society? Is it seen as a positive thing?
@David Cox as the video said: "It depends"
As a non economist, I'm guessing its a net negative(for the populous) since spending power increases-> prices increases since people are willing to spend more.
So, if you don't have a child working abroad, it may be hard to buy stuff because other family having the cushion to buy the stuff at a higher prices.
But from an individual level, the family will be proud of their child if you get a job international especially in developed nations
@@Septimus_ii migrant workers= seen as modern day "heroes" in our country. This has been the main shtick of the various admin but causes brain drain
@@Random_dud31 I cant say the net benefit for the nation as I am a beneficiary of migrant labor myself having my education being paid for with migrant money, as with many others. On the other side, housing (especially condos in city centers) are more expensive now more than ever because developers and real estate agents target migrant workers who have really big purchasing power even when compared to the average white collar local.
I feel like the Philippines and its diaspora populations has been covered in quite some depth in a previous video.
I think one thing is being missed here is that the local currency of the home country doesn’t have to appreciate. The central bank of that country can “sanitize” the flows by buying treasuries and preventing the rise of its domestic currency to preserve export competitiveness.
Many many countries do this… notably China… which is why their forex reserves go up.. I can’t believe this huge thing was ignored in this video.
Yeah, was about to comment the same thing! Even majors did it (Swiss), so it was probably deliberately overlooked :)
No one casually chooses to get out of his country to work in really bad conditions in a strange place. They migrate in large scale because they have no opportunity in their homelands, and this has to do way more with the conduction of the economic policy there and the economic freedom.
I look forward to a well balanced discussion about worker's rights, especially concerning undocumented immigrants.
An undocumented immigrant has no rights.
Rights are for citizens, not unwanted trespassers. A nation is obligated to look after it's own citizens, and not to allow outsiders to hurt them.
The solution for people from crappy nations is to fix their nation, not break their neighbours.
😇
What rights would illegals have lol
Lets start; In sharp contrast to today’s American "undocumented population," _illegal European immigrants_ of the past faced few *legal* repercussions. There was virtually no immigration enforcement infrastructure. If caught, few faced deportation. All of those who entered *unlawfully* before the 1940s were protected from deportation by statutes of limitations, or were given amnesty.
Many can tell where this is going already...
Within the span of a few decades from the late 19th to the early 20th century, the United States was transformed from a predominately rural agrarian society to an industrial economy, and owners of production required the labor. Today, we see the same dynamic of migrant labor when needed, but with the modern twist of returning these laborers back to their country of origination once their role is complete. These modern immigrants, and their successive families, are not allowed to reap the generational financial benefits of their servitude.
The economics are identical whether an immigrant is documented or undocumented. Beyond that, it's impossible to have a balanced discussion because it depends on a value judgment: is the health and security of a human being worth differently depending on their circumstance?
It is also important to point out that while this video describes the economics of migrant labor in general, it does not focus on the humanitatian consequences, particularly for countries like Qatar. Many of the "migrant jobs" in countries like Qatar are near enslavement with horrific living and working conditions, and workers are frequently prevented from leaving the country by employers withholding their worker's passports. Definitely worth researching if you are interested, especially because there are plenty of sources more qualified than EE or this TH-cam video commenter to discuss these topics.
It’s necessary to hold onto the passport or else many would probably illegally migrate. Doesn’t justify the poor conditions otherwise, but the passport thing is completely sensible.
And yet many of those workers home nations are in far worse positions than the horrific conditons to which they now reside. While i agree there is an atrocious vrisis they people willing go into this bondage generally to escape death for believing differently than their former boyar or being forcably impressed into a military who ideology is to use this new adult as cannon fodder at best or a smart bomb at worst. So when you bring this up, know that they do so willingly to escape a worse fate.
Indeed, "remittances" are only a benefit when the labourer is actually paid what they were promised, and not screwed, kidnapped and slaved or worked to death like so many in Qatar.
This was already covered I believe in his previous video on the subject.
What are the humanitarian consequences of extreme anti-immigration policies of western countries? Can these workers live like kings thanks to the 700mn euro border security forces that Europe has? For reference, the same guardian reports that 30,000+ people died because of Europe's strict policy against migrants. How is that better?
Yeah, I've talked to people working abroad. The money really makes a lot of difference.
A small salary of $24000 annually made it possible for one guy to build a big house in his home town in India, and another told me her mother told her not to come back, because there is alot of benefit from the money she sends back, and there are no jobs in her home country.
