Examining the many variables that shape the debate over immigration reform leaves one to conclude that not only is comprehensive immigration reform the morally and ethically right thing to do, but it is also the economically right thing to do. The demand for low-wage undocumented workers as firms compete for cheap labor, and an increasingly costly enforcement-only immigration policy, combine to produce a perverse perpetuation of a deepening underground and dangerous movement of people across our borders. When these peoples arrive in the US they are unregulated and unprotected from unfair pay scales and workplace abuses. This practice depresses wages across the labor market, and leads to a lower-productivity workforce and scant long-term investment. Comprehensive immigration reform would remedy these deleterious components of the current structure, and provide a much needed boon to the economy.

Over the past two years, the United States has assumed more debt than at any other time in history. The only way to pay this debt down is to sustainably increase our GDP. Granting citizenship to undocumented workers would diminish uncertainty and risk among undocumented labor, allow for vertical mobility, and spur an increase of long-term investment in education, home-ownership, and small businesses.

The Immigration Reform and Control Act (IRCA) of 1986, enacted during a time of recession, increased real hourly wages of legalized workers by close to 10% within the first 5 years of enactment. Comprehensive immigration reform today would have similar positive effects. According to the Congressional Budget Office’s ten-year projection, comprehensive immigration reform would increase the US GDP by $1.2 trillion, or 0.84%. Wages of legalized workers would increase by approximately $4,405 per year in low-skill sectors, and $6,185 per year in high skill sectors according to that same report. This additional income and consequent consumer spending would be enough to create 750,000 to 900,000 additional jobs. In place of competition for low-wage labor, firms would focus more on productivity and innovation. This refutes the notion that these persons, if naturalized, would be a burden to the economy. In fact, in a deportation and enforcement scenario the US GDP would decrease by 1.46% over ten years without stemming the demand for cheap labor. The deportation process alone would cost over $200 billion over a five year period. This would exacerbate the existing situation and add new costs to the equation.

In short, comprehensive immigration reform is not only critical for ethical and social reasons, but also for economic reasons. Responsible legalization of our undocumented labor will raise the wage floor for all workers, and improve long-term consumer and business investment in our economy. 

The Japanese American Citizens League (JACL) is the nation's oldest and largest Asian American civil and human rights organization (Photo from www.freefoto.com).