Monday, October 23, 2023

Elitists Admit Immigration Can Be Bad for the Poor

10/23/23 Atlantic:
"The post-1965 immigration wave has had both benefits and costs. On the plus side, it has probably accelerated economic growth, mostly by expanding the labor force. With a larger population, the United States has been able to produce more goods and services. Immigration also appears to have benefited many high-earning, native-born professionals. The costs of immigration for these workers have been fairly low because they face relatively little competition from immigrant workers. Few of the highly educated immigrants who come to the U.S. are lawyers or doctors, partly because some professions have created barriers that restrict entry. In medicine, foreign doctors are required to complete a multiyear residency program in the United States, regardless of their prior experience. Professionals who have enough political influence to shape labor-market rules, like doctors, understand that a larger labor pool can reduce incomes.

"For many lower-earning workers, there are no such protections. In retail, construction, and child care, more immigrants have been able to compete for jobs. Their entry has had two separate effects that have increased inequality. For the lower end of the income distribution, the expansion of the labor pool has held down wages. For the higher end of the income distribution, these lower wages have held down the prices of frequently used services such as restaurant meals and landscaping. Still, several other forces, including the decline of labor unions and the rise of trade with China, have almost certainly had a larger impact on depressing wages."

A long and thoughtful article that probably has its liberal readers squirming; are Trump's angry deplorable right?

1 comment:

  1. The American Medical Association and the American Bar Association -- two of the most successful trade unions in the world.