The map of india at 8:24 is incomplete mate. You forgot the entire north east india (7 states).
I don’t believe this was a mistake. You have depicted India before too. It was correct that time. It was on purpose wasn’t it? And seeing as it has been hours since you have acknowledged this comment, I am getting surer about your supposed “mistake”
culture of dependency is a big thing. Many immigrants here in the states can just send 20-60 bucks a month (just another bill) to their home country and take care of a whole extended family. Have most do that, and you end up with people who expect money sent to them, meanwhile it also cause inflation in said home country and ... well it spirals.
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Well as a person from one of those immigrant sending countries , let me assure you that people left behind in such families and communities also work and earn on their own unless they are children or elderly ( two groups which need care in all the countries of the world ) .
It's more about the lure of FOREX .
20-60 bucks to take care of a whole extended family?? In what country is that sufficient!?
@@gireeshgprasad7589 It is possible to buy a good amount of food at the very least with that money. But also they are working as well.
nah, i will say at least $300 to mantain a family per month. 20 bucks is so unrealistic
8:23 Uhh that's not what India looks like. Normally I wouldn't care enough to comment about something like this, but this map has cut out a HUGE chunk of India.
Hi
I am from India and I am a economic student and because of you it become easier to understand world economy . I like your content . Your all content very knowledgable .
FIFA ⚽️: Say waaaaaaaaaaat?
Hi.Great analysis but one issue I observed was the assumption that remittances will increase the value of Nepalese Rupee. But that won't happen as the currency is pegged to Indian Rupee at a fixed rate factor of 1.6, so no matter how much demand for Nepalese Rupee increases due to increasing remittances, it won't affect the purchasing power of Nepalese Rupee.
It's complicated than that.
If ur fact is true,Nepal should have high forex reserve.that is definitely not case.
If money is not in market then it's in forex reserve.
So I think Nepal doesn't earn that much to surplus their import.
What Is balance of payment of Nepal if u can tell.
Weird that the example for skilled labour migration was hospital workers when I continue to hear news of labour shortages in hospitals both at home and abroad.
Well it was just an example I’m sure that there are doctor immigrants like he saids the country will welcome new doctors
Now are you going to cry because Qatar is threatening your doctors supply?
Pretty sure that's just down the western countries not being run properly and COVID coming in to showcase it. UK NHS is completely reliant on migrant workers to run, but places like India and Malaysia only produce so many medical professionals. At some point, western countries need to become a bit more self-sufficient; we won't be able to tempt people away from their countries to work here forever
In my country, doctors regularly leave once trained because they can make many times higher salary in the US
@@unfortunatelyrob2635
That's the case with Canada.
8:23 guy cut off an entire region of India that's not even disputed and thought nah that looks alright!
Wait lol mate, I don't care if you get Kashmir wrong, but did you really miss the entirety of eastern India at 8:24 ?
Map of India at 8:25 is extremely wrong. You omitted so many states. Please edit the video or add a disclaimer in the description/pinned comment. Thanks.
You'd expect from an educational channel diligence. Indian map shown in the video has whole North Eastern states cut out from it, Kashmir and Ladakh isn't acceptable either.
I've never thought about remittances in the context of Dutch Disease. I'd be curious to hear about real world examples of the issues mentioned in the video (e.g. reduction in labour participation, currency appreciation). Are these hypothetical or happening in reality?
I believe that many of these effects have been observed in The Philippines.
I am from a small town in Bulgaria - not that poor country as of now, but wages used to be very low 15- 20 years ago, so there were/are a lot Bulgarians working in Western Europe. My father worked in Germany for 6 years.
Reduction in labour participation is definitely a thing, especially when you have your own house and live in a village/small town. If you work fulltime (if you find a job; in most small towns there just weren't enough work opportunities), you are going to make 40-50 euro a month, which doesn't cover living expenses like food and bills, so why bother if you get money from your parent(s) working abroad. There is also the humanitarian side - a lot of kids are basically raised by their grandparents and see their parent(s) once or twice a year if they are working abroad illegally (best case scenario) or are on their own and receive money /are just abandoned (worst case scenario).
I don't think there was currency appreciation, but our currency has been tied to the Deutsche Mark/Euro since 1997. However, at one point the property prices were in Deutsche Marks.
