The Negative Impact Of Immigrants On The Economy

Immigration concern is always a controversial argument all over the world. Currently, there are millions of immigrants in America and their effects on the economy can be perceived as positive as well as negative. However, immigration's beneficial impacts on the economy greatly outweigh any other detrimental effects. Immigrants are invariably a formidable engine of economic in the United States because of their supply of labor, their role in economic productivity growth, and their contribution in tax revenues.

First, immigration of high-skilled labor accelerates productivity growth and immigration of low-skilled labor enhances the efficiency of the labor market. According to Carey (2011) one in seven American workers was born abroad and they

Carey (2011) evaluated that the presence of immigrants drives a modest overall increase of around 0.5% in the relative salary of non-immigrants. Instead of competing directly with American workers, immigrants typically complement native-born by filling niches in the labor market. Lower-skilled immigrants seek low-paying, low-status jobs that Americans aspire to fill, providing consumers with more affordable goods and services and creating more rewarding employment opportunities for the native-born workers. To use the words of George Borjas (2001), low-skilled immigration greases the wheels of America labor market. One contribution of low-skilled immigrants is to make it possible for high-skilled workers to spend more time on the job and less time doing non-work related chores. Low-skilled immigration thus indirectly contributes to productivity growth by raising the effective supply of high skilled labor. Peri (2012) gave an example that California farmers hire Mexican workers to pick grapes, which are then made into raisins and sold around the world. Mexican workers in California creates a new market for tortillas, used cars, and Hispanic radio stations, in turn creating jobs for tortilla makers, used car dealers, and advertising sales representatives. Immigrant construction workers build new housing, creating opportunities for American architects, carpenters, electricians, and plumbers. They also rent some of those houses and apartments for their families. Moreover, unskilled labor is characterized by small wages, which reduces the prices of products. As stated by Peri (2012) that the opportunities created by immigrants in the labor market for firms to increase their productivity and their employment of native workers. Furthermore, Peri (2012) said that