High Immigration Harms Many American Workers and Produces Wage Depression

NumbersUSA ^

[Happy2BMe]

American Workers

High Immigration Harms Many American Workers

Federal policies of high immigration interfere with market forces that otherwise would cause corporations and other employers to find ways to maximize American wages and working conditions while also maximizing productivity.

The result has been a decades-long wage depression in many occupations and even in some professions.

America has become less of a middle-class nation because of the quadrupling of immigration since 1965. And it has become more of a society of wide economic disparities.

Virtually all studies of this phenomenon have concluded that the greatest harm is to those American workers who already are the most vulnerable: those without high school degrees, those with lower intrinsic intelligence, those with fewer skills. The harm also is disproportionately felt by native-born minorities, especially Hispanics and Blacks, and by recent immigrants.

For these reasons, the U.S. Commission on Immigration Reform, chaired by the late Barbara Jordan, concluded that present immigration numbers are a source of economic injustice in this country. The Commission recommended lowering immigration numbers significantly.

"Since 1970, immigration has increased the number of unskilled job applicants faster than the number of skilled job applicants. First-year economics predicts that increasing the relative number of unskilled workers will depress their wages, because employers will not need to raise wages to attract applicants for unskilled jobs. Nonetheless, those who favor an expansive immigration policy often deny that the increase in the number of unskilled job applicants depresses wages for unskilled work, arguing that unskilled immigrants take jobs that natives do not want. This is sometimes true. But we still have to ask why natives do not want these jobs. The reason is not that natives reject demeaning or dangerous work. Almost every job that immigrants do in Los Angeles or New York is done by natives in Detroit and Philadelphia. When natives turn down such jobs in New York or Los Angeles, the reason is that by local standards the wages are abysmal. Far from proving that immigrants have no impact on natives, the fact that American-born workers sometimes reject jobs that immigrants accept reinforces the claim that immigration has depressed wages for unskilled work."

[Happy2BMe]

"America has become less of a middle-class nation because of the quadrupling of immigration since 1965. And it has become more of a society of wide economic disparities."

But what about the votes?

[Happy2BMe]

Mexican migrant workers oppose Bush immigration proposal

[Happy2BMe]

The present immigration numbers are a source of economic injustice in this country - PING!

[WayneM]

But what about the other benefits of illegal immigration - even when they are illegal.

All the ESL teachers our local schools hire. We don't need music and art and gifted child programs, do we?

Besides - now that wages have been driven down, that means that those lazy housewives are somewhat forced to get out and work. Expands their view of the world, don't you think?
Who wants to stay home and take care of kids anyway?

[sarcasm]

Median Income Drops Are Tied to Immigrants

edian household income dropped between 1989 and 1998 in Queens, Brooklyn, Suffolk, Fairfield and many other counties across the nation that experienced a large influx of immigrants, according to new census data.

The data indicate that even as the economy in the New York region and the nation rebounded after the recession of the early 90's, figures for median household income, adjusted for inflation, failed to climb in many counties because of the increase in low-income immigrant workers.

The new data show that in Brooklyn, Queens and the Bronx — counties with a major increase of immigrants — median income fell sharply. More surprising, though, was the marked income drop in some of the region's wealthiest suburbs, including Nassau, Suffolk and Westchester Counties in New York and Fairfield County in Connecticut.

"Immigrants are jumping immediately into these inner-ring suburbs, which is a change from the past 300 years, when the first generation lived in inner-city neighborhoods," said Robert D. Yaro, executive director of the Regional Plan Association, a civic group that works to improve the economy of the New York region. "This new phenomenon is reducing household incomes in some of the well-to-do suburbs as immigrants move into Bridgeport, Stamford and Norwalk. It's consistent with the national phenomenon of the suburbanization of poverty."

The new data show that median income also fell in many counties in other states attractive to immigrants, including Los Angeles County and Miami-Dade County.

In Queens, according to the data, the median household income fell to $36,480 in 1998 from $44,938 in 1989, a drop of nearly 19 percent, while in Brooklyn it fell by 18 percent, to $27,556 from $33,762.

