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Latin American Immigration. By Javier Arroyo & Jonathan Delgado. History. Latin American government instability Political confusion Corrupt leaders Government spending unaccounted for No infrastructure for growing population Illegal policies set precedent for future
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Latin American Immigration By Javier Arroyo & Jonathan Delgado
History Latin American government instability Political confusion Corrupt leaders Government spending unaccounted for No infrastructure for growing population Illegal policies set precedent for future Lack of job opportunities
Conditions in Home Country Force population to become informal Informal sector creates own extralegal system Economy does not have participation of the informal sector Creates a black market for bribes, laws, election of officials Creates lack of incentives to become formal citizens
Reasons for Immigration Jobs: abundant jobs opportunities Legal protection: rights, benefits, laws, healthcare, etc. Stability in government Better life situation: family, schools, more fruitful future
Reasons to Join the Informal Sector The prices they charge for services and goods are lower than formal businesses. Government discourages them with policies and regulations. The opportunity costs of becoming formal is low, therefore not profitable.
Video http://www.youtube.com/watch?v=-oDwx2YObqw
Effects of Immigration In U.S. Immigrants provide workers here in the U.S. Undocumented workers allow for low wages. Cheaper labor for jobs that would not get filled by U.S. citizens. These workers are the backbone of the U.S.
Effects of Immigration in L.A. Countries Population leaves countries due to the lack of work. In return they receive remittances: approximately $30 million in 2004 This money goes to the poor and is consumed and not reinvested: used to buy consumer goods rather than to pay for children's education or saved to invest in small businesses.
Effects of Immigration in L.A. Countries • Mexico, the biggest recipient, got $13.3 billion in remittances in 2003, a 35 percent increase over the previous year. Brazil got $5.2 billion; El Salvador, $2.3 billion; Guatemala, $2.1 billion; Ecuador, $1.7 billion; Jamaica, $1.4 billion, and Cuba and Peru, $1.2 billion each • Due to current economic conditions individuals are losing jobs and less money is being sent back home. • These countries depend and run their economy off of these funds and a decrease will handicap it.
Effects of Immigration in L.A. Countries Remittances will experience decrease over the years. Families reunite in the U.S. and there no more need to send the remittances.
Effects of Educated Individuals Many well educated individuals cannot perform their expertise in L.A. countries. No demand for educated professionals, wages are better performing odd jobs. These individuals seek to use their expertise out of home country and immigrate to the U.S. “Human Flight”
Effects of Educated Individuals More educated individuals produces more productivity 5-15% and less educated individuals less productivity (slow economic growth) and increases poverty. In U.S. more educated and L.A. countries less educated. This proves what is presently going on in the economies.
Recommendations Stabilize populations. Implementation of higher wages Plan to reduce poverty and unemployment. Keep skilled workers. LA Countries must become more efficient.
