Immigration makes all of America richer, but it can make some Americans poorer, the non-partisan Congressional Budget Office says in a report issued January 9.
“Immigration, whether legal or illegal, expands the labor force and changes its composition, leading to increases in total economic output,” said the non-partisan report, titled “The Foreign-Born Population and Its Effects on the U.S. Economy and the Federal Budget—An Overview.”
But this national expansion does “not necessarily [deliver] to increases in output per capita,” or income per person, the report said:
For example, business leaders say the nation’s enormous population of immigrants has expanded the nation’s workforce, increased consumption, and driven up housing prices. But that inflow has also shrunk the wages of less-educated Americans, the report said:
Among people with less education, a large percentage are foreign born. Consequently, immigration has exerted downward pressure on the wages of relatively low-skilled workers who are already in the country, regardless of their birthplace.
The CBO report contradicts business claims that a bigger economy ensures bigger wages for everyone.
But this national expansion does “not necessarily [deliver] to increases in output per capita,” or income per person, the report said:
For example, business leaders say the nation’s enormous population of immigrants has expanded the nation’s workforce, increased consumption, and driven up housing prices. But that inflow has also shrunk the wages of less-educated Americans, the report said:
Among people with less education, a large percentage are foreign born. Consequently, immigration has exerted downward pressure on the wages of relatively low-skilled workers who are already in the country, regardless of their birthplace.
The CBO report contradicts business claims that a bigger economy ensures bigger wages for everyone. full story
