US Govt. Report: Undocumented Immigrants Boost Economy

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Facts

  • Based on an estimated increase of 1.7M immigrants per year from 2021-2026, a US Congressional Budget Office (CBO) report says the country will see an increase of $1.7T in federal revenue from 2024-2034 and a $897B decrease to the federal deficit.1
  • This figure is based on projections that through their participation in the labor market, they will pay $788B in taxes, adding $387B in federal revenue through their general effect on the economy.1
  • Regarding the children of immigrants who are born in America, the report says their access to welfare will increase total federal program expenditures and debt interest by $300B over the 10-year period, resulting in an additional $23B in mandatory spending in 2034.2
  • Regarding the debt, the report states that while undocumented migrants will lead to a debt reduction of $4B from 2024-2028, their presense in the country will increase debt spending by $101B between 2024 and 2034.1
  • Their overall participation, however, is estimated to lead to an $8.9T increase to the nation's gross domestic product (GDP) over the 10 years.2

Sources: 1The Hill and 2Congressional Budget Office.

Narratives

  • Democratic narrative, as provided by Reason.com. Even conservatives — if they truly believe in free market capitalism — have to acknowledge that immigration is not draining the welfare system but rather helping cut back the debt. When immigrants come to America, whether legally or not, they end up working and paying significant amounts of taxes. Instead of blocking or deporting migrants, the government should encourage more people to participate in the American economy.
  • Republican narrative, as provided by Cis. One study on tax revenue doesn't outweigh the myriad of evidence proving that immigrants take jobs from native born Americans. When waves of immigrants come into the country, they move to up-and-coming cities, which means Americans who live there are driven out and those who planned to move there no longer have the chance. America is a nation of people, but those in power have chosen to ignore their wellbeing in pursuit of abstract GDP growth.

Predictions