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Link – Increased Immigration Kills Business Productivity
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Link – Increased Immigration Kills Business ProductivityImmigration kills business productivity FAIR 2 (Labor and Economics, “Immigration and the Economy,” 10-2002, www.fairus.org)BHB While businesses like to enjoy the low-wage labor supplied by high immigration, it comes at a price. Part of that price is lost productivity. Business and social transaction costs rise, as time, effort, and money are spent overcoming language and cultural barriers.5 “Poor English skills among foreign-born residents cost more than $75 billion a year in lost productivity, wages, tax revenue and unemployment compensation,” says Ohio University economist Lowell Gallaway.6 Link – Increased Immigration Unemployment, Burdens Federal BudgetImmigration raises unemployment and raises social service costs Malanga 6 (Steven - Senior Fellow at the Manhattan Institute, City Journal , “How Unskilled Immigrants Hurt Our Economy” Summer 2006, http://www.city-journal.org/html/16_3_immigrants_economy.html)BHB But the tale of Librado Velasquez helps show why supporters are wrong about today’s immigration, as many Americans sense and so much research has demonstrated. America does not have a vast labor shortage that requires waves of low-wage immigrants to alleviate; in fact, unemployment among unskilled workers is high—about 30 percent. Moreover, many of the unskilled, uneducated workers now journeying here labor, like Velasquez, in shrinking industries, where they force out native workers, and many others work in industries where the availability of cheap workers has led businesses to suspend investment in new technologies that would make them less labor-intensive. Yet while these workers add little to our economy, they come at great cost, because they are not economic abstractions but human beings, with their own culture and ideas—often at odds with our own. Increasing numbers of them arrive with little education and none of the skills necessary to succeed in a modern economy. Many may wind up stuck on our lowest economic rungs, where they will rely on something that immigrants of other generations didn’t have: a vast U.S. welfare and social-services apparatus that has enormously amplified the cost of immigration. Just as welfare reform and other policies are helping to shrink America’s underclass by weaning people off such social programs, we are importing a new, foreign-born underclass. As famed free-market economist Milton Friedman puts it: “It’s just obvious that you can’t have free immigration and a welfare state.” **Generic Aff Answers** Link Turn – Increased Immigration Wage IncreasesImmigration spurs investment and job creation – increases wages for experienced workers Martin and Calvin 10 (Phillip - Ag & Resource Econ @ UC Davis; Linda – Ag econ @ USDA; Applied Economic Perspectives and Policy; Volume32, Issue2; Pp. 232-253) Immigrants do more than add to the labor force; their presence may encourage investment and job creation, thereby reducing any wage-depressing effects. Borjas assumed that immigrants and U.S. workers are substitutes within each age-experience cell, while Peri (2010) assumed that the immigrant and U.S.-born workers within each cell are complements, that is, 25–30 year-old immigrants with less than a high-school education fill different jobs than similar U.S.-born workers. Peri also assumed that there could be an investment response to the arrival of immigrants, which increases the demand for labor, and found that immigrants increase the wages for similar U.S. workers within most age and education cells. Aff Defense – Increased Immigration doesn’t Lower WagesOnly flawed, outdated studies show immigration kills wages—modern research contradicts, 3 reasons Saiz 2006 Albert Saiz University of Pennsylvania, The Wharton School http://www.sciencedirect.com/science?_ob=MImg&_imagekey=B6WMG-4KWK0W6-1- 1&_cdi=6934&_user=56861&_pii=S009411900600074X&_orig=na&_coverDate=03%2F31%2F2007&_sk=999389997&view=c&wchp=dGLzVlb-zSkzS&md5=7e9cc83041be3a2e9209831be89ecc8f&ie=/sdarticle.pdf Studies that use historical data find a negative local association between immigration and wages in periods previous to WWI (Goldin [20], Ferrie [13,14]). But remarkably, there is not much evidence of such a relationship holding in the contemporaneous metropolitan US.2 Even unexpected immigration shocks that rapidly expand the local labor supply do not seem to decrease wages (Card [10]). There have been so far at least three possible explanations for this surprising result. Natives may be choosing to leave when immigrants arrive, rather than face increased competition in the labor market (Filer [15]); immigrants may be moving into cities with positive shocks in productivity and wage growth; or the local labor demand may be more elastic than economists had thought (Lewis [25]). **Amnesty Links** Link – Amnesty Burdens Federal Budget - ComparativeAmnesty costs the government more through credit systems and social services than it gains through tax revenue Ruark 10 [Eric, Director of Research of Federation for American Immigration Reform, March 2010, http://www.fairus.org/site/News2?page=NewsArticle&id=22563&security=1601&news_iv_ctrl=1761] The oft-repeated argument that an amnesty would result in increased tax revenues is based on the false premise that those amnestied workers would earn enough to pay income tax. Because illegal aliens earn such low wages they would not become net taxpayers. An amnesty could mean that more taxes would be withheld from the newly legalized workers, but these workers who are not already claiming the Earned Income Tax Credit (EITC) and the Additional Child Tax Credit (ACTC) would become legally entitled to do so. The result likely would be an additional drain on the U.S. Treasury of an estimated nearly $22 billion per year. Amnesty would not be an economic stimulus – increasing the number of low-skilled workers drawing on government benefits for legal residents would worsen the situation. McNeil 10 (Jena, homeland security policy analyst at The Heritage Foundation, July 23 2010, http://blog.heritage.org/?p=23300) TJN Touting amnesty as an economic stimulus is weak on several points. First, these studies almost across the board assume that legalized individuals will contribute more than the taxpayer dollars they receive. The Heritage Foundation, however, has found that illegal immigrants take in $32,138 in immediate benefits and services for every $9,686 in taxes they pay out. This scenario is likely to worsen as these individuals become eligible for government benefits only permitted to legal residents of the United States. This is largely because immigrants are disproportionately low-skilled (even the CAP report recognizes this fact), and low-skilled workers draw more heavily on government welfare and income maintenance services than higher skilled workers. Illegal immigrants often receive more from government services than they put in. Alexander 5 (Rachel, Intellectual Conservative, September 10 2005, Opposing Viewpoints) TJN Unfortunately, the problem of illegal immigration is at a stalemate, since a large portion of society, led by those on the left, is reluctant to address the costs posed by illegal immigration. As the U.S. developed into a welfare state, poor illegal immigrants increasingly used a larger percentage of taxpayer dollars through reliance on government programs and use of other government resources, such as law enforcement and deportation. Further, since many U.S. employers illegally hire these workers at substandard wages, they avoid collecting social security taxes from them in order to hide their existence. This results in less taxes paid by illegal immigrants for the government services they disproportionately use. Current U.S. immigration policy reflects the reality that U.S. government handouts are too easy to obtain, and so only 5,000 of 140,000 employment-based visas per year are granted to unskilled workers. Download 0.75 Mb. Share with your friends:
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