On the Fence about Immigration?

The Effect of Immigration on the US Economy

Over the past twenty years, immigration into the United States has increased 70% to

about 43 million people; making up 13 percent of the American population (Preston). America’s

economic growth is hovering at around 2 percent, and public debt is at $16 trillion and rising

(Furchtgott-Roth). In the United States, immigration has become a controversial topic, Commented [1]: You might want to lead with
something besides just facts. Include the facts, but
don't just use them.
especially relating to economics, politics, and foreign policy. Many Americans have voiced their

concerns about immigration in the United States and its impact on wage, employment rate, and

the economy. This paper investigates the benefits of legal immigration, its connection to

economic growth and increased employment rate as well as compares the former immigration

policy and current policy through a political perspective. The recognition of these benefits is Commented [2]: Run on sentence?

crucial when discussing future labor and immigration policies in America.

Immigration is an integral part of the United States economic growth because of the Commented [3]: States' maybe?

creation of jobs through the increase in purchasing of American goods. George Borjas, a

professor of economics and social policy at Harvard Kennedy School states that “immigrants buy Commented [5]: spelling
Commented [6]: comma?
goods and services produced by American firms, increasing the demand for native workers; they

can lower the price of services in many industries, such as construction, benefiting American

consumers; and immigrant entrepreneurs open up firms, create jobs, and make a large

contribution to economic growth” (“Immigration and the American Worker” 19). The increase Commented [4]: As talked about in class, this will
need to be a block quote because it is over three lines.
Make sure you cite it correctly as well.
in population attributed to immigration increases the need for workers, which results in a

decrease in the unemployment rate and the lowering of the price of goods. The opportunities of

entrepreneurship increase the amount of jobs necessary, thus resulting in an increased

employment rate. Immigrant workers economic contributions to the United States can be Commented [7]: workers' ?
explained through the concept of supply and demand. Through the purchasing goods and Commented [8]: of

services produced by American companies, there becomes an increased in demand for workers to Commented [9]: increase

sustain said companies and lowers the prices of services as a result. (“Immigration and the

American Worker” 20).

A surplus of immigrants admitted into America would result in an increase in work

opportunities and economic growth. Diana Furchtgott-Roth, the former Executive Director of the

White House Domestic Policy Council and has a Ph.D. in economics states in the scholarly

source The Economic Benefits of Immigration, that “The Congressional Budget Office

Methodology has estimated that if no green or H-1b visa constraints had existed in the period of

2003-2007, an additional 182,000 foreign graduates in science and technological fields would

have remained in the U.S. Their contribution to the Gross Domestic Product (GDP) would have

been $14 billion in 2008, including $2.7 to $3.6 billion in tax payments” (Furchtgott-Roth 3). Commented [10]: Run on sentence, need to be a
block quote.
Overall, significant numbers of immigrants will have a positive impact on the economy, because

of their contribution to tax payments and GDP growth as well as the potential growth of the

Science and Technological fields in the United States. However, because of outdated visa Commented [11]: Do these need to be capitalized?

restrictions and and foreign policies, the benefits of immigration come to a halt.

Future immigration policies encouraged by the 45th president of the United States and

businessman, Donald Trump, have made it difficult for immigrants to enter the United States. Commented [12]: Check grammar here

Although many policies discussed have been focused on illegal immigrants, Donald Trump has

considered placing a cap on legal immigrants and refugees as well. David Nakamura, a political

reporter for the Washington Post, reports that the most recent bill proposed would “cut legal

immigration in half over a decade. The bill would permit a green-card holder to bring only his or

her spouse and minority children to the United States” (Nakamura 1). Although Donald Trump
claims that the creation of immigration policies similar to this bill would “improve jobs and

wages for Americans” (Nakamura 2). Through investigating the benefits of legal immigrants, it

can be determined that these policies would create more issues. George Borjas states that a Commented [13]: Grammar between these sentences.

potential immigration policy should “not be a ban on immigrants, or even low-skilled

immigrants. High-skilled immigration really can make America wealthier, and a steady influx of

legal immigrants also produces more taxpayers who can assist financially as the native

population ages” (Immigration Hurts American Workers 1). Despite Donald Trump’s reasoning Commented [14]: Block quote

for more severe immigration policies, their contribution towards the work force and jobs cannot

be denied.

In order to provide a complete political perspective, this issue should be viewed from

other presidential perspectives as well. Richard Nixon, the 37th President of the United States,

believed that in order too improve our immigration laws and to enlarge upon our national Commented [16]: to

tradition as an open nation and an open society, America should provide a higher percentage of

immigrant visas for professionals, needed workers and additional visas should be created for

countries closest to the United States, like Canada and Mexico. In former President Richard Commented [15]: This should be more than one
sentence.
Nixon’s Address to the Nation on Labor Day Speech on September 6, 1971, he stated that “We Commented [17]: Grammar here

welcome this fair competition – because it keeps us on our toes, because that leads to increased

productivity, because that in turn leads to a better life for the American working man and for his

family. Our success in rising to the challenge will depend on the competitive spirit of the

American people” (Nixon 4). Nixon’s statement can be applied to the theoretical issue of Commented [18]: Block quote

migrants taking over lower socioeconomic native’s jobs. An increase in immigrants could Commented [19]: natives' ?

