Paper Summary:

This paper takes a look at the effects and impacts that immigration might have on the labor and economy in the United States. The claim that immigration leaves natives of the destination country worse-off by, amongst other things, lowering wages for them is briefly discussed. However, the author argues against this point and suggests that immigration can benefit natives through a more efficient market and in some cases, even raise native wages. The paper also provides researches by economists who have found positive correlations between immigration and wages for highly educated natives as well as a small increase in the overall native wage.

From the Paper:

"Most employers strive to maximize production while minimizing costs. Immigration helps business do just that; immigrants offer specialized labor at competitive prices. However, there is controversy concerning whether these competitive prices result in a drop in the native wage or the termination of native jobs all together. The claim that immigration leaves natives of the destination country worse-off is based on misrepresented facts. Immigration does not significantly lower wages for workers in the destination nation but rather benefits natives through a more efficient market and may, in some cases, raise the native wage."

Sample of Sources Used:

• Borjas, George, Richard Freeman, and Lawrence Katz. "Searching for the Effect of Immigration on the Labor Market". American Economic Review. May 1996.
• Card, David and Ethan G. Lewis. The Diffusion of Mexican Immigrants During the 1990s: Explanations and Impacts. National Bureau of Economic Research, Inc. 2007.
• "Economics Costs of Legal and Illegal Immigration." CAIR (Colorado Alliance for Immigration Reform). November 2009. http://www.cairco.org/econ/econ.html.
• Hanson, Gordon. "Immigration's Costs: and Benefits." Wall Street Journal: Econoblog. http://online.wsj.com/public/article/SB115100948305787940- tA5PP0Ya_9U0AlXBQQhnaDyMIYc_20060725.html?mod=tff_main_tff_top. June 6, 2006.
• Peri, Giovanni. The Effect of Immigration on Productivity: Evidence from the United States. http://www.econ.ucdavis.edu/faculty/gperi/Papers/peri_accounting_sept_09.pdf. September 25, 2009.

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