Wages Already Rising As Deportations Increase

You have to wonder: How many liberals realize that they’re defending the interests of big business when they defend illegal immigration? While their motivation for supporting illegal immigration is different (big business wants cheap labor and liberals hate American culture), no liberal can deny that they’re indirectly helping to subsidize big business.

The economics are simple, really. Even if you don’t buy the argument that illegal immigrants “steal” American jobs, you can’t deny that they compete with American laborers. And what happens when there’s a fixed supply of jobs and a surplus of workers? Wages go down. Who do you think is more likely to work for low wages: someone born and raised in America, or someone from a third world country across the border?

While a physical border is still a few years off, the Washington Post bemoaned President Trump’s “invisible border” the other day – or how he’s taken action behind the scenes on combating illegal immigration. How? By beefing up border security, increasing ICE raids, increasing penalties for hiring illegal immigrants, and simply enforcing laws already on the books (most of which were passed as bipartisan pieces of legislation).

https://www.youtube.com/watch?v=8jTIDeCq0Bc

The effects are already visible in some areas. According to Breitbart, “A huge Chicago bakery is now hiring Americans at higher wages, following a federal immigration enforcement action which forced the firing of 800 illegal immigrants. The forced departure of the illegal-immigrant workers at the Chicago-based Cloverhill bakery was a financial shock to the Swiss company which bought the bakery from a U.S. investment group in 2014. The illegals comprised one-third of the bakery’s employees, so U.S. sales fell by seven percent when the enforcement forced the company to rebuild its workforce by hiring Americans, the CEO told Wall Street analysts, according to Bloomberg.”

And after the transition following the purge of illegal workers, things are looking up for the remaining legal worker base, who are earning higher wages.

But just how much are illegals harming wages?

A study by the Center for Immigration Studies revealed that if immigrants increased the total number of workers in a skill group by 10 percent, the wage trends observed over the past 50 years would suggest that the weekly earnings of working men would fall by 3.7 percent. Illegal labor tends to concentrate in low-skilled, low-paying labor as is. 

The effects are most concentrated among the most vulnerable in society economically, namely those without even a high school diploma. Based on estimates of immigrant inflows from 1990-2010, the wages of high school dropouts were roughly $1,300 less than what it would be in absence of foreign labor. Any liberal who doesn’t think that is significant should, in their words, “check your privilege.”

So far, so good.

Next up: one big, beautiful wall.

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By Matt

Matt is the co-founder of Unbiased America and a freelance writer specializing in economics and politics. He’s been published... More about Matt

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