potentially result in the lower native class becoming more motivated to complete their education

in order to be able to compete for a higher paying job.

through the concept of supply and demand. The purchasing of goods and services produced by

American companies, not only increases the demand for workers to sustain said companies, but Commented [21]: do not need this comma

lowers the prices of services as well. “Wages and employment are set by the interplay between

the supply of and the demand for workers. When wages are high, many persons want to work,

but many firms are competing for their services. The labor market balances out the conflicting

interests of workers and firms, and sets employment and wages so that persons who want to

work at the going wage can find jobs” (Borjas 19). Borjas logically explains how wage fluctuates Commented [22]: Block quote

depending on the availability of workers. An increase in immigrants would lead to a more

balanced and consistent wage as well as a surplus in employment opportunities so that persons

who are wanting to work can find jobs.

A major concern of those critical of immigration is that immigrants depress wages

(Furchtgott-Roth 12). But it has been found that immigrants sometimes raise wages rather than

decrease them. Professor Giovanni Peri of the University of California, Davis, concludes that

“immigration raised wages of native-born Americans by six-tenths during the period from

1990-2006. It decreased wages of existing immigrants by 6.7 percent because there was a

decrease in new immigrants to replenish the prior waves of immigrants” (Furchtgott-Roth 12).

Although immigrants will displace some low-skilled workers, primarily other immigrants, the

negative effect on this very small populace is much less than the positive for the majority of Commented [23]: change to effect on

people. The National economy gains more, benefitting more American businesses and

contributing to the Global economy.

In order to discuss proper solutions that accommodate to both pro-immigration and Commented [24]: extra word

anti-immigration sides, the purpose of immigration must be determined. Policymakers and

their countries due to poor, isolated places that are disconnected from world markets. However,

Douglas S. Massey, the 92nd president of the American Sociological Association and author of

the scholarly article The Political Economy of Migration in an Era of Globalization

states that “Studies consistently show that migrants come from regions and nations that are Commented [25]: grammar

undergoing rapid change as a result of their incorporation into global trade, information, and

production networks” (Massey 27). Many immigrate for the purposes of their developing

economy, and are eager to sell their services on a national and international level in order to

participate in the world’s rapid growing economy. International migration does not stem from

lack of economic development, but from the increased development of their countries of origin

(Massey 27). “ Immigrants are about 16 percent of the United States labor force and businesses Commented [26]: States' ? Not sure what you were
going for here, it may already be correct.
founded by immigrants employed approximately 560,000 workers and generated $63 billion in

sales during 2012” (Furchtgott-Roth 3). A well-designed immigration reform would benefit

America and many developing countries through the involvement of immigrants in the global

Economy. Commented [27]: Why is this capitalized?

Immigrants should be recognized as key participants in determining the American and

global economy. Instead of inhibiting the natural flow of migration through repressive foreign

policies and means, “Americans must develop an approach that recognizes the inevitability of

labor flows within a globalized economy characterized by well-established regional networks of

trade, production, investment, and communications. Attempts to suppress population flows will

not be successful, and will present grave threats to individual rights, civil liberties, and human

dignity” (Massey 43). Massey is claiming that through the creation of migration policy, the Commented [28]: block quote

natural flow of migration is damaged and as a result, the structure of sovereignty as well.
 One of the greatest challenges in immigration reform is being able to accurately assess

the needs of future employers and employment-based immigrant needs and incorporating the

natural flow of immigration. Many agree that America’s current immigration flow is drastically Commented [29]: Use commas and list these instead
of saying and twice.
out of sync with America’s labor needs and the global realities of the 21st century (American

Immigration Council 1). A legal immigration system that functions well will also decrease the

amount of illegal immigrants entering the United States because there will be less pressure on

them to enter through illegal means. In order to not disturb the natural flow of immigration

(Massey 43) and keep pace with the global economy, the first step is to improve the Visa system Commented [30]: ?

and enforce a more employment-immigrant policy. The American Immigration Council states

that through improving the visa system, America would “create a more reliable system for

determining the number of employment-based visas needed to supplement the U.S workforce

and better position the U.S in the global economy and the global labor recruitment arena”

(American Immigration Council 2). The current visa system was approved by congress in 1990

and is not flexible enough to accommodate for the rise and falling of job availability through Commented [31]: fall

constant immigration. It has been suggested by the American Immigration Council that

employers should play a larger role in determining the legitimate demand for foreign labor

through constant communication with Congress. A standing commission for people to assess the

fluctuating labor market conditions and report them to congress in order to accurately adjust

immigration policies when needed (American Immigration Council 2). Despite hesitancy, legal Commented [32]: grammar

immigrants should be valued in developed and currently developing countries. Through complete Commented [33]: spelling
Commented [34]: states'
reformation of current immigration policies, immigrants would benefit the United States
Commented [35]: opportunities
economy, increase wages for the majority of the population, create employment opportunity, and Commented [36]: Does this need to be capitalized?
Commented [37]: Make sure you use block quotes
contribute to the overall growth of any Nation. when needed and check for run on sentences. Also be
sure to check that you have cited your quotes and
references correctly. Make a work cited page.