The US economy will grow an additional $7 trillion over the next decade as a surge in immigration creates a larger labor force and increases demand for goods and services, according to a new estimate from the Congressional Budget Office.
The findings from the CBO reinforce commentary from economists that suggests immigration trends in the US have aided the economy in avoiding a recession, as more workers help boost productivity without causing a spike in wage inflation.
"The labor force in 2033 is larger by 5.2 million people, mostly because of higher net immigration. More workers mean more output and that in turn leads to additional tax revenue," CBO director Phillip Swagel said on Wednesday.
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Perhaps some shouldn't get so hysterical about people entering the country.
If I were to take that hodge podge of cherry picked references in someone's popular article as reinforcing anything at face value, I'd have to believe the CBO has turned into a disingenuous shill for wall street, you know the same targets that left of center anti globalists and occupy wall street activists bemoan as destructive to human values.
Leaving aside the whatever argument fits the moment as a ploy, MTA provides us all another lesson in media lying by omission as a virtue, rather than a vice.
Yes, increased immigration expands the economy.
Yes, the economy will be larger in 2033/34 with immigration than without it.
Yes, it can replace many workers that will retire.
Yes, it means higher tax revenue than would be expected otherwise in 2033.
"So what?" we should ask.
You see, all the facts listed above would remain true even if the US doubled it's population by allowing another 330 million of the unskilled with low ability from every corner the backward, uneducated, Islamic, pagan worshipping, hunter gathering, tribal people in the world.
But here is the point: those facts
do NOT mean is that the heritage population is economically better off now through 2033.
And it does not even mean that the average person in 2034, regardless of their national origin, will be on average economically better off with immigration.
A slight deep dip into the cited CBO report revels the author's lie by omission, while the national economy yearly growth will improve by
.2% per year with immigration, but the actual net impact of such immigration will be a reduction in PER CAPITA income of .8% per year.
Here is the carefully hidden fact that unravels the whole of the author's con job:
In short, the added workforce will increase the size of the economy and population, but the economy will not be able to produce enough to even maintain the level of output required per capita to equal that population growth.
I think this to be fairly obvious but for those who struggle to grasp this point perhaps an illustration will be of benefit.
Country A has a population of 100, and an annual growth rate of 10 percent. It's population does not increase so in 10 years each person will have (without compounding) share 100 percent of income growth.
Country B has a population of 100, but imports 100 immigrants to boost its growth. Now it's overall annual growth rate is 11%. In 10 years each person will share (without compounding) 110% of that growth.
Therefore,
Country B has a higher growth rate than Country A because immigration created a larger economy.
But Country B also has twice as many people as Country A to share in that larger growth because of immigration.
Country A has a slightly lower growth rate than Country B without immigration.
But Country A also did not add immigrants to share in that slightly smaller growth.
Country B has a per capita growth of 110/200 over a 10 year period, or .55 percent annual growth per person.
Country A has a per capita growth of 100/100 over a 10 year period, or 1 percent annual growth per person.
In short, you want to live in Country A because bragging about a big economy just because it has a slightly higher growth but a much larger population is meaningless cheerleading.
What matters if is the average growth per capita.
BUT for the author to be honest about this fact would also undo the great con of of immigration cheerleading. So that part of the CBO was left out.
