Posted on 01/27/2025 9:58:03 AM PST by bill andersen
I know the Caption Obvious memes will show up but I haven't see any posts linking deportation to lowering the cost of living so here goes:
Every deportee is no longer spending money in the United States. This means they are not buying gas, food, booze, cigs, wallmart stuff. They are not spending money on lodging. They won't be shoplifting either. Nor will they be getting free emergency room healthcare.
All these things reduce the inflationary "load" on our economy. With less purchases stuff will be sitting in inventory longer which tends to cause sellers to lower prices. It will take manufacturers a while to reduce output but in the meantime we will see prices drop.
The inflationary load comes from the fact that the government prints money to pay for all of that both increasing competition for those specific services, but also more generally increasing the overall price level because of adding money to a fixed economy.
I’m thinking of all the emergency rooms shut down in hospitals due to non-paying customers.
The illegal aliens don’t spend money in America
We spend our money on them
It is a complex system, with lots of variables. more variables than you present.
We have a lot of changes going on, it is a revolution even. there will be short term effects and long term effects.
there will be regional effects.
there will be personal effects.
We need this correction but it will be a wild ride. put on your seatbelts.
We are in the middle of a big correction and lots of unintended interactions and consequences.
Government printing of fiat money causes inflation too. I’m focusing on “demand pull” inflation where there is less demand for the same amount of inventory thus giving sellers incentive to lower prices.
Every little bit helps.
Correct that from the fact they are spending money to say THEY ARE SPENDING YOUR TAX DOLLARS ON FOOD ETC.
Housing availability will open up
Absolutely true.
——The other edge on that knife is they aren’t here producing, either, and there are some that produce.
And some are “honestly” consuming by purchasing goods and services.——
Given the cost of welfare, incarceration, education, and health care I assume the repatriations are a net benefit to our economy. But how could you ever prove it? So much is intangible or untrackable.
I favor an immigration policy that vets and is measured. Limited truly needed h 1 b. Real refugees as reasonable. Medical and tourist visas. Caveat: no welfare, social security, or other benefits for anyone not born here. Use a certain social security number to insure this. Convicted of a felony and you lose your citizenship.
It is very true that they are spending our tax dollars. With every one deported there will be less spending of our tax dollars. My key point is that consumer spending will decrease, causing prices to drop for the rest of us.
Lower rents, too.
Every deportee is no longer spending money in the United States.
You can't spend money you don't have. Illegals have difficulty finding legal jobs. So some turn to property crime, some turn to trafficking, some turn to drug sales. These are not contributing members to U.S. society.
Then there are the remittances, where the money flows OUT of the local economy.
In other words, a net negative to our local way of life.
I would echo that sentiment.
Not for one second do I doubt we should be doing deportation. We lose $100-$200 billion a year (my calculation) on supporting illegals, and mitigating the damage they have done via crime and such.
But anytime you make changes this sweeping, there are side effects that will cause pain to people who are American citizens.
We should expect that in the transition period. But we have to move. As has been said many times before, open borders cannot coexist with a welfare state.
It is unsustainable and ruinous.
“””Every deportee is no longer spending money”””
Said money was given to them by Biden’s government. This will reduce the National Deficit and that will reduce interest rates.
From what I’m seeing about the people getting on those deportation flights, they are not gainfully employed here.
There are at least four ways out of inflation - reduce demand for goods and services, cut government spending, cut government printing of fiat, non-backed currency and producing much, much more oil and gas.
The proof will be lower inflation. With Trump in office he will use all four of these methods and more.
“””But anytime you make changes this sweeping, there are side effects that will cause pain to people who are American citizens.”””
Yeah, like the pain a Leftist Democrat will face when their gardener, Jose, is deported and they must pay a citizen $15/hr vs. $5/hr they paid Jose.
We are in the hook for the money created out of thin air.
It isn’t just that case there. No sympathy in that example, and no doubt, that is expected. After all, we can go without having those things. Or even if a contractor cannot meet a schedule to fulfill a construction agreement because they have been overly dependent on illegal workers. We should expect those things as the price we will have to pay.
I am willing to pay that price, all Americans should as well.
It is the things we don’t expect that we should be prepared to accept. Not saying that those things are certainties, but we should be prepared to suck it up if we do encounter those kinds of things.
I hope to see housing costs come down, drastically, and soon!
HOUSING will be a HUGE relief. Rent has skyrocketed since the Scamdemic... with the US suddenly having 10m-20m fewer “residents”, housing will be abundant and the competition for reliable tenants will quickly bring rents down. That will be a very big deal for millions of American budgets.
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