In a economy like this there are some peculiar business opportunities. About 20 years ago it was feasible to buy broken or defective second-hand cars and appliances from Germany, The Netherlands or Italy, repair and sell them in some small town, because people didn't have money for new ones ("Made in China" was still unheard of, aside from knock-off Nintendos, so TVs, computers, PS especially were very expensive relatively - maybe about 6 months salary; having a new car was a sign that you are making big money, probably an affluent business owner or involved in extortion/drugs/human trafficking).
@@dazzlebreak4458 thanks for the details
Samoa,Tonga and other smaller Pacific Island nations have 'programs' (assistance with air fares and accommodation) for working on orchards and other horticultural work in New Zealand. Am sure Australia would have similar programs. New Zealanders also work in Australia for the 'money' after a few years and a nest egg working in the mines, they than cruise home and pay big $ for housing....
Man cut out entire Northeast from India😂😂 08:24
And aksai-chin and POK
@@OmDahake Most of the western media doesn't include them so I don't expect him to include that.
yeah like I get that he not including POK cause it is complicated but why north east India? It as much a part of India as any other part of india
@@anustubhmishra he's not doing his due delegance.
@@OmDahake It is not UN approved fool. Don't be over nationalistic like toxic.
I am very happy that day by day the Middle East is becoming less and less popular as a destination to work for Indonesians, This is proven by data on migrant workers from Indonesia in Qatar, no more than 80k. Indonesians are currently more attracted to East Asia like Korea,Taiwan, Japan.
Please show the border of INDIA correctly as per the government of India map.
Thanks for the work you do in education, EE!
Economic and political systems for a country are like colors on an artists palette.
Obviously the ethical considerations between the compared are completely different. But the idea is that while one color might look horrible on one painting, it could be perfect for another, and the same can be said for socioeconomic and political systems.
And then there are some things that are like glitter and should be on no paintings whatsoever.
In Australia we have the GST or goods and services tax. I'd love to see your take on the economic differences if this tax would only affect goods or only affect services.
Hey! Great video, really informative! I've gotta say tho the map of India shown at 08:23 is just plain wrong. I'm not talking about the Kashmir part before anyone argues, but you've cut out the entirity of the north-east. I don't know if this was a political choice or an accident but this should be fixed.
It was definitely a political choice. If he can’t make unbiased videos, lets show how we make political choices. I used to be a fan of this show. I have watched every single video he posted. But not anymore. I will never support anyone who supports separating my motherland
I thought I am only one noticed that POK& LOC are understandable he wiped out 7 States from his map. look like US map with out Alaska or western side that includes California .
Migrant labor and remittances are things I have always been curious about, thanks for this explanation.
One important aspect is also "Brain drain" where individuals with particularly high skill levels will seek work abroad for better opportunity. This makes it even more difficult for the home country to develop local businesses.
Not really if the government makes it hard for anyone to develop business locally.
In reality there is not really any highly skilled native quataris. They have no incentive. They get given money simply for existing, and companies have to have a set ratio of locals (10%?) Which means that they can't be fired from jobs, so most don't even turn up for work. When your kids regularly loose track of which diamond encrusted iPhone was theirs, money ceases to have any real meaning.
Huh. That's an interesting thought. Looks like the Qataris are just as dependent on the migrants as the migrants are dependent on them.
Just wanna say theres a mistake at 8:23 where entire northeast has been ommitted from the map of India. I hope you correct it and maybe reupload that again @economic explained ?
Well now you know how Tasmania feels.
@@frankcooke1692 And it'll come to your home one day too :)
@@frankcooke1692lmao
People everytime they show USA its just contiguous states not Alaska and oceanic gang
Its geographically connected. Literally every map depicts it such, as the Northeastern India is physically connected to rest of India . Not like Alaska which is ~2000 km away from Mainland US. Also notice how I didn't raise anything about Andaman Nikober Islands as I know how it works, the Hawai. Oh, the internet.
at 8:23 you eliminated whole north east of india which is not disputed, it can cause your channel to be banned in india. please correct it.
In Qatar's case, migrants also choose to work there because they were simply tricked, what Qatar promised and what they got were very different
thats just western bullshit propaganda, guess who owns 95% of media in the west? and guess their stance on arabs.
But people who come back can tell the real story ;-)
@@igorthelight if they make it
@@DroDro3 Most do. Some die. So the story about bad conditions is not a secret.
Well it was a secret for a few first "waves".