In Los Angeles County, where there has been a surge of immigrants from Mexico, median income fell in constant dollars to $37,655 in 1998 from $45,962, a decline of 18 percent, according to the census data.

Andrew A. Beveridge, a professor of sociology at Queens College, prepared the analysis that compared the Census Bureau's median income estimates for 1989 and 1998.

Many economists view the median as the best figure for assessing income trends since half the incomes are above it and half below.

Several economists and sociologists, however, argued that the new census data exaggerated the income drop from 1989 to 1998. They said that although median household income might have fallen in many counties, it did not fall as much as the new data suggested.

These economists questioned the new computer model developed by the Census Bureau, and they noted that there was a higher margin of error in analyzing small areas like counties. In addition, critics argued that the way inflation was adjusted might have exaggerated the drop in median income.

Stephen Kagann, chief economist for Gov. George E. Pataki, said the estimated declines were not credible.

"They use an inappropriate starting point, 1989, which was a cyclical peak, thereby ignoring the deep recession that occurred afterwards," Mr. Kagann said. "And they use an inappropriate inflation adjustment that overestimates inflation and thereby underestimates the growth in income."

He said that if the analysis had taken 1993 as its starting point, when New York's economy was near the bottom, the study would have shown a 7.9 percent increase in median household income statewide.

Jared Bernstein, an economist with the liberal Economic Policy Institute, also said that the new census data painted too gloomy a picture. Pointing to another census study, from last March, he noted that median household income for New York State dropped by 7 percent from 1989 to 1998. He added that a 5 percent increase in income in the two boom years, 1999 and 2000, meant a decline of just 2 percent from 1989 to 2000.

Still, he saw economic problems in the state. "In New York, you've had an amplified version of the expanded income gap we've seen nationally," he said. "Folks in the high end — in law, high tech, financial markets — were in a good place to ride the boom. Meanwhile, the huge supply of low-wage workers who were serving these upper-end workers during the boom didn't do nearly as well."

Mr. Beveridge's analysis estimated that median income in Nassau County fell by 14 percent ($61,096 in 1998 from $71,202 in 1989), 16 percent in Suffolk ($54,008 from $64,580), 11 percent in Westchester ($56,865 from $63,629), 12 percent in Fairfield ($57,389 from 65,583), 12 percent in Hudson County ($35,743 from $40,641), 17 percent in Passaic County ($40,923 from $49,421) and by 10 percent in Essex County ($40,595 from $45,375).

While critics derided the numbers, Mr. Beveridge defended them, saying the arrival of immigrants in Bridgeport, Yonkers, Paterson, Hempstead and other communities could have caused a double-digit decrease in income.

In the preponderance of counties nationwide, median household income rose from 1989 to 1998. The counties with declines were often in metropolitan areas with the greatest surges in immigration, including New York, Miami, Los Angeles, San Diego and Washington.

Roger Waldinger, an immigration expert at the University of California at Los Angeles, said the decline in household income could have been fueled by factors having nothing to do with immigration, like the increase in one-member and single- parent households.

Economists have pointed to other reasons for stagnant or declining incomes, including pressure from import competition, the declining power of labor unions, automation that pushes workers out of jobs and poor schools that churn out students who lack job skills.

Dr. Waldinger has conducted studies showing that in many communities, immigration affects income levels and the gap between rich and poor. He said income levels were dragged down by unemployment, not immigrants, who he said usually worked long hours. But many economists say limited skills and inadequate English relegated many immigrants to low-paying jobs

[Henrietta]

Gee, and the immigration activists are always telling us that these immigrants only come to do the jobs that we won't do!

[MinuteGal]

Here's a slice of real life from yesterday. Florida central gulf coast. Hardly any big immigrant population here in this mostly tourist and retirement area.

Next door to my house, one boss and two workers repairing a sea wall and laying a large cement patio and a sidewalk. Local, educated, industrious white males.

They told me that they've always got good living wages for their jobs....now the cement layers all around here are being replaced one by one with imported immigrants, legal or illegal, working for 5 bucks and change per hour.

Rightly or wrongly, my neighbor's cement layers are bitterly blaming GWB. I could see they're scared stiff behind their complaints and bravado.

