This podcast episode explores the impact of immigration on economic growth and monetary policy, focusing on the perspectives of the Federal Reserve (Fed) in the United States and the Reserve Bank of Australia (RBA). It discusses how immigration has driven population and labor supply growth in both countries, contributing to economic growth. In Australia, immigration has supported consumption spending and inflation, while in the U.S., it has had a stronger impact on aggregate supply and investment. However, the implications for monetary policy are mixed, as the impact of immigration varies depending on factors such as the sector of the economy that attracts immigrants.