Dark aspect of remmittance in Nepal is that the Nepals government is unable to utilize remmiittance for productive sector. Instead the country people are becoming stagnant, & inactive to use available local resources and people from rural village are migrating towards cities.
Timestamp 8:23. What map of India did you choose to put in here? I know your subject is not geography. But cutting down the whole of North-East India is offensive.
Thanks for the great content! Please will you make a video on the economic and political situation in South Africa? I think a lot of people would be interested to see what is going on in the country in that regard, given it is the most industrialised African country and a hotspot for tourists. Thank you!
I suppose it is reasonable to extrapolate that if remittances inflate the value of the receiving country's currency, they must also deflate the value of the host country's currency but to a smaller degree. With Canada having one of the highest ratios in the world of foreign-born inhabitants, I'm curious how significant an effect remittances have on the CAD against the USD. As a Canadian, I'm acutely aware of the pros and cons of a weak dollar against the US. Canada's film industry has done exceptionally well because of the disparity, but with economic nationalism policies growing under both Trump and Biden, it seems like the list of cons for Canadians is starting to heavily outweigh the list of pros.
hey EE i wanna ask you this question
if you can turn off the global economy and fix some of its flaws and then turn it on, what are these changes gonna be?
Careful what you wish for.
One of the things you didn't address is the underground economies, especially with currency export restrictions. A lot of countries have export controls to keep a handle on their money supply. If they also have a lot of migrant workers then an intermediary currency gets involved, usually USD. Once there, there's not a rush to convert into the native currency. It means a large influx of FOREX and generally a large underground economy based on USD. Inflation rears its head as well which speeds the process. Interesting times.
EE: What’s your takeaway from the video?
Me: It depends..
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An entire industry that relies on this type of labor is the cruising industry. We're far from rock bottom. When you start hearing about people from African countries (world's poorest) getting work in these industries, then you'd know we're close.
My favorite thing about your content is that you don't shy away from the fact that contemporary capitalism is likely not the most efficient nor the most ideal human economic system and that inequality is necessarily baked into the system as we know it today. It tends to feel more often than not that economists in the west are still somewhat high off the alleged "end of history" and don't even attempt to conceal their bias toward thinking the contemporary system is the end-all, be-all organizational structure of human society. Just a breath of fresh air and gets my thoughts flowing, thank you🙏
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Bruh , at 8:23 the map of india is entirely wrong
Love the channel. Mind doing some coverage on BRICS mate? I've seen it come up quite a bit lately and am curious on a reliable breakdown.
I really like your videos, they cover a variety of topics and have helped me understand economics better. But I would urge you to use a proper map of India in your videos.
1:56 the UAE too, not just Qatar.... but yes, that situation is quite absurd
In your little example: could the "Nepalese" avoid crushing there "carpet industry" by allowing both currencies to coexist?
And how does that compare to the situation/Dolarisation in Latin America?
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The economics of migrant labour : A new model of modern slavery and exploitation that Qatar is a prime example of? And no mention here that many "migrant" workers need to pay a fee (which is often taken out as a loan) to an agent before being granted access to a nation like Qatar. So perhaps the economics of migrant labour should be concentrating on the economics of the migrant worker industry, and how it actually works rather than some rosy assumptions of how economic theory says it is supposed to work.
I like that you mentioned that remittances may dwarf wages in an S hole economy causing voluntary unemployment. This actually can cut local market productivity, decreasing local commodity availability, creating scarcity and pushing the cost of living higher. Also all this cold capital coming in, chasing commodities and housing, pushes inflation within that economy even harder and does a disservice to those who actually work for shamefully low wages locally.
when it comes to highly skilled workers it still causes lower wages and unemployment. In my country we have huge unemployment with doctors and engineers while 90% of the doctors and in engineers working in companies and hospitals are forigners because they're cheaper to hire and nothing is being done about it because rich law makers are the owners of those companies and hospitals
Have you done an episode of the effects of NAFTA on the US and Mexico?
It is past now. USMCA is present.
Effects: 1)US Manufacturing moved to china, mexico is blamed. 2) Mexican Agriculture is devistated due to US subsidies. End
@@thetaomega7816
Mexico makes $25 billion off of remittances.
@8:24 thats not the complete Indian map even with creative freedom
Cheap labor is dangerous and unethical. Completely evil
The sad thing is this will never change
Corruption will never be stopped Power and Money will always be desired
Who said this is corruption? This is economics. Voluntary labor. Paid based on supply and demand
@@Omer1996E.C someone gets it.
