Undocumented Immigrants
It's essential that the United States ensure that people who come here do so legally. The reality, however, is that there are currently an estimated 11 million individuals living in the United States without legal status, the vast majority of whom are working, paying taxes, and contributing in both economic and non-economic ways to their community, often starting their own businesses, and playing integral roles in agriculture, construction, hospitality, and other industries that are essential to the U.S. economy.
A Stowaway’s Son Uses Business Acumen to Help New Jersey Elders
Dominican immigrant Jose Brito Bueno grew up in poverty but now runs WeCare, a domestic-care company with 213 employees. When he was just 10 years old, his father — leaving their home in Santo Domingo — stowed away in a cargo ship bound for the United States. He hid in… Read More
Immigration Policy Doesn’t Succeed When Politically Driven, Says Tennessee Lawyer
Casey Bryant grew up in Springdale, Arkansas, home to the largest population of Marshallese people in the continental United States. Most Americans probably aren’t familiar with these Pacific Islanders, but 4,300 of them live in Bryant’s landlocked hometown. “The Marshall Islands were subject to thermonuclear experiments in the ‘40s and… Read More
Statement on Representative Jeff Denham’s ENLIST Act
As the Encourage New Legalized Immigrants to Start Training (ENLIST) Act, authored by Representative Jeff Denham, reached 200 co-sponsors, New American Economy President John Feinblatt issued the following statement: “We know that foreign-born military personnel contribute important language and vocational skills… Read More
Statement on Senator Lindsay Graham’s and Senator Dick Durbin’s Bar Removal of Individuals who Dream and Grow our Economy (BRIDGE) and Representative Carlos Curbelo’s Recognizing America’s Children (RAC) Acts
Following the reintroduction of the BRIDGE and RAC Acts, which protect undocumented young people who came to this country as children, New American Economy President John Feinblatt issued the following statement: “The undocumented youth in America who know no other home than our great country… Read More
Immigrants Welcomed to Community and Give Back to Community, Says Kentucky Faith Leader
The immigrant community in Henderson is small, but it is growing faster than any other group. The county’s Hispanic and Latino community, for example, increased by 0.5 percentage points between 2010 and 2016, according to the United States Census Bureau. That might not sound like a lot… Read More
Undocumented Peruvian Works, Fuels Economy, and Lives in Fear
When Peruvian native Lisette — she asked not to use her last name — first arrived in North Carolina as an undocumented immigrant in 2001, she and her family had no trouble building a productive life in this country. The state was in the middle of a construction boom, and… Read More
Family’s 136-Year-Old Landscaping Business Depends on Immigrants
Hispanic immigrants make up roughly half of the workforce at Peter Scarff’s family nursery and landscaping business in New Carlisle, Ohio. Without immigrant labor, the agriculture and service industries in the United States would collapse, Scarff says. “It doesn’t matter whether it’s manual work or operating equipment, it is difficult… Read More
Immigration Policy Needs to Keep Families Together, Says Ohio Lawyer
Eugenio Mollo says that growing up as the child of Italian immigrants profoundly affected him and his career path. “My parents lacked a formal education, but they are the smartest and most hardworking people that I know,” he says. “And so I grew up seeing immigrants who wanted to work… Read More
Grad Aims for Cop Job to Build Trust With Immigrant Communities
After an impressive series of educational successes, Mexican immigrant Elizabeth Becerra is now applying for a job in law enforcement and hopes to work with either the FBI, the Secret Service or the U.S. Probation and Parole Office. Though the application process is long and difficult, she says, “I know… Read More
Chamber Executive: It’s Amazing What Immigrants Can Accomplish
Wilma Cartagena grew up in Puerto Rico and moved to Washington state when she was 22 years old, still struggling to learn English. “People always tell me I have an accent, and they can be so dismissive,” says Cartagena, who went on to earn a degree from the University of… Read More
The DACA-Eligible Population
DACA-eligible people contribute billions of dollars to the U.S. economy. Clawing back the protections afforded to DACA recipients will likely upset local economies, communities, and schools, hurting employers and businesses dependent these young immigrants as workers and customers.
Filling Jobs in Key Industries
Most undocumented immigrants come to the United States because of work opportunities. These individuals are far more likely than the rest of the population to be in the prime of their working years, ranging in age from 25-64. Studies also indicate that undocumented immigrants are not displacing U.S.-born workers. Rather, they are filling jobs that few Americans are interested in pursuing.1 One sector, in particular, offers a striking illustration: Undocumented immigrants account for 50 percent of all hired field and crop workers, making them essential to the success and continued viability of American farms.2
Sources:
1 Maria E. Enchautegui, “Immigrant and Native Workers Compete for Different Low-Skilled Jobs,” Urban Institute, 2015. Available online.
2 Thomas Hertz Zahniser Steven, “USDA Economic Research Service - Immigration and the Rural Workforce,” United States Department of Agriculture Economic Research Service, 2013. Available online.
