Thu, 18-Aug-2022
Thursday 23 Apr 2020 , 3:57 pm

Consequences of Tump’s Order to Suspend Immigration Temporarily

With the order of temporary suspension on immigration, many have critisized the decision while Americans have seen supportive to the government. With increasing boomer populations and less-working population, how will this decision effect on the U.S. economy?
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The United States President Donald Trump on Wednesday signed an executive order to suspend immigration temporarily into the U.S. during the COVID-19 outbreak.

The order will be in effect for 60 days, but as per the text, there is a possibility for an extension. The order mentions, "Whenever appropriate, but no later than 50 days from the effective date of this proclamation, the Secretary of Homeland Security shall, in consultation with the Secretary of State and the Secretary of Labor, recommend whether I should continue or modify this proclamation."

This decision has received harsh critics from analysts but the Americans are strongly supporting the decision to restrict immigration as the country is fighting against the coronavirus crisis. As per the recent USA Today/Ipsos poll, approximately 80% of Americans who polled said that they are in favor of temporary pause on immigration. As the country is facing challenges regarding coronavirus, recent Pew Research Center poll resulted that nearly 81% of Americans consider mass immigration as a threat.

It has always been believed that it would be so unfair to allow Americans out of work and those jobs to be replaced by immigrant labor brought into the United States. Also, mass migration of low-skilled labor harms historically disadvantaged Americans. Especially, Americans without a college degree are harmed by an influx of foreign labor.

From the initial stage of the pandemic, Donald Trump is seen concerned about the U.S. economy and job securities of Americans. “This would ensure that unemployed Americans of all backgrounds will be first in line for jobs as our economy opens,” Trump said at the coronavirus news briefing.

Trump added, “It would be wrong and unjust for Americans laid off by the virus to be replaced with new immigrant labor flown in from abroad.”

But, immigrants are not only just workers but also consumers who pay for goods and services. Experts believe that this mass deportation will shrink overall economic output. The Center for American Progress estimated this move by Trump’s Government would reduce the U.S. gross domestic product (GDP) by about 1.4%.

Plus, it this decision extends for the long period, researchers predict that American farmers will face difficulties to find replacement of workers. And that’s why, to fit the insufficient labor supply, they would be forced to reduce/cut their production.

Immigrants add approx. $1.6 trillion to the America’s economy every year. Of that contribution, $35 billion is a net benefit to the companies they work for and communities where they live with.

As per the National Research Council, immigrants cost the government between $11.4 and $20.2 billion per year. They use that more in services than they pay in taxes. On the other side, they cost the U.S. government less than native Americans with similar qualification and work experiences.

Immigrants pay taxes into the services like healthcare and social security. It helps to provide essential support to senior population, depending on working population. As, the population of these senior citizens is increasing linearly and there is shortage of working-age population to support the system. To fill this gap, immigrants play vital role in the system for improving the age dependency ratio.

However, suspension of immigration is good or bad for the U.S. economy is very hard to decide at the moment. But, analysts suggest that the immigration policies of the U.S. need comprehensive reforms as domestic and international policies are directly depend of these policies. If the implantation is not planned well, it may harm the America’s economy.

Neha Mule

Neha writes articles on sectors including medicine, food, materials, and science & technology. A qualified statistician, she has the ability to observe and analyze the trends in global markets and write compelling articles that help CXOs in decision making. She is a bookworm and loves to read fiction, lifestyle, science and technology. Neha comes with 6 years of experience in content writing and editing that involves blog writing, preparation of study materials and OERs.

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