@@Omer1996E.C "Voluntary labor."? In a _perfect_ world this statement would be accurate.
@@shotelco are you forced by law to work, or unprotected from forced labor? If no, then you are a voluntary worker
It's voluntary at first, but once the worker is in Qatar, their passport is taken by their employer, and they're immediately put into debt and told they can't leave until they pay off the debt. These types of abuses are well documented in Qatar, and they need to stop.
I disagree with original poster that this will never change. It will never change if people give up with a resigned "so sad, it's always been like this, there's nothing we can do." There are plenty of places where it's not like this, and there are things we can do to help fix it.
...your map of India eliminated 1/5 of the country in the Northeast that is not disputed!
Hey! I'm sure you didn't mean any offence... but the map at 8:26 of India fails to show the northeast part of India which is a key part of the country! Hope you can fix this issue to avoid unwanted backlash
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People go to Qatar to work. Many Migrants make 2000 dollars a month over there, they come from countries where they couldn't make 2 dollars a month. The rate the UK is going, I will think about joining them. The work is in the Middle East.
In short: that's why I have been calling for the separation of ideology, philosophy, faith and expertise. Life experience wasn't good to rely on for politics in the first place but now it's a spiraling out free market of ideas
Too many skilled workers should drive costs down, not force a doctor to quit medicine. That seems absurd economic reasoning. A higher supply means demand can increase or the price can go down, not that one doctor can afford to work and another can't afford to work.
Simple answer from who has lived in these countries: It is incredibly PROFITABLE!
Croatia lost 500 000 people in the last 10 years that went to western countries for a better job. That is more than 10% of the country's population. And those were young people. Small countries are like human farms for the rich countries. Take the best and leave the rest and help them with some eu subsidies, funding that are given politically.
Carpenter selling carpets to local customers for higher prices -> will have extra money for those high-end German machines for carpet manufacturing -> it will optimize mamufacturing -> now carpenter can manufacture 10x more products for those German buyers that search for cheapest products..
Increase of money supply in country can lead to two scenarios:
1. Everything becomes more expensive, that leads to lower export.
2. Business and factories get more money for: new machines, new softwares, new servers, employee trainings, and MARKETING.. as a result, companies become healthier, more optimized and can produce more stuff for less cash.
The second one happens so much less frequent ;-)
The map of India in the video has the whole chunk of its seven northeastern states removed!
There is a difference between voluntary migrant work and people kept against their will in terrible conditions, forced to work, not gettting paid and not allowed to leave, what happens in the Gulf states. The video failed to adress this.
You showed an incorrect map of India , North East Region was not included. Any particular reason for it?
I'd love a Video on Puerto Rico, it would be very strange and very interesting.
"Unfortunately the more a country's people depend on working abroad, the more they will depend on working abroad."
It seems like human society is full of these positive feedback loops. There is a tendency to get locked into one path or another.
When do we get the Economics Explained about 4°C heating? :D
@@Willidlive1 dude that looks like a scam
You should talk about the lebanese economy and how dependent it is on remittances from people living abroad. It is impossible to have exact figures as most of the money is smuggled to the country in euros and dollars. After the collapse of the lebanese economy, i expect that the remittances make up more than 50% of the GDP. Too many expats send lots of money to support their families in a country which today produces almost nothing.
They way you talk, especially in the first part, sounds like a really good essay
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Working in gulf country is not as bad as you think, as my own relatives work there. And they said it is far better to live in gulf country as migrant as in India. Living condition is also better, even the toilet is air-conditioned.
i'm sorry... that map @ 8:23 depicting India is inaccurate af.
There's the entire northeast that's missing...and the place isn't even disputed.
Note:
1. I love your content and channel, but this can lead to your channel being branded as anti Indian. I'm sure you meant well.
2. I'm not sharing this video or pointing out the obvious as a spotlight on me. But these are sensitive issues.
No one cares about India or Indians.
It's not that their currency gets more valuable because a government could easily make the value lower its more that the workers become more expensive to make the carpets
thank-you, I have to have this conversation with my fellows almost everyday. I live in the US and there is a background conversation about migrant workers from Latin America. Better understanding this problem may let me explain to my peers how and why to treat these workers as well as systems we should implement to resolve conflict and preserve the native industry.
It's funny how TH-cam premium just gets past the first layer of ads.