This is the president's soft underbelly in the next election. The immigrant thing is out there in the conversations of the working men and women. It's a real and immediate issue and it's hurting folks around you and me more than anyone realizes.

The proposed alien immigrant policy is the wrong thing at the wrong time. The administration better wake up VERY quickly to what's going on out here in the real world. The tradespeople are going to vote Dem this time around from all I hear. My plumber told me the same thing the other day.

Leni

[Happy2BMe]

In May of 1997, the National Research Council (NRC) released an extensive study on the

impact of immigration on the United States. Entitled The New Americans: Economic, Demo-

graphic, and Fiscal Effects of Immigration, the study continues to be influential in the immigra-

tion debate. This Report contains revised reprints of three articles that summarized and ana-

lyzed the NRC study shortly after it was released. The articles are preceded by a listing of the

study?s highlights. The first, ?Immigration?s Effects on Jobs and Wages,? looks at the effect

immigration has on the nation?s economy (Chapters 4 and 5). The second, ?The Fiscal Effects

of Immigration,? examines both the current and future impacts of immigrants and their de-

scendants on public coffers (Chapters 6 and 7). The third, ?Population Growth and Immigra-

tion,? focuses on the section of the study devoted to population size (Chapter 3). The articles

originally appeared in the Center?s former quarterly publication Immigration Review, which has

been replaced by the monthly Backgrounder series.

Reflecting the tone of the press release that accompanied the NRC study, much of the

press coverage emphasized the positive effects of immigration. The study itself, however, is

not nearly so sanguine. Among the study?s findings:

l

Immigration was responsible for 44 percent of the decline in relative wages (com-

pared to other workers) for high school dropouts from 1980 to 1994.

l

The wage losses for high school dropouts, which amount to about 5 percent of their

income, generate a net gain for more skilled workers and owners of capital of be-

tween $1 billion and $10 billion annually ? about two tenths of one percent of their

income.

l

Due to the mobility of labor, capital, and goods, the effect of immigration on wages

and employment is likely to be national in scope and not simply confined to high-

immigrant areas.

l

The education level (Table 1 on page 3), average earnings (Table 2 on page 5) and

employment rates of each new wave of immigrants have steadily declined relative to

those of natives from 1970 to 1990.

l

The net current fiscal burden (taxes paid minus services used) imposed on all levels of

government by immigrant households nationally is estimated to range from $11.4

billion to $20.2 billion annually. This fiscal drain is larger than the $1 billion to $10

billion benefit estimated to accrue to natives from having immigrants in the

labor market.

l

In California and New Jersey, the average immigrant-headed household currently uses

$3,463 and $1,484 more, respectively, in services provided by state and local govern-

ment than it pays in taxes. This translates into an added tax burden of $1,178 imposed

on each native household in California and $232 in New Jersey (Table 3 on page 7)

l

Given the skill and age profile of immigrants entering the United States today, the

total net present value

1

of the lifetime fiscal impact of the average immigrant is nega-

tive $3,000 (Table 4 on page 10).

Remainder of study is HERE

Basically, what it says is that the "jobs Americans won't do" peaked over ten years ago but that the "job seekers" from Mexico have not - they have incresed each year by millions since 1990.

The net effect is that all the jobs that Americnas won't do are now paying less than they ever have and the standard of living for all Americans has gone done as a result.

[Happy2BMe]

Thank you.

[AuntB]

"Stay home"

What home? Shortly before I became too ill to work and had to sell my home, a man who brings in "migrant workers" bought the place across the street and moved in 12 in a 2 bdrm single wide. The property (2 acres and was beautiful!) was destroyed in a month with goats, fighting game chickens and blasting "music". They couldn't stay on the acreage, but had to congregate and play basketball in the street. I took a $50,000.00 loss. Another neighbor sold a $350,000 home for $195,000.

I keep asking the question, "If you want to be here, why are you turning it into what you left??"

This is from the press announcement of the President's new plan:Economic Incentives to Return Home: The U.S. will work with other countries to allow aliens working in the U.S. to receive credit in their nations' retirement systems and will support the creation of tax-preferred savings accounts they can collect when they return to their native countries.

