Last summer Congress was considering reforming immigration. Two men who haven’t always been in political agreement each issued strong statements about the benefits immigration provides. President Obama’s White House said, “America has always been a nation of immigrants, and throughout the nation’s history, immigrants from around the globe have kept our work force vibrant, our businesses on the cutting edge, and helped to build the greatest economic engine in the world.” And in Dallas, former President George W. Bush spoke out for the benefits of immigration, saying “I hope during the debate that we keep a benevolent spirit in mind and we understand the contributions that immigrants make to our country.”
The Obama White House quantified the potential benefits. “In 2033, the American economy would be 5.4 percent larger if the Senate bill is passed by the House, productivity would be up by 1 percent, real wages would be up by 0.5 percent, deficits would be reduced by $850 billion and the solvency of the Social Security system would be extended by two years.”
Both Obama and Bush were addressing a pervasive myth: that immigration is bad for the economy. Studies, including one performed by economist Giovanni Peri, have proven that this myth is inaccurate. His studies indicate that H-1B visa holders have accounted for something between one-fourth and one-sixth of US growth in productivity between 1990 and 2010. Yet, the misinformation persists.
Below are four more prevalent myths about immigration.
Immigrants take jobs from Americans and drive wages down. There’s a grain of truth in this. Economists have concluded illegal immigrants do lower wages for Americans without high-school diplomas. For everyone else, they seem to have a positive effect on wages. Adam Davidson reports in the New York Times that “There are many ways to debate immigration, but when it comes to economics, there isn’t much of a debate at all. Nearly all economists, of all political persuasions, agree that immigrants — those here legally or not — benefit the overall economy.”
Immigrants drain public health benefits. A Cato Institute study finds that immigrants are less likely to use public assistance of all kinds than native-born Americans. Undocumented immigrants are ineligible for most public assistance, and immigrants who are in the US legally are still ineligible for many programs.
Immigrants don’t pay taxes. Everyone pays sales tax and property tax. Even immigrants who are in the country illegally often pay additional taxes. According to a Congressional study, “The IRS estimates that about 6 million unauthorized immigrants file individual income tax returns each year. Other researchers estimate that between 50 percent and 75 percent of unauthorized immigrants pay federal, state, and local taxes.
Immigrants are all criminals. In reality, native-born Americans are more likely to be in prison than immigrants. According to Immigration Policy Center, “the incarceration rate for native-born men age 18-39 was five times higher than for immigrant men in 2000.” There is some evidence that growing immigrant populations may actually drive crime down.
Immigration is a contentious political topic. Unfortunately, the debate is often filled with misleading half-truths and outright lies – and it is hard-working families that suffer as sensible immigration reform is delayed. Please contact us today if you’d like to learn more.
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