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Illegal Immigration and Resource Allocation Slobodan Djajić International Economic Review, Vol. 38, No. 1 (Feb., 1997), pp. 97-117 http://www.jstor.org/sici?sici=0020-...3E2.0.CO%3B2-T The study found that an increase in the employment of illegal immigrants in the short-run had positive impact on high-skilled workers. However, it might have positive or negative impact on low-skilled workers depending whether they were employed in the industries that the illegal immigrants compete. In the long-run, with interoccupational mobility of native workers, an increase in the inflow of illegal foreign workers had no effect on the wages of the natives. In addition, all native workers enjoyed an increase in real wages: skilled workers benefited from the reduction of price of intermediate goods employing illegal immigrants, low-skilled workers benefited from the expansion of the economy leading to an increase of demand for unskilled workers. |
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Do you have even a shred of proof that the $1600 was passed on to the consumer instead of being pocketed by the builder? I'd like to see that please. Do you have a study that proves that the use of cheap labor domestically actually lowers consumer prices and how much? And do those savings outweigh the overall increase in the taxes due to the illegal labor being here? I love to read, so feel I'd like you to back up your statements with data, numbers, you know. (second time asking)
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Every week to 10 days, another coal-fired power plant opens somewhere in China. |
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I have a study for you. It was given as Testimony before The Subcommittee on Immigration, Committee on the Judiciary, United States House of Representatives, May 17, 2007. I want to see something factual, backed up by data, like this report showing in dollars and cent the benefit you speak of.
http://judiciary.house.gov/media/pdfs/rector070517.pdf
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Every week to 10 days, another coal-fired power plant opens somewhere in China. |
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Liveforadream,my Knowall Friend
My People Did Not Come Over Here On A Boat Instead They Met It At Plymouth Rock.that Is Not Hearsay That Is Fact,something That Is Fact We (native Americans) Should Have Sent You All Back Where It Was You Came From And Not Offered Kindness To So Called Imagrants.without The Indians Knowledge The Whites Would Have Starved To Death, What Fools To Come With Not Enough Food,to Leave A So Called Great New World Without Direction Or The Simple Needs It Takes To Live In A Foriegn Land. Just To Think Money And Force Could Not Buy Your People Trust Just As It Does Not Today For All You Imagrants Go Home And Be Great For Your People Where Ever It Is You Come From And Do Not Mistake Kindness For Weakness.for We Are Still Here,we Are Still Srtong ,we Are Still Proud And Will Never Run And Hide Again. By The Way Do You Know What Promises And Facts Are?!!!!.there Is A Difference |
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Try that or try google scholar then type in: "Illegal Immigration and Resource Allocation" I just reported the findings. The methodology and data sources were in the study. You can take a look into it to see the details of it. Quote:
From that information, I can infer that any reduction in the input costs overall that most firms can get access to (in this case cheap labor source) will lead to the reduction of price. The reason why someone does not need data to know this is because this is an established principle in microeconomics that has been proven with empirical evidence and has become orthodoxy. I am not to say that someone that is right today will always be right tomorrow, but I am saying that this is a proven fact with our current knowledge - economists are, within the realm of practical possibility of today, pretty certain until new research proves otherwise. It is an implicit assumption. To require data of every case is intellectually paralyzing just like to require the data of the every dimension of the object every time to demonstrate the validity of gravity. To put it in a different way, showing that why would firm behave that way, we can use the logic Adam Smith succinctly captured: "It is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own self-interest. We address ourselves, not to their humanity but to their self-love, and never talk to them of our own neccessities but of their advantages." Think about this, if you are a firm in the construction industry; you save $1,600 because you get access to this pool of cheap labor. However, the firms next to you get similar access to the same source of cheap labor, meaning he save roughly $1,600 as well. In order to compete for the same pool of consumers, your competitors will charge a lower price, forcing you to charge a lower price until it reach the market equilibrium where no one can charge a lower price and make a profit. Quote:
As for the costs and benefits of illegal labor, you can go back to the study above. Economics is science (even though it is still very young and there are many things economists don't know), a good study is as good as many studies. Quote:
The welfare of a nation is not determined by the positive balance sheet of the government, but by productivity. Last edited by liveforadream; 05-16-2008 at 06:49 AM. |
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