Immigration in the U.S.

1. Immigration in the U.S. • JOSE L CAMPOS • YANET ESPINOZA • SANJEEWA DEVANARAYANA

2. Good luck in your new homeland! Welcome to America!

3. When immigrants came to America, some people thought they were very brave. Other people thought the immigrants were very foolish.

4. INTRODUCTION • Legal immigration • Family reunification rules • Specific employment based quotas • refugees • Illegal immigration • By crossing the border without valid immigration documents; or • By entering with a valid visa and then remaining in the country after their visas expire.

5. Immigration Today • U.S. Population Clock as of Oct 15, 2008 • 305,419,048 people living in the US (Apprx.) • 37.5 million of them are immigrants. (Apprx.) • 12 million of these immigrants lack legal status • 9.7 million of these immigrants have a status other than citizen or • undocumented. Most are Lawful Permanent Residents • 15.8 million of these immigrants are citizens • 􀂄For the last 3 years the immigrant portion of the US has remained at 12% • 􀂄 Only 3.5% of the US population is undocumented

6. Where do they come from?

7. States of residence, 2006

9. Actual and Projected U.S. Population Increase Actual and Projected U.S. Population Increase, 1960 to 2050

10. Main Arguments IL-LEGAL IMMIGRATION DOES HELP THE US ECONOMY Would you say that immigration helps the United States more than it hurts it, or immigration hurts the United States more than it helps it?

12. States with Most Undocumented Immigrants

14. Growth Rates , 2000-2010

15. Who is hurt by illegal immigration? • Uneducated Americans • Poor or lower class Americans • U.S. tax payers

16. IMMIGRANT AND TAXES Immigrants pay income, property, sales, and taxes at the federal and state level In 2002, illegal immigrants added a net surplus of $463 billion to Social Security

17. Immigrants & Crime Immigrants lower crime rates 1st generation immigrants 45% less likely to commit violence than 3rd generation Americans. During 1990s when immigration highest, crime dropped the most –Los Angeles it dropped 45% Why: motivation to work, ambition and desire not to be deported

18. Immigrants and the US work force Illegal immigrants as a percentage of total employees : • 24% of farm workers • 20% of cooks • 28% of drywall installers • 36% of insulation workers

19. Share undocumented immigrant workers by industry Percent Overall Proportion 4.9 Priv. Households Food mfg. Ag. Furniture mfg. Const. Textiles Food Svcs. Admin & Support Hotels Other mfg. Source: Pew Hispanic Center(2005)

20. Foreign-born share of employment by sector Source: BLS (2006)

21. Immigrants are more mobile, responsive to economic growth • More likely come in good times, leave in bad times • Flexibility allows for faster economic growth, more efficient use of resources • Lower unemployment • Some immigrant groups are even more mobile once here • Move to where the jobs are • Fewer regional discrepancies in growth • Lower unemployment, regional convergence

22. Job-based green cards remain in short supply Source: Department of Homeland Security, Department of State

23. Skilled flows pro-cyclical H1-B petitions approved for initial employment Peak Post-recession Source: Department of Homeland Security

24. Immigrants work moreLabor Force Participation: Men Percent Source: Pew Hispanic Center(2005)

25. Who benefits from l-Illegal immigration? You Big business U.S. economy Farm owners US Govt.

26. Effects of immigration on US Corporations • Immigration has effects similar to trade • Greater specialization, efficiency • More choice, innovation Production Increases. • Who benefits? • US GDP increase • Exports Increase • Consumers • Prices of certain goods and services fall

27. What is your Opinion My fellow Legal Aliens? Do you believe that immigrants take away US jobs and Hurt the economy OR Immigrants takes the jobs that natives don’t want to do?

28. of Negative effect immigration in the economy U. S.

29. Immigration to the United Statesin the 20th Century Thousands of legal immigrants Immigration to the United Statesin the 20th Century * Excluding IRCA conversionsSource: Immigration Naturalization Service

30. Negative Economic Impact of Immigration Facts: • Immigrants have less education • Earn less than native U.S. citizens • Households headed by immigrants have more children compare to U.S. citizens. • The average Immigrants pays less in taxes • Receive more in social services e.g. Cash public assistance in 1995 Immigrants Native U.S. citizens 5.8% 4.5%

31. Welfare assistance Source: Michael Fix and Jeffrey Passel, “The Scope and Impact of Welfare Reform’s Immigrant Provisions,” Discussion Papers, The Urban Institute, January 2002.