I really enjoy your videos
They spent 220 billion the most expensive world cup in history by far but still couldn’t pay their workers
13:11 Bro please correct the Indian map. You forgot to include northeast states of India. Also popularly known as "Seven Sisters".
Yeah that's recognized all over the world unlike pok.
@@nishant54 yea, its a stupid mistake. As a person from Assam, dil se bura lagta hai bro😅
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@@nishant54 probably a Chinese channel, since China is trying to claim Arunachal Pradesh and other NE states.
No one cares
@economics explained you showed wrong map of India at 8:24 , there is now west Bengal in your map
Think about it, even Economics Explained is run by 3 Australian economists working abroad virtually because the size of Australian audience isn't big enough to support the channel
8:24 northeast India says: am I a joke to you?
North east isn't part of india buddy
@@jamkizzy9177 It is, buddy. Every country recognises it as such.
No one cares
Much as I like Argentina, its victory was a sham. The team kept breaking rules the whole match, and especially in the later part of the second period, and the judge did nothing! Argentina did not deserve to win.
Did the 6500 workers die specifically due to working conditions or due to all causes?
Appreciate the video but you could have criticized the Qatar government and all parties involved a little more, for they directly or indirectly either caused the death of those 6.5k immigrants or they knew all about the poor treatment of the immigrants but remained silent.
I'm Rojin from Bangladesh. People in Bangladesh are so brainwashed that most don't even know about the deaths of their countrymen. I hope people like you keep raising awareness about these horrible incidents.
Am I the only one who noticed that the background music is gone? I dont mind it, but I couldnt help but notice that something was.. off
are the known good effects of remittances evidence that a UBI would work?
4:07 thats the norwich bus station xD
always golden when you see a local landmark! 10/10
Human rights culturally and sadly have never been universally recognized as a construct.
Point 2: I don't know how many workers from Nepal truly believe they have lost compared to their lives and prospects in the home countries.
At least recognize a different viewpoint before we apply our developed country privilege perspective, as "right" as we think or may be.
Human rights is a Western construct.
I have an interesting tidbit to add to this discussion.
The population of Qatar would not be 90% migrants if it weren't for some of the most restrictive citizenship requirements in the world.
There are multi-generational families in Qatar who are still "temporary residents" even though it was their grandparents or even great grandparents who immigrated to Qatar. Even children of Qatari women married to non-Qataris, born in Qatar, are NOT Qatari citizens at birth. These types of citizenship rules are common in the GCC and other Arab countries.
Part of the reason for this is that Qatari citizens enjoy huge perks and welfare benefits that the "locals" don't want to share, and that the government cannot afford to extend to so many more people.
Side note: this is also part of the reason GCC countries (Qatar, UAE, etc) have so little crime. Basically the locals are showered with money and everyone else has the threat of deportation constantly hanging over their heads!
Citizenship is patrilineal. You're considered a citizen only if your father is/was.
@@shauncameron8390 The difference is that there is basically no defined process of naturalization at all. Like I said, there are people born in Qatar, to parents born in Qatar, to grandparents born in Qatar, to GREAT grandparents who immigrated to Qatar, and they're STILL not citizens. They speak the language, know the culture, contributed to the enormous development of the country, and have no path to citizenship.
I can't think of very many countries where that would be the case.
@@fezoftheworld
Because citizenship is restricted to ethnic locals based on ethnic lineage.
An excellent case study would be Zimbabwean workers in South Africa
Thank you soo much. I just watch a lex Friedman podcast and the were just talking about immigrant workers!
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The video thumbnail implies there's a light side of migrant labor and that's the part I was surprised by.
Economics is a social science masquerading as a hard science. The reality is any economic analysis fails entirely to account for long term externalities of migrant work on the host nation.
If these were ever analyzed and these 'cultural costs' which a social science should concern itself with it would be obvious to anyone that the answer to any is migration beneficial to the economy would always be solidly in the red, on every front not just the social but also the financial analysis.
Economic theory is a hard science that relies on math and numbers. The problem is, that all economic models don't factor in the human factor, which makes them unreliable
Economics can be so dark sometimes… By far the coldest episode on the channel.
0:41 what's this Economics Explained you're showing wrong map of Indian Subcontinent by excluding POK. This move is not appreciatable 🙅♂️
Is there any experimental support for this argument that remittances create a "culture of dependence?" This is often brought up in relation to welfare, and most research seems to point against such an effect. It feels like this is one of those concepts in economics that is born in spite of contrary knowledge in psychology. Or am I missing something?