Top Industries by Undocumented Share of Workforce, 2018
Occupations where Undocumented Immigrants Make up the Largest Share of Workers, 2014
Economic Contributors, not Criminals
Contrary to popular rhetoric, undocumented immigration is not linked to a spike in U.S. crime rates. Between 1990 and 2013, a period when the number of undocumented immigrants more than tripled, the rate of violent crime in the U.S. fell by 48 percent.3 Instead of committing crimes, the vast majority of undocumented immigrants in the country are working4 and paying into our tax system.5 And because they are ineligible for most federal benefits, experts have long argued they are net contributors to the Medicare and Social Security programs.6 They have a similar impact at the state and local level. Even in Florida and Arizona, states with large undocumented populations, immigrants pay more in state and local taxes than they draw down in public resources like education each year.7
Sources:
3 Walter Ewing, Daniel E. Martinez, and Ruben G. Rumbaut, “The Criminalization of Immigration in the United States” (American Immigration Council, July 13, 2015). Available online.
4 George J. Borjas, “The Labor Supply of Undocumented Immigrants,” NBER Working Paper (National Bureau of Economic Research, Inc., 2016). Available online.
5 Lisa Christensen Gee, Matthew Gardener, and Meg Wiehe, “Undocumented Immigrants’ State & Local Tax Contributions,” The Institute on Taxation and Economic Policy, 2016. Available online.
6 Roy Germano, “Unauthorized Immigrants Paid $100 Billion Into Social Security Over Last Decade,” VICE News, 2014. Available online.
7 Emily Eisenhauer et al., “Immigrants in Florida: Characteristics and Contributions,” Research Institute on Social and Economic Policy, Florida International University, 2007. Available online.
Judith Gans, “Immigrants in Arizona: Fiscal and Economic Impacts” (Udall Center for Studies in Public Policy, University of Arizona, 2008). Available online.
Estimated Earnings and Tax Contributions of Undocumented Immigrants, 2018
Top 10 States where Undocumented Immigrants Contributed the Most in State and Local Taxes, 2016
Starting Businesses, Creating Jobs
Despite financing and licensing obstacles, undocumented immigrants frequently start their own businesses. In 2014, almost 10 percent of the working-age undocumented population were entrepreneurs. In more than 20 states, they boast higher rates of entrepreneurship than either legal permanent residents or citizens of the same age group. These self-employed workers frequently create American jobs. Their companies also generated $17.2 billion in business income in 2014.
Total Business Income of Undocumented Entrepreneurs in Key States, 2016
Costs of Deportation
More than eight out of 10 undocumented immigrants have lived in America for more than five years. Setting aside the question of whether policymakers have the political will to deport millions of individuals so well established in our society, studies indicate that any such effort would come at an enormous cost. The economist Doug Holtz-Eakin’s American Action Forum conducted one study on the cost of mass deportation.8 By even the most conservative estimates, finding, apprehending, detaining, processing, and transporting the undocumented population would deal a Great Recession-like blow to the U.S. economy.
Sources:
8 Ben Gitis and Laura Collins, “The Budgetary and Economic Costs of Addressing Unauthorized Immigration: Alternative Strategies” (American Action Forum, March 6, 2015). Available online.
Cautionary Tales
Deporting the estimated 8.1 million undocumented immigrants in the workforce would not automatically create 8.1 million jobs for unemployed Americans. The reasons are twofold: By shrinking the number of consumers, entrepreneurs, and taxpayers, mass deportation would shrink our economy and the number of jobs available. Secondly, natives and immigrants often possess different skills and education levels, meaning they are imperfect substitutes.9 Data from Arizona and Alabama, two states with strict immigration laws, offer cautionary tales.10
Sources:
9 “Immigration Myths and Facts” (U.S. Chamber of Commerce, April 14, 2016). Available online.
10 Bob Davis, “The Thorny Economics of Illegal Immigration,” Wall Street Journal, February 9, 2016, sec. Economy. Available online.
11 Ibid.
12 Samuel Addy, “A Cost-Benefit Analysis of the New Alabama Immigration Law” (Center for Business and Economic Research, Culverhouse College of Commerce and Business Administration, The University of Alabama, January 2012). Available online.
Economic Impact of a Path to Legalization
If Congress provided a path to legalization for the millions of undocumented immigrants already here, the economic benefits would be sizable. While legal status would increase access to a variety of public benefits programs, it would also allow newly legalized immigrants to pursue new job opportunities, boosting productivity and earnings. The accompanying increase in consumer spending and tax revenue would help federal, state, and local governments offset associated costs. If undocumented immigrants were required to pay back taxes, U.S. tax revenues would see a further boost.13
Sources:
13 Robert Lynch and Patrick Oakford, “The Economic Effects of Granting Legal Status and Citizenship to Undocumented Immigrants,” Center for American Progress, 2013. Available online.
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