Dramatic changes, such as an influx of immigrants, can lead to temporary adjustments in the labor market, causing an initial rise in unemployment rates despite the benefits of a larger workforce. As the labor force expands, especially with aging populations, it contributes positively to economic growth in the long run. However, the transition phase may slow job addition and complicate unemployment calculations. Understanding that both labor supply and demand are dynamic is crucial, as an increase in available workers should not be interpreted solely as a negative economic indicator. Properly assessing these shifts requires careful consideration of the broader context, and it underscores the importance of recognizing potential opportunities that accompany such demographic changes.

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