The US is a nation of immigrants but too much of a good thing can also be a very bad thing too and immigration is no exception. In a nutshell, the Senate’s Comprehensive Immigration Reform bill, if passed by Congress, would result in a catastrophic attack on America’s economy and all wage earning Americans. Here’s why:
Over the next decade, America will need to generate over 75 million new jobs just to meet the needs of new immigration under the Senate’s plan.
The US economy only generated 2.3 million jobs (total net gain) over the last decade, according to the Department of Labor. (1) Yet during that same period, the US imported about 30 million job consuming immigrants and temporary workers, according to the Department of Homeland Security (DHS). (2) Additionally, of the 11.2 million estimated illegal alien population, an estimated 71.4% or about 8 million have also consumed jobs, according to the Pew Research Center. (3).
To summarize, a total of about 38 million jobs have been consumed by legal and illegal immigrants over the last ten years while the US economy only generated 2.3 million new jobs. An estimated 35 million jobs clearly shifted away from higher paid US citizens and were issued to traditionally lower paid immigrants and illegal aliens or were lost—no other explanation settles the issues of Real Unemployment rates, skyrocketing poverty, and even homelessness. (Real Unemployment includes the actual number workers who lost their unemployment benefits and are no longer counted as looking for work).
This massive surplus of labor had the over-all effect of bringing wages down for most Americans under what economist call the “supply and demand” curve, whereby excess labor drives down wages as job seekers become overly plentiful. The result is that wages drop or remain flat amid inflationary pressures such as higher food and housing costs. The long-term effect of the process is that workers’ paychecks lose their buying power, thus the nation’s over-all standard of living is lowered because lower paid workers are unable to consume at previous levels. This negative economic cycle, in turn, drives employers to layoff workers because there is less consumption of the products or services they produce.
The process spirals down GDP and the economy, creating higher levels of Real Unemployment, poverty, and the need for citizens to depend on Welfare and the so called “redistribution of wealth” aka higher taxes. Higher taxes, in turn, have been scientifically proven to spiral down the economy because businesses have less money in which to expand or hire, thus the process feeds the negative economic fall or cycle.
Stock-market rallies (often based on artificial economic reporting factors) have helped to confuse the public into thinking everything is well. For example, earnings by US businesses with foreign or offshore operations are now being tabulated into the Gross Domestic Product metric. This means that even though less goods and services are actually being produced within US borders domestically, the GDP can be reported as having growth—even if the growth is actually coming from GFP or Gross Foreign Product profits. The result is that the US government is deliberately deceiving the citizenry—the public is mislead into believing the US domestic economy is growing when it is actually constricting (only GFP is growing while Real GDP is actually falling) but most Americans seem to buy into the government’s statistical trickery.
What this all means is that US workers on the whole are downgrading their over-all standard of living toward Third World model levels. What is worse is that under the Senate’s Comprehensive Immigration Reform bill, the estimated number of legal immigrant job takers will rise from today’s 3 million to over 7.5 million per year. (4) Over the next decade, America would need to generate over 75 million new jobs just to meet the needs of new immigration under the Senate’s plan. Given that the domestic economy is proven incapable of creating more than about 4 million new jobs yearly at peak performance (an historical fact since the country’s founding and gathering of such statistics), the nation would suffer a job shortage of over 35 million jobs minimum—even under the most aggressive of job creation scenarios.
Under such a job shortage scenario, the poverty rate would skyrocket and between 82 million and 96 million immigrants and citizens could find themselves on Welfare or poverty rolls within a decade–such a poverty reality would officially reclassify the US as a Third World nation under the international classification system.
If Congress passes a similar version of the Senate’s plan, the nation should count on a 25% or higher unemployment rate as new norm.
Meanwhile, the current out of work and under-employed Americans (estimated to exceed 30 million today) will have to be permanently sidelined to the Welfare rolls. Generation Y will have to largely learn how to survive on service sector wages—the lowest paid wage sector in the US economy—a sector where the Labor Department estimates over 70% of all new jobs will come from over the next decade. This means that traditional American Dream living, such as owning a home or new cars, and many other once affordable aspects of US life will be removed from much of our economy.
It also means the US economy is in for a massive readjustment and economic fallout. Government or the so called “nanny state” will be placed under tremendous pressure to increase taxes to pay for surges in poverty. Employers, struggling with falling consumption trend lines will have to shed workers to survive, placing many business in an untenable position whereby any small problem could force their shutdown. In short, America, from New York to San Francisco could find itself looking like blighted towns such as Flint, Michigan as the poverty wave generates due to immigration exploitation.
As we can see, it does not take a rocket engineer to tell us that too much immigration is a bad thing—most Americans, if they will just pause long enough to think about the facts, will see they are cutting their own throats—or more accurately, that US leaders and radical fringe groups and greedy wage-cutting employers (who all lobby for this type of immigration exploitation) are trying to cut their throats for them!
(2) DHS’s 2009 Year Book Of Immigration Statistics, http://www.dhs.gov/xlibrary/assets/statistics/yearbook/2009/ois_yb_2009.pdf and DHS’s 2011 Annual Flow Report. http://www.dhs.gov/xlibrary/assets/statistics/publications/ni_fr_2010.pdf
(3) Pew Research statistics, http://www.fairus.org/issue/illegal-aliens-taking-u-s-jobs
(4) Christian Science Monitor, http://www.csmonitor.com/USA/DC-Decoder/2013/0425/Immigration-reform-How-many-new-immigrants-are-we-talking-about/(page)/2