The Future Lies In ImmigrationByRaymond D. Matkowsky
In the United States, we had lengthy discussions about the wisdom of certain immigration. European nations have also had similar discussions. Most prominent is Germany. Both nations have serious economic considerations to weigh. However, in the United States it is also who we are. The largest number of immigrants comes to the United States. America is known as the land of opportunity for that very reason.
In 2015, there were more than 40 million migrants living in the United States. This represents about one-fifth of the world’s migrants and about 13.4% of the U.S. population. Seventy-six percent are here legally. The top country of origin for people coming to the United States is India. Immigrants coming from Asia, Europe, Canada and the Middle East are more likely than U.S. citizens to have a bachelor’s or higher degree. The majority of them are highly qualified and skilled. However, they only account for 5% of the workforce and do not make up the majority of any industry. They do not take jobs away from a nation’s citizens. That is a myth. But they do make a nation stronger. That is a fact.
Forty percent of Fortune 500 companies were founded by immigrants or the children of immigrants. Steve Jobs, the founder of Apple, was the son of Syrian immigrants. Immigrants have made the U.S. great and have made the world a better place. A cost /benefit analysis shows that it makes no sense to restrict immigration harshly. It is reasonable to control, but it is unreasonable, anti-productive and foolish to cut off completely.
As a business person, why should you care? Like many things, your wealth depends on the state of immigration. First of all, you need someone to buy your products or services. Baby Boomers are heading into retirement. So are most of the world’s workers. These people have spent thirty years accumulating all of their durable needs. They do not need to make as many purchases as they have in the past. Immigrants and their children are expected to offset this decline. They are the ones that will be adding to the tax rolls, paying for social welfare programs, buying insurance, homes, etc. Everybody will profit from this.
I do not expect generations subsequent to Baby Boomers to pick up the slack. First of all, they do not have the disposable income that Baby Boomers have or had in the past. They are just starting to raise families. Between that, housing, daily expense, lower wages, and student loans they are deeply in debt. An influx of immigrants may be the only way to pick up the slack.
There is only two ways to grow an economy. Advancing productivity or increasing your workforce to make more goods to sell. Advancements in productivity will most likely stem from technical achievements. They will come. Nothing says that some immigrant won’t be the one to develop that achievement. But, they can't be predicted in advance. So that leaves adding to the workforce. But the existing workforce is in decline. Once again, immigrants and their children are expected to offset this decline. If immigration would be choke off completely, the Gross Domestic Product of any country is sure to go into decline and so will probably your business.
Do you want to solve the problems of the future? We need the eyes, hands, and brains of as many people as we can gather. This includes immigrants.
If you have any comments, let us know. Email me at rdm@datastats.com. We will try to print it in our next newsletter.
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