Fence Hopping
There are three important markets in any economy. The labor, goods, and capital markets are the backbones (or the parts of one big backbone?) of any capitalist economy. If there is a shortage or problem in any of these markets, there is a problem in the whole of the economy. Well, there is a problem in the labor market.
As President Bush repeated in his speech today (Dec. 7), immigration is a major part of the labor issue and problem. I'm referring specifically to the Mexican/US border where Mexicans illegally cross in order to find better paying jobs, citizenship for their children, and free health care. Obviously, this drains revenue from the United States, creates ethnic "pockets" of Hispanics who may have trouble adapting to American culture and life, and puts a strain all tax paying citizens.
As with many economic concepts however, there is a trade off. Produce and farm companies need labor. Many Americans are unwilling to do the work that illegal immigrants will do relatively cheaply. This is noted by the Associated Press when Angie Wagner wrote on the 3rd, "Illegal immigrants may number as high as 20 million, and they are gaining a larger share of the job market, according to Bear Stearns in New York. ... this is America's underground economy, and it generates billions of dollars worth of labor each year. Illegal workers come for the jobs, and always find companies eager to hire them.
"The toleration of illegal immigration undermines all of our labor," said Vernon Briggs, a Cornell University labor economics professor. It rips at the social fabric. It's a race to the bottom. The one who plays by the rules is penalized. It becomes a system that feeds on itself. It just goes on and on and on.""
Companies need the labor and illegal immigrants need the jobs. One possible solution is better enforcement along the border. But this does not remove the base problem, the incentive that Mexicans have to get to America and its jobs. As Professor Douglas Massey wrote, "For the past two decades, the U.S. government has pursued a contradictory policy on North American integration. While the U.S. government has pursued more commercial integration through the North American Free Trade Agreement, it has sought to unilaterally curb the flow of labor across the U.S.-Mexican border. That policy has not only failed to reduce illegal immigration; it has actually made the problem worse. ... A border policy that relies solely on enforcement is bound to fail."
To paraphrase Adam Smith, "Incentives matter." We have to remove the reason that people illegally cross the border. As of right now, the best solution seems to be presented by President Bush. Fred Barnes laid out Bush's plan in this article. "Imagine what finally dealing boldly with America's immigration problem could do. Slashing the number of border crossings by illegal immigrants would be only the first step. A guest worker program would provide a lawful way for illegals to work here, solving a job crisis for American business and potentially reducing the incentive for illegal entry. The most difficult part would be creating a path to citizenship for those who came to the United States illegally but before a cutoff date."
So, is that it then? Not really. Politically speaking, we are not over all the obstacles. President Bush plans to include all these measures at once at one of the low points in his popularity in the country. As Fred Barnes also notes, immigration will probably be an important part of the 2006 midterm election. This immigration issue is not over yet ... we seem to have a solution before us, now all we have to do is get there.
As President Bush repeated in his speech today (Dec. 7), immigration is a major part of the labor issue and problem. I'm referring specifically to the Mexican/US border where Mexicans illegally cross in order to find better paying jobs, citizenship for their children, and free health care. Obviously, this drains revenue from the United States, creates ethnic "pockets" of Hispanics who may have trouble adapting to American culture and life, and puts a strain all tax paying citizens.
As with many economic concepts however, there is a trade off. Produce and farm companies need labor. Many Americans are unwilling to do the work that illegal immigrants will do relatively cheaply. This is noted by the Associated Press when Angie Wagner wrote on the 3rd, "Illegal immigrants may number as high as 20 million, and they are gaining a larger share of the job market, according to Bear Stearns in New York. ... this is America's underground economy, and it generates billions of dollars worth of labor each year. Illegal workers come for the jobs, and always find companies eager to hire them.
"The toleration of illegal immigration undermines all of our labor," said Vernon Briggs, a Cornell University labor economics professor. It rips at the social fabric. It's a race to the bottom. The one who plays by the rules is penalized. It becomes a system that feeds on itself. It just goes on and on and on.""
Companies need the labor and illegal immigrants need the jobs. One possible solution is better enforcement along the border. But this does not remove the base problem, the incentive that Mexicans have to get to America and its jobs. As Professor Douglas Massey wrote, "For the past two decades, the U.S. government has pursued a contradictory policy on North American integration. While the U.S. government has pursued more commercial integration through the North American Free Trade Agreement, it has sought to unilaterally curb the flow of labor across the U.S.-Mexican border. That policy has not only failed to reduce illegal immigration; it has actually made the problem worse. ... A border policy that relies solely on enforcement is bound to fail."
To paraphrase Adam Smith, "Incentives matter." We have to remove the reason that people illegally cross the border. As of right now, the best solution seems to be presented by President Bush. Fred Barnes laid out Bush's plan in this article. "Imagine what finally dealing boldly with America's immigration problem could do. Slashing the number of border crossings by illegal immigrants would be only the first step. A guest worker program would provide a lawful way for illegals to work here, solving a job crisis for American business and potentially reducing the incentive for illegal entry. The most difficult part would be creating a path to citizenship for those who came to the United States illegally but before a cutoff date."
So, is that it then? Not really. Politically speaking, we are not over all the obstacles. President Bush plans to include all these measures at once at one of the low points in his popularity in the country. As Fred Barnes also notes, immigration will probably be an important part of the 2006 midterm election. This immigration issue is not over yet ... we seem to have a solution before us, now all we have to do is get there.
3 Comments:
I don't fully agree with your quote that an enforcement based immigration system would always fail. The current system is failing obviously, but we don't have a real "enforcement" based system. Currently, the hands of the Border Patrol are tied in many ways, the use of lethal force being one of those ways. Instead of shipping illegal immigrants back to Mexico, we check 'em out at a hospital, put their kids in school, and take care of them with often better treatment than our own citizens receive - all at the expense of the taxpayer. I am sure that if the U.S. really enforced the system that immigration would not be nearly as big a problem as it is. Of course, that's not to say that it would solve the problem completely. Better enforcing the current system does not eliminate incentives to come to the U.S., but create incentives not to, for example, getting shot when you cross the border. Currently, illegal aliens know that they will be taken care of, but create some doubt and they may think twice before they attempt an illegal crossing. Despite the fact that I support better border enforcement, I also support the president's guest worker program. However, I believe that both systems can and should exist simultaneously. For example, better protected borders would make an incentive for people to get into the country legally, through the Guest Worker program. More protection of the borders would provide better security for the U.S. (keeping out terrorists and such), and funnel more people into the Guest Worker program, thus maximizing the benefits of the said program. Thus, either system is not going to operate as effectively without the other.
1. Hello Cydney! Thanks for the comment. Nice blog, by the way!
2. DJ, I agree. Good point.
3. Max, here is the quote again, "A border policy that relies solely on enforcement is bound to fail." Border security is a large part of the solution, but by itself it is fruitless. I also agree with your point that a guest worker program without better security is a failed system. You're quite right, one system can't exist effectively without the other.
Hello!
Indeed. America has prospered and lasted so long due to God's Blessings. Many countries have tried to copy our laws, but missed their deeper foundation in the word. Those countries are still haveing trouble now. (coughFrancecough)
"How did you get so politically minded?" Ha ha ha! Years of practice and hard work. :) Seriously, its a part of my personality ever since joining debate.
-Matt
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