Now, that's real "compassionate", but God help you if you ever have to file for Social Security Disability when you've paid into it for 35 years........IF you are ill for 5 years after quiting work and haven't gotten it, it is gone forever, no matter how long you paid in. (see www.ssa.gov - eligibility) Give me the "guest worker" savings plan, thank you.

[Happy2BMe]

http://www.petitiononline.com/SSDC/petition.html

[AuntB]

Thank you....I'll never figure out how to use this machine!!!

[Happy2BMe]

hehe . . I would say you have managed quite well.

Not only can you use it, but when you do, what comes out actually makes sense.

[B4Ranch]

"Median household income dropped between 1989 and 1998 in Queens, Brooklyn, Suffolk, Fairfield and many other counties across the nation that experienced a large influx of immigrants, according to new census data. "

When the immigrant population percentages rise higher and the median household income falls lower the cities and counties won't have the money to fund needed existing programs after needed existing programs. The level of education will continue to drop, the security levels families require will drop, the medical care required by older folks will drop, the quality of EVERYTHING in our lives will drop and continue dropping until America won't be the place once considered 1st Choice in the world.

I hope there are still enough 'blind as a friggin' bat' compassionate Republicans around to remember what happened during the Bush administration.

I hope the guilt level rises until they can't breathe without remembering they were a large part of the problem. They refused to pull their heads out of the sand, refused to take their blinders off, refused to think about the full effects of allowing 50 million immigrants into America in much too short a time period for them to assimilate into our culture.

Get ready for changes like you have never dreamed could happen to the once best place in the world to be born. You ain't seen nothing yet.

[Capitalist Eric]

The net effect is that all the jobs that Americnas won't do are now paying less than they ever have and the standard of living for all Americans has gone done as a result.

Which surprises me not at all. It's what I've been saying to the pro-alien people for weeks.

Any idiot with more than three grey-cells that can fire together, and a few introcductory Economics classes will understand that....

But the Bush-bots are too stupid to see what' right in front of their eyes...

WHY???

[Happy2BMe]

"But the Bush-bots are too stupid to see what' right in front of their eyes..."

WHY???"

Sabertooth - have you got a word on "BushBots" and their not seeing the forest for the trees?

[Happy2BMe]

Bear in mind that the added (extra) cost of supporting illegal migrants is likely 10 to 15% more than the figures reflected in these studies due to inflation and the added influx/impact of multiple millions of more migrants now here than when these studies were done.

[sarcasm]

Get ready for changes like you have never dreamed could happen to the once best place in the world to be born. You ain't seen nothing yet.

I live in New York - come visit and see what the rest of the country will be like in twenty years.

[4.1O dana super trac pak]

BTTT

[B4Ranch]

It won't take 20 years!

[God is good]

Americans don't want to live in a third world country, so why should Dictator Bush force them to?

[RiflemanSharpe]

This is absolutely true. In 1982 my father made $15 an hour as a journeyman carpenter. Back then you could support a middle class lifestyle on this and my mothers wages as a teacher. Now in this area at least you will be hard pressed to find anything other then an immigrant working in residential and commercial construction. And now they only pay $15 an hour. The wage had stagnated because of illegals.

[Sabertooth]

Sabertooth - have you got a word on "BushBots" and their not seeing the forest for the trees?

I've got some words...

On "Bushbots" and "Bushbashers"

No one's going to be persuaded by calling them a Bushbot.

[international american]

5-10

[labolarueda]

Thanks for the ping.

[Jorge]

Dictator Bush...?

Please go back to DU.

[lewislynn]

An example of the kind of "tradespeople" the business climate wants.

Doing the work Americans refuse to do....filling the job they can't find an American to fill.

