Tuesday, May 01, 2007

What happens when 12 million illegal workers are denied jobs?

What is the practical effect of denying illegal workers jobs...? Economically speaking, wouldn't removing 12 million illegal workers from the labor pool have all of the following effects:


  • Increased competition amongst american businesses for labor. To attract workers, businesses would have to increase wages and benefits to fill positions

  • Student-teacher ratios at public and private schools would decrease, presumably freeing up more money for teacher salaries, and increasing the effectiveness of education

  • Health care costs would fall due to falling demand for emergency room services.

  • Gas prices would fall due to decreased demand

  • Costs of goods and services would increase due to increase labor costs



America needs inexpensive labor, not illegal labor. Guest worker, amnesty, whatever you want to call President Bush's plan for dealing with illegal workers, is a big business bill benefiting companies that break the rules, and penalizes the ones following the law. How is this good policy?

PS. Please don't tell me it isn't practical to deport 12 million people. If we eliminate the incentives (jobs, free education, free healthcare, free retirement, etc...), illegal workers will return home on their own. Why would they stay?

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