Monday, June 06, 2005

Some hard truths about immigration

Robert J. Samuelson:

Consider a new study of Mexican immigrants by Harvard economists George Borjas and Lawrence Katz. Mexicans are now the single largest group of U.S. immigrants, 30 percent of the total in 2000. Indeed, the present Mexican immigration "is historically unprecedented, being both numerically and proportionately larger than any other immigrant influx in the past century," note Borjas and Katz. In 1920, for example, the two largest immigrant groups—Germans and Italians—totaled only 24 percent of the immigrant population.

Some Mexican-Americans have made spectacular gains, but the overall picture is dispiriting. Among men, about one in 20 U.S. workers is now a Mexican immigrant; in 1970, that was less than one in 100. The vast majority of Mexican workers lacked a high-school diploma in 2000 (63 percent for men, 57 percent for women). Only a tiny share had college degrees (3 percent for men, 5 percent for women). By contrast, only 7 percent of native-born U.S. workers were high-school dropouts and 28 percent were college graduates in 2000. Mexican workers are inevitably crammed into low-wage jobs: food workers, janitors, gardeners, laborers, farm workers. In 2000, their average wages were 41 percent lower than average U.S. wages for men and 33 percent lower for women.

What's particularly disturbing about the Borjas-Katz study is that children of Mexican immigrants don't advance quickly. In 2000, Americans of Mexican ancestry still had lower levels of educational achievement and wages than most native-born workers. Among men, the wage gap was 27 percent; about 21 percent were high-school dropouts and only 11 percent were college graduates. Borjas and Katz can't explain the lags. "What's the role of culture vs. lousy [U.S.] schools?" asks Katz. "It's hard to say." Borjas doubts that the cause is discrimination. Low skills seem to explain most of the gap, he says. Indeed, after correcting for education and age, most of the wage gap disappears. Otherwise, says Borjas, "I don't know."

But some things we do know—or can infer. For today's Mexican immigrants (legal or illegal), the closest competitors are tomorrow's Mexican immigrants (legal or illegal). The more who arrive, the harder it will be for existing low-skilled workers to advance. Despite the recession, immigration did not much slow after 2000, says Camarota. Not surprisingly, a study by the Pew Hispanic Center found that inflation-adjusted weekly earnings for all Hispanics (foreign and American-born) dropped by 2.2 percent in 2003 and 2.6 percent in 2004. "Latinos are the only major group of workers whose wages have fallen for two consecutive years," said the study. Similarly, the more poor immigrants, the harder it will be for schools to improve the skills of their children. The schools will be overwhelmed; the same goes for social services.

THE LABOR MARKET IMPACT OF HIGH-SKILL IMMIGRATION

THE EVOLUTION OF THE MEXICAN-BORN WORKFORCE IN THE UNITED STATES

The immigration problem

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