[B4Ranch]

LOL

[gopheraj]

Actually that's not true. See
http://ssa-custhelp.ssa.gov/cgi-bin/ssa.cfg/php/enduser/std_adp.php?p_sid=
nR1xpg2h&p_lva=&p_faqid=19&p_created=955199706&p_sp=
cF9zcmNoPTEmcF9ncmlkc29ydD0mcF9yb3dfY250PTE
wMCZwX2NhdF9sdmwxPTMmcF9jYXRfbHZsMj1_YW55fiZwX3BhZ2U9MQ**&p_li=


Are my retirement benefits figured on my last five years of earnings?
Answer No. Retirement benefits are calculated on earnings during a lifetime of work under the Social Security system. For
most current and future retirees, we will average your 35 highest years of earnings. If you have less than 35
years of earnings, we do average in years of zero earnings to bring the number of years to 35.

[Capitalist Eric]

No one's going to be persuaded by calling them a Bushbot.

I don't care.

Frankly, the fact that so many conservatives support Bush, even when he makes a proposal that defies logic or good old-fashioned common sense, infuriates me.

Such blind faith, is naive and dangerous... It's the kind of kool-aide mentality that we saw of Clintoon-supporters, for years.

I'm equally disgusted with Bush, over his alien amnesty proposal. It will be a disaster for the USA.

It's more important to stand up for your country, then to stand up for a man whose actions will tear that country down.

The faithful supporters- lemmings to the end- will continue to follow Bush... And proudly display why the term Bush-bot fits so well...

[AuntB]

I wish you were correct, gopheraj, but you are looking at "retirement benefits". Go here to see about "disability benefits": http://www.ssa.gov/dibplan/dqualify2.htm

From the SSA website:

In addition to meeting our definition of disability, you must have worked long enough--and recently enough--under Social Security to qualify for disability benefits.

Social Security work credits are based on your total yearly wages or self-employment income. You can earn up to four credits each year.

The amount needed for a credit changes from year to year. In 2003, for example, you earn one credit for each $890 of wages or self-employment income. When you've earned $3,560, you've earned your four credits for the year.

The number of work credits you need to qualify for disability benefits depends on your age when you become disabled. Generally, you need 40 credits, 20 of which were earned in the last 10 years ending with the year you become disabled. However, younger workers may qualify with fewer credits.

IMPORTANT: Remember that whatever your age is, you must have earned the required number of work credits within a certain period ending with the time you become disabled. Your Social Security Statement shows whether you meet the work requirement at the time it was prepared. If you stop working under Social Security after the date of the Statement, you may not continue to meet the disability work requirement in the future.

[gopheraj]

Well, that stinks. You are right, it needs to be redone.

[AuntB]

Oh, goheraj, you are one of the FEW who would actually read this. It is written vaguely and ambiguosly on purpose of course. This is a new website for SSA and is better than the old one was!! I 'bout fell over (well, I fall over a lot!LOL!) when I found out I waited too long to file...and here I thought I was being a good person to hold off as long as possible. Yes, it stinks, and no one wants to hear it.

[God is good]

What's DU?

[gopheraj]

Oh I know how the SS works. Our oldest daughter is on dialysis after her kidney transplant went south in 2000. She is a bit muddled in thinking sometimes and lets people run over her, so I tried to help her. After trying to get something-anything out of the 800 number idiots, I was about ready to kill someone. I finally got someone who told me that they (at the 800 number) couldn't help me that I would have to go to a local office and I had been trying for 3 days.

[Jorge]

DU is the Democrat Underground website.

[ThinkDifferent]

The net effect is that all the jobs that Americnas won't do are now paying less than they ever have and the standard of living for all Americans has gone done as a result.

Your conclusion may be correct, but my reasoning is somewhat different. Just because wages go down for certain jobs does not mean that Americans are worse off in general. The workers in those jobs make less, but others are better off because the products and services they produce are now cheaper. (If this were not the case, we could make everyone rich by raising the minimum wage to $50/hour).

I do believe that unchecked immigration is a bad thing, but primarily because illegal immigrants consume more in public services than they contribute to the economy, making them a net drain on the rest of us.

[God is good]

Gimme a break. I'm just a little upset about the immigration thing as you can tell.

Peace to ya Jorge.

[Jorge]

Gimme a break. I'm just a little upset about the immigration thing as you can tell.

I was just responding to your "Dictator Bush" comment.

But don't get too upset. There's little chance his immigration proposal will make it through Congress anyway.

[lainde]

bump for reference