32. Immigrants reduce the wages of U.S. citizens August 2003 report by Pia M. Orrenius and Madeline Zavodny, researchers at the Federal Reserve Banks of Dallas and Atlanta • Annual wages of low-skilled native workers are about 2.4% below where they would be otherwise as a result of the presence of immigrant workers. Studies by Harvard economist George Borjas, an outspoken advocate of stronger immigration restrictions concludes that: • Between 1980 and 2000 immigration increase the labor supply of working men by 11% • Immigration reduced the average annual earning of native born-men by estimated $1,700 or 4% • and by 7.4% for native workers without a high school diploma.

33. How much do immigrants contribute to the overall economy? The foreign-born make up only 11.3 percent of the U.S. population and 14 percent of the labor force. Source: Federal Reserve Bank of Dallas, “U.S. Immigration and Economic Growth: Putting Policy on Hold,” Southwest Economy Issue 6, November/December 2003, available online at www.dallasfed.org/research/swe/2003/swe0306a.html (derived from data from the U.S. Census Bureau).

34. Portion of employment growth in each job category attributed to foreign-born workers from 1996 to 2000 Unauthorized immigrants: 19 % of farming working 17 % of cleaning occupation 12 % of construction workers 11 % food preparation 8 % production 4.3% unauthorized Source: Abraham T. Mosisa, “The Role of Foreign-born Workers in the U.S. Economy," Monthly Labor Review, May 2002, pp. 4–14

35. Immigration creates costs • The availability of low-cost immigrant labor may remove the incentive for employers to adopt new technologies • As a border-county policymaker, Santa Cruz County supervisor Manuel Ruiz offered a unique perspective on the costs of immigration: Costs associated with illegal border crossings: - Autopsy and investigative costs when immigrants die (21 people died crossing the border into Santa Cruz County in 2007) - Incarceration, prosecution and defense costs associated with prosecuting immigrants who commit crimes • The hospital in Santa Cruz County spent approximately $1 million in 2007 treating undocumented immigrants who were unable to pay

36. Cont… • The impact of immigration on California is more negative because immigrant households in the state: (a) are more numerous relative to the native population, (b) have more children, causing them to make greater use of public education, (c) and earn lower incomes, leading them to have lower tax payments and greater use of public assistance. (health care and other social services) • increase in the consumption of publicly provided goods and services, such as public schools

37. The US illegal immigration Other negative impact on government expenditures • Education: Federation for American Immigration Reform (FAIR) study shows that: Unauthorized immigrant cost $3.2 billion Native-born US citizen children of unauthorized immigrant cost $4.5 billion • Healthcare (emergency medical service): California Hospital Association spends approximately: $500 million p/year on undocumented immigrants and $300 million birth and prenatal care for children of undocumented immigrants • Prison costs: California Department of Corrections spend $730 million (2005-2006 budget and get reimbursed for 10%-12% of this cost from Federal Government)

38. Cont…. • The number of illegal immigrants in U.S. is estimated between 7 and 20 million. • Undocumented workers generally don't pay income taxes but do use schools and other government services • Those who lack a high school diploma and teenagers looking for summer positions are finding it difficult to acquire employment due to competition from illegal immigrants. • Taxes: the failure of illegal immigrants to contribute to the tax pool, coupled with those who employ illegal immigrants and do not pay unemployment insurance, social security, medicare.

39. Cont….. • Harvard's George Borjas says the average American's wealth is increased by less than 1 % because of illegal immigration. • Healthcare : No social security number No driver license • Unemployment Rates • Food Supplies: the food supply needs are figured in the US based upon the census data • Overall, low-skill workers -- regardless of their immigration status -- Dennis Hoffman, director of the Seidman Research Institute at the W. P. Carey School consume more in services than they pay in taxes.

40. Conclusion • Both sides there are winners and losers • Depend in you situation • If you are owner of company, educated, customers you are in the winner situatition • If you are educated, low skill and other you are in the losing side

41. REFERENCE Pia M. Orrenius and Madeline Zavodny, “Does Immigration Affect Wages? A Look at Occupational-Level Evidence,” Federal Reserve Bank of Dallas Research Department, Working Paper 0302, August 2003. http://www.immigrationline.org/publications.asp?pubid=491 http://stlouisfed.org/publications/re/2006/d/pages/immigration.html http://www.prb.org/Articles/2008/pewprojections.aspx http://www.dallasfed.org/research/papers/2003/wp0302.pdf. http://immigration.procon.org/viewresource.asp?resourceID=842 http://www.legalcybertips.com/immigration/What-Kinds-of-Problems-Do-Illegal-Immigrants-Cause.htm lhttp://www.bls.gov/

42. questions?