For workers in Europe, US, distinct aims

"European countries have never defined themselves as immigration countries. They've had it as a kind of accident. They don't see it as desirable," says Rinus Penninx, a migration expert at the University of Amsterdam. "That's why there are no good ... proactive immigration policies."

But for all the challenges Europe faces, the US has its own troubles with labor and immigration policies. The typical American worker isn't necessarily marching in the streets, but millions feel anxiety about job security, global competition, and stagnating wages.

The fruits of America's recent prosperity have gone disproportionately to the wealthiest in society - a trend that could eventually fray the social fabric.

"It does seem as though the US economy is more dynamic than the European economy," says James Parrott, an economist at the Fiscal Policy Institute, a liberal research organization in New York. "But dynamism that is also characterized by greater extent of layoffs, real wage declines, and dramatically greater income inequality is not necessarily a good thing."

Some economists say Europe constricts job growth with its high minimum wages, but he says the US is overdue to boost its minimum wage. States that have put a higher floor on wages, he says, have not suffered smaller job gains as a result.

The wage issue is just one example of labor-related issues that could play a significant role in some US election campaigns this fall.

Immigration is even closer to the political forefront.

A nationwide chain of protests against a possible crackdown on illegal border crossings continued this weekend, with a major demonstration in New York City.

But other Americans, equally passionate, say an unchecked tide of unlawful entrants is eroding wages and job opportunities for many legal residents - while burdening taxpayers with higher costs for school and healthcare.

In the end, it appears possible that Congress could move to tighten border enforcement while also opening a path toward legalization, and perhaps citizenship, for millions who are now in the US illegally.

But however that debate unfolds, America continues to generally embrace immigration as a net benefit.

The details of immigration and labor policy may take years to work out. To some observers, the "flexible job market" is merely code language for policies that favor big business while squeezing workers or allowing their jobs to be shipped overseas.

Economists have yet to agree on a recipe for mass prosperity in this era of global competition.

But advocates of flexibility say that this trait, deep-rooted in America's history of always exploring the next frontier, remains a key to success.

That's because it enables American businesses, and their employees, to profit from changing opportunities.

Millions of workers lost jobs last year, but those shifts allowed the economy to redeploy capital to more-productive uses. And in the end, the new jobs created outnumbered the ones lost by more than 2 million, says Ms. Furchtgott-Roth. "The American economy is very dynamic."

• Andreas Tzortzis contributed to this report from Berlin.

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