“Negative Effects of Immigration on the Economy” FALSE!

According to the article, Negative Effects of Immigration on the Economy? by Yves Smith, she stated that foreign born population is negatively correlated with subsequent job creations.  In her article, she list multiple reasons on how immigrants have negatively impact our economy.


Her first argument was that immigrants came to this country as outsiders that they requires more expenditure of resources, and those resources could have otherwise go towards our economic development.


Is that true? NO!

While some Immigrants may require some help and resources from the government to settle down in a new country, most Immigrants do not. Immigrants are also tax-payers, even if they are requiring more services, they are also paying for the service that are provided by the government.  If there wasn’t any immigrants, the government will have limit fund. Indeed, there will be no additional resources for economic development.


Smith also claimed Immigrants that often send back remittances to their country of origin, which takes resources out of the US economy.


Although many immigrants do sent back remittances back to their origin country, that does not mean it is taking resources out of the US economy.  Since many immigrants are living in the states, they still contribute to the economy growth by workings and paying taxes.  In addition, many immigrants will eventually sponsor their families to the US, which will positively impact the economy by increasing the working population and household incomes.


Lastly, Smith stated Immigrants’ eligibility for social welfare will also impact the US economy by consuming government funds and resources.


Smith claimed that immigrants affect the economic by taking advantage of social welfare, but immigrants aren’t the only ones who are eligible for welfare.  There are also many Americans who is living on welfare, does that mean Americans are negatively affecting the economy too? In 2011, 28% of all companies founded in the U.S. had immigrant founders. While some immigrants needs social welfare, many immigrants have contribute greatly to the economy with their entrepreneurship abilities. seiu-international-immigration-immigrant-usa-work.gif



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