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been replaced by the monthly Backgrounder series.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.
Thanks for the ping.