Yes. But why would a company today hire a junior dev? If I have limited budget, why hire a junior dev instead of poaching a mid level developer from somewhere else?

A junior dev does negative work. And with corp dev/enterprise dev the difference in price between a junior and a “senior” dev is only about $70K. The gap is even smaller with remote work even if you hire in the US. There are plenty of developers in low cost of living areas who would be glad to work for relative peanuts.

As far as where will the next generation of developers come from? That’s a collection action problem