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Newsweek: Why Americans Think (Wrongly) That Illegal Immigrants Hurt the Economy
Newsweek ^ | 05/14/2010 | Arian Campo-Flores

Posted on 05/15/2010 8:13:03 PM PDT by SeekAndFind

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Author argues :

* The the drawbacks of illegal immigration are concentrated. Native low-skilled workers suffer most from the competition of foreign labor. According to a study by George Borjas, a Harvard economist, immigration reduced the wages of American high-school dropouts by 9 percent between 1980 and 2000. Not surprisingly, surveys show that those without a high-school diploma tend to oppose illegal immigration most fervently.

* Many undocumented workers pay money to the federal government, in the form of Social Security contributions and income taxes, and take less in return, says Gordon Hanson, an economist at the University of California, San Diego. At the state and local level, however, it's a different story. There, illegal immigrants also make contributions, through property and sales taxes, but on balance, they use more in public services, such as schools, health benefits, and welfare assistance. As a result, says Hanson, the federal government ends up with a net gain in its coffers, while "states get stuck with the bill."

* Among low-skilled workers, opposition to immigration stemmed mainly from the competitive threat posed by the newcomers. Among high-skilled, better-educated employees, however, opposition was strongest in states with both high numbers of immigrants and relatively generous social services. What worried them most, in other words, was the fiscal burden of immigration. That conclusion was reinforced by another finding: that their opposition appeared to soften when that fiscal burden decreased, as occurred with welfare reform in the 1990s, which curbed immigrants' access to certain benefits.

* For all the overexcited debate, the net effect of immigration is minimal (about a one tenth of 1 percent gain in gross domestic product, according to Hanson). Even for those most acutely affected—say, low-skilled workers, or California residents—the impact isn't all that dramatic. But when all those factors are put together and the economists crunch the numbers, it ends up being a net positive, but a small one. Too bad most people don't realize it.

1 posted on 05/15/2010 8:13:04 PM PDT by SeekAndFind
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To: SeekAndFind
Newsweek is about 6 months from folding and bankruptcy. So who cares?
2 posted on 05/15/2010 8:14:42 PM PDT by 2banana (My common ground with terrorists - they want to die for islam and we want to kill them)
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To: SeekAndFind
What could go wrong? What's not to like? They don't want much.


3 posted on 05/15/2010 8:15:47 PM PDT by Travis McGee (---www.EnemiesForeignAndDomestic.com---)
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To: 2banana
Newsweek is about 6 months from folding and bankruptcy. So who cares?

The author of this article has little to do with Newsweeks' management. I'd like to hear some refutations of her arguments.
4 posted on 05/15/2010 8:17:27 PM PDT by SeekAndFind
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To: SeekAndFind

[David Card, an economist at the University of California, Berkeley...]

Now, who read any farther?


5 posted on 05/15/2010 8:18:57 PM PDT by Blue Collar Christian (A "tea bagger"? Say it to my face. ><BCC>)
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To: SeekAndFind

Economically, probably reasonably accurate.

Ignores the social costs, though.

Also dismissive in its portrayal of those who object to massive illegal immigration. Just assumes they are either ignorant or ill-intentioned. Makes no attempt to understand why they object or show why their beliefs are wrong.

Plays the easy liberal card of blaming everything on the evil businessmen, while ignoring the massive numbers of illegals employed by the liberal upper middle classes as servants. To the extent that for the first time since the Civil War America is developing a true servant class.


6 posted on 05/15/2010 8:20:48 PM PDT by Sherman Logan (When buying and selling are legislated, the first things to be bought and sold are legislators.)
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To: SeekAndFind

“states get stuck with the bill.”
The author says it all.


7 posted on 05/15/2010 8:21:12 PM PDT by Psycho_Bunny (The Quran and Mein Kampf: if you've read one you've read them both.)
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To: Blue Collar Christian

I read your post. Is that far enough?


8 posted on 05/15/2010 8:21:34 PM PDT by freekitty (Give me back my conservative vote; then find me a real conservative to vote for)
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To: SeekAndFind

Basically, everyone who hires an illegal is being subsidized by taxpayers. While it might be “cheap” to hire them, it costs the community as a whole — schooling, medical, jobs, etc.


9 posted on 05/15/2010 8:21:52 PM PDT by Londo Molari
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To: SeekAndFind

Seek and ye shall find. Try the Heritage Foundation.


10 posted on 05/15/2010 8:22:25 PM PDT by Amberdawn
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To: SeekAndFind

Why don’t we ask California? Fully a quarter of the workforce is paid in cash, meaning they don’t pay taxes, UEI, or workman’s comp insurance to the state, yet can still draw from it if hurt on the job. LA County alone says they give out over $1 BILLION in benefits to children (anchor babies) of illegals, and that doesn’t include education. And when the tax base leaves in droves, I’m sure the illegals will more than make up for that lost revenue...


11 posted on 05/15/2010 8:23:17 PM PDT by OCCASparky (Obama--Playing a West Wing fantasy in a '24' world.)
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To: SeekAndFind

I do not see where the author addresses the negative economic impact of drug activities and violence contributed by illegal immigrants.


12 posted on 05/15/2010 8:23:17 PM PDT by A message
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To: SeekAndFind

Racist Newsweek supports policies which sustain slave wages for legal immigrants.


13 posted on 05/15/2010 8:23:39 PM PDT by G Larry (DNC is comprised of REGRESSIVES!)
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To: SeekAndFind

A “net positive” my azzzz...but you watch...the new sick-twisted mantra will be that amnesty is needed in order to help in our economic recovery!...Illegal immigration has destroyed California’s economy. And, any illegal alien who’s employer is withholding Social Security and income tax is more than likely using fraudulent or stolen identification. Wonder what the annual cost per year is due to stolen identities? And, IMO, bipartisan catering to the illegal aliens...giving them bank privileges, auto loan, and mortgages was a huge factor in causing our financial meltdown. Who the heck gives out a mortgage to the unemployed with a Section 8 housing voucher? That’s right, Bush did.


14 posted on 05/15/2010 8:24:32 PM PDT by Kimberly GG ("Path to Citizenship" Amnesty candidates will NOT get my vote!)
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To: 2banana

NewsWeak is broke and CA & AZ are broke thanks to illegals.


15 posted on 05/15/2010 8:26:24 PM PDT by Frantzie (McCain=Obama's friend. McCain/Graham = La Raza's Senators)
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To: 2banana

Screw you Newsweak!!!!!!!


16 posted on 05/15/2010 8:27:03 PM PDT by my small voice (A biased media and an uneducated public is the biggest threat to our democracy)
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To: SeekAndFind

http://www.newsweek.com/id/33434


17 posted on 05/15/2010 8:27:24 PM PDT by TornadoAlley3 (Obama is everything Oklahoma is not.)
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To: SeekAndFind

He makes a great case for legal immigration, but ILLEGAL immigration is not controlled by economists, government agencies or anyone else. Many of them do come here to work, but many others cross the border for other reasons. If we don’t know who these people are, how can we protect ourselves? What kind of society would ever knowingly allow this?


18 posted on 05/15/2010 8:27:24 PM PDT by wastedpotential (McCain always said I was an agent of intolerance - but in 2008 those like me tolerated him most)
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To: Frantzie

A brief bio on the Newsweek site indicates that this author went to Berkeley. I think he’s very very liberal..........


19 posted on 05/15/2010 8:27:24 PM PDT by Dilbert San Diego
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To: 2banana
Newsweek Lies

Get it here
20 posted on 05/15/2010 8:27:29 PM PDT by Oceander (The Price of Freedom is Eternal Vigilance -- Thos. Jefferson)
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