Economists describe immigration as the process through which people move into a given country as a result of different reasons. The influx of people into a given country has a number of benefits and disadvantages to that particular country depending on the cause for that immigration. As a result, countries develop preset condition to try to control this immigration. This helps cushion such a country from the negative impacts that such a phenomenon is likely to pose to the economy of that country and the entire nation. The US developed such measures and immigration in that country poses a significant positive impact on its economic growth. The number of immigrants has increased from 15% in 2006 to about 21% in 2012. The favourable economic environment that the US provides attracts highly qualified people from other countries to this country. It is believed that immigrant expertise played a major role in salvaging the US economy from the just ending economic crisis and recess. This paper handles the various economic benefits that the US accrues from immigrants in the different sectors of the economy.
Favourable working conditions coupled with attractive remuneration in the US attracts highly skilled workers from other countries where such conditions least exist. Statistics show that foreign workers account for about 18 percent of the US labour force. These immigrants play a notable role in increasing the output of various business firms in the country. This massive labour force greatly increases US macroeconomic growth beyond any reasonable doubt. Mexicans for instance constitute the largest number of unauthorized workers in the US at about 60%. In terms of sectors, Mexicans immigrants form close to 5% of workers in agriculture, forestry and fishing sectors raising about 18% of the GDP in this sector. Mexican immigrants contribute 13.4% of the US construction sector’s output. According to statistics from the Bureau of Labour, 40% of scientists possessing Ph. Ds working in the US hail from abroad. (Citizen)
Employment and Income
Prevailing conditions in the US attract innovative and entrepreneurial immigrants to this country. Once here they establish various businesses and in turn provide employment to even the natives. This also leads to effective utilization of US resources. Increased job opportunities for both the natives and immigrants guarantees increased income for most Americans. This also reduces the dependency ratio among the US population. Increased income on the other hand attracts improved standards of living. In addition, people increase their ability and tendency to save and also invest back into the economy. (Lazear)The gross domestic product grows significantly too. GDP analysis reveals that Mexican immigrants in the US contribute to about 4% of the country’s GDP. Their average productivity stands at only 21% lesser than the national average and about 17% short of that of all other immigrants.
Technology and Research
Statistics reveal that the US technology enjoys spectacular tremendous growth courtesy of dedicated human expertise mainly comprising of immigrants. The US federal government advanced policies that offer very conducive environment for technological growth. IT experts take advantage of this attractive business environment to produce technological wonders. A decade ago, one never envisaged that e business set to attain present growth. This growth in technology helps not only US business fraternity but also state security. The US boasts of highest level of security globally courtesy of advancements in technology occasioned by collective effort from the native and immigrant scientists. A report released indicated that the US IT is dominated by Asian and Canadian immigrants.
Tax and Revenue Collection
Immigrant workers remit tax to the US government at a designed rate. Efficient collection of tax from immigrants increases revenue collection notably. This helps the US government comfortably finance its budget as much as have surplus to help developing nations. This clearly shows that immigrants fetch extra income for the US government. Statistical data shows that close to 500,000 Mexican immigrants lost their jobs during the economic crisis that hit the US. One can just imagine the adverse impact this had in terms of revenue collection.
Immigration brings together people from every corner of the world. Most of the immigrants live with their families in the US and as a result they interact with the natives and also with other immigrants from elsewhere. For instance African immigrants are likely to interact with the Americans or even Asians. In so doing, a lot is shared among these people. This enriches the cultural diversity of the US people as they get to learn new thing practiced elsewhere. This improves the bonding of the different people living here providing a conducive atmosphere for productive economic growth. Social cohesion improves greatly as a result of this. The psychological satisfaction obtained from this condition boosts the morale of workers both natives and immigrants.
Improved International Relation
The policy of the US government accommodating immigrants from all parts of the world plays a vital role in improving the relationship with other state countries. This outcome really counts to the benefit of the US government and economy at large. The existing peaceful relation between the US and other countries enables the US to conduct research on different matters especially scientific in many countries without facing any resistance. These researches later prove important in varied scientific fields such as medicine. The US economy benefits greatly as a result of advanced scientific research occasioned by peaceful coexistence promoted by the policy of the US welcoming immigrants.
The US government and other institutions offer scholarships to bright students from other countries especially the developing countries. These immigrants induce improved standards to the education system of the US fostering its growth. Once qualified, these immigrants get opportunities to work in the US contributing greatly to the economic growth. The education sector enjoys positive growth as well.
In conclusion, immigrants play a notable role in contributing to the growth of the US economy. Various sectors of the economy like labour force, employment and income, education, technology and research, tax and revenue, cultural growth and improved international relations benefit greatly from immigrants.
Related Free Economics Essays
- Honda Research Paper & SWOT Analysis
- Financial Analysis of Netflix
- Accounting Assignment
- Globalization and Technology in the 21st Century Economy
- Marketing Mix Paper
- Business Plan Sportswear
- Zappos Shoes
- Knowledge Management
- Master of Engineering Management
- How does a Business Plan Differ from a Marketing Plan?
What Our Customers Say