Tuesday, February 19, 2013

The USA Immigration Problem - Not Enough Immigration

One of the bigger complaints we hear on immigration, is that the USA lets in more immigrants than any country in the world (oftentimes illegally), and therefore need to 'control' the volume of immigrants coming to our country. Or sometimes the argument is that we have too many 'illegal' immigrants already in our country and need to 'control' them further.

Senator Robert Bennett summarizes our challenge very well: "America's current immigration laws have been a failure. They have had the effect of either keeping out or disrupting the lives of people whom we want in our country. At the same time, they have been ineffective if not unenforceable with respect to those we don't want, such as criminals and those with no job prospects".

Let's take a look at some facts and history. 

The USA used to lead the world in Immigration


In the 19th and early 20th Centuries the USA was THE immigration destination of the world. We had another resurgence a few decades ago in the wake of global events like the conflicts in Vietnam, and economic strife in Mexico. I myself was part of the 1990s peak of international immigrations, escaping the financial and political turmoil in South Africa prior to Nelson Mandela's release.

If you compare the turn of the century 9 million immigrants to percentage of population today, we are far lower in immigrant volume today. And who can argue that these 1900s-era immigrants built America to be the world superpower it has become! Where would America be without this massive influx of immigrants who came to build the American Dream, FREE of restricting, complicated, and costly immigration red tape.

Now let us take a look at where the US stands today. The U.S. has a population of 300 million, so if you look at our current average annual inflow as a percent of population compared to the rest of the world, the chart is quite revealing.

The USA has dropped to 12th on the list. There are two important lessons from this data. First, when you consider the size of our population, we are not the most immigrant friendly country in the world. Australia, Switzerland, Canada, and other wealthy countries do a far better job than we do by more appropriate measures. This also suggests that we are not doomed to become a "poor country" if we move to higher rates of immigration - the top immigration countries in the world have some of the best economies.

Can we boost immigration while remaining affluent?


Are immigrant populations like Israel's 27% untenable in the U.S.? The data does not suggest this is the case. Immigrants already make up over 20% of the population in New York, California, and New Jersey. These states also happen to rank 3rd, 10th, and 16th by median income. Sure, these states have their economic issues, but they have been able to absorb large volumes of immigrants into their populace, while maintaining higher average median income. One of the reasons for this, is that: more immigrants = larger population = booming economy. If this doesn't make sense to you, then observe how the US state with the highest 2012 birthrate (Utah), has one of the lowest 2012 unemployment rates. The only other states lower than Utah have either very small economies, or currently enjoy natural gas and shale oil energy boom times.

So, I contend that instead of 1 million immigrants a year, these numbers suggest we could be letting in as many as 3 million foreigners a year, and we would still not rank in the top 5. If we want to actually be the most immigrant-friendly country in the world we’re going to need to do even better than that.


US immigration policies chase away many skilled laborers


Much of the immigration debate in Washington has centered on the 11 million undocumented migrants in the country. But business and academic leaders are more focused on what they call an even greater threat to the U.S. economy: immigration laws that chase away highly skilled foreigners educated in U.S. universities, often with degrees funded by U.S. taxpayers. Many foreign governments and companies are actively recruiting in U.S. centers of higher education from Cambridge, Mass., to Stanford, Calif., offering top graduates alternatives to the expensive, lengthy, difficult and, some say, even hostile U.S. visa system. Switzerland, for example, has a “science consulate” with a sleek, modern storefront on a street between MIT and Harvard devoted to promoting Swiss companies and universities to top students.

If you don't believe we have inane, anti-job-growth immigration laws, check this out. The most common visa for high-skilled immigrant workers is the H1-B, for foreigners working at a U.S. firm. But immigration law means that the government often denies those visas for people working for businesses they started themselves. So, if Sergei Brin (Russian born) had invented Google in Russia and wanted to bring Google to the USA as a fledgling company, he would have been denied immigrant status. Actually, Sergei had to be naturalized through his parent's PHD educational Visas in this country as a young man.

When you consider that the bulk of the US economy is built on small businesses, what are we saying to immigrants? Can you not immigrate to the USA by fulfilling the American Dream in starting your own business and bringing it to the USA to flourish? Why deny the US economy those start-up industries that drive technology innovation?

My opinion - we have lost the American Dream


As we have choked off immigration, America itself is withering. This is because many of us fail to recognize that a healthy stream of freedom-loving immigrants bring with them the fire of a brighter future, and the tenacity to make something out of nothing. America has become just like any of the other 1st World countries, with stagnant population growth and welfare-driven policies that are trying to protect dwindling resources from an ever-contracting entitlement-minded populace.

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