alex nowrasteh - texas and immigration: state solutions for a national challenge

8/9/2019 Alex Nowrasteh - Texas and Immigration: State Solutions for a National Challenge

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Immigration in Texas

Free Market Solutions

Alex NowrastehCato Institute


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Texas Scope of Issue All immigrants: 4.3 million 16. ! Naturali"e#: 1. million .6! Immigrant non$%iti"en: &.' million

1(.'! Illegal immigrants: 1.)$& million

6.4!$).6!

Immigrants in e%onom*: +ower in%omes. ,igher em-lo*ment an# +F /. Con%entrate# in %onstru%tion0 agri%ulture0

leisure0 manu a%turing0 arts.


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Three Actions Texas CanTake

2el are re orm0 $ eri *0 5 guestworker isas.

7oal: In%rease net 8ene9ts an##e%rease net %osts o all immigration.

Fis%al e e%ts +ower 8u#get outla*san# taxes.

%onomi% e e%ts In%reasee%onomi% growth.

Firm ex-ansion. ri ate in estment.


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First Action: WelfareReform

;en* non$%iti"ens a%%ess to means$teste#wel are.

Current law legal 5 illegal immigrants. State 8* state.

Constitutional0 eas*0 an# -o-ular. u8li% e#u%ation0 Plyler v. Doe


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Welfare

? @+ /s generall* are ineligi8le or 9 e*ears a ter entr* an# then eligi8le at stateo-tion.B

Dem-orar* Assistan%e or Nee#* Families:

/esi#ent o Dexas0 Chil# un#er 1'0 +ow in%ome0 Minimal work reEuirements0 .S. national0 %iti"en0 legal alien, or

permanent resident

GH1&6 million in &(13.?Non%iti"en ligi8il it* or Fe#eral u8li% Assistan%e: oli%* er iew an# Dren#s0B C/S0 'J&(14.


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!"#erif$ le%troni% eligi8ilit* em-lo*ment

eligi8ilit* eri9%ation s*stem. x%lu#eillegal immigrants rom work or%e.

In%lu#ing A++ $ eri * %he%ks0 H14(a erage %ost -er %he%k.

&! alse -ositi e or legal immigrants. &)0((( #enie# work initiall*.

(.&! error rate or %iti"ens. 3(0((( %iti"ens #enie# work initiall*.


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!"#erif$ %oesn&t Work

Ari"ona man#ate# in &((= or all hires. nl* G)(! o em-lo*ers use# it. Frau#

2here en or%e#0 no Ko8 gain or nati es. At 8est0 tem-oraril* #e%rease# illegal

immigrant -o-ulation 8* 16!. ;oes not turn o ?Ko8s magnet.B ;iminishe# ex-e%te# wage or illegal

immigrants 8* ! in AL. 7ain romillegall* immigrants ell rom & 3! to&41!.

I it works0 it hurts e%onom*. I it #oesn twork0 it hurts e%onom*.


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State or Cit$ 'ased #isas /egional #e%isions 8ase# on lo%al

%ir%umstan%es. States %an attra%t immigrants to 9ll houses0 Ko8s0

start 8usinesses0 or shore u- tax 8ase. ?;etroit isaB an# tah. 7et aroun# Fe#eral -oliti%al #ea#lo%k.

States %an %urrentl* en or%e immigration law more

stri%tl*0 wh* not allow them to li8erali"e it /e-u8li%an states woul# 8e 8iggest users o

this -rogram. Constitutional un#er %urrent inter-retations.


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Conclusion 2el are re orm.

asiest0 8ene9%ial or state s 8u#get an#e%onom*.

$ eri *. Mi##le0 hurts state e%onom* an#

ine e%ti e at -ushing out unlaw ul

immigrants. State$8ase# guest worker isas.

;iO%ult0 8ut a game$%hanger i

su%%ess ul.


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(easuring the FiscalImpact

Pu#ging the 9s%al im-a%t o immigration: Immigration s im-a%t on e%onomi% growth an#0

hen%e0 tax re enues and

Immigration s im-a%t on go ernment outla*s an#wel are use. I in%rease in re enues is greater than in%rease in

outla*s0 the im-a%t is -ositi e.

No Dexas anal*sis or all immigrants0 whatelse %an we look at %onomi% theor*0 anal*ses o other states0

an# the national 9s%al im-a%t o

immigration.


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States: )et Fiscal Impact ofImmigration

Texas, &(( . Illegals ha# net +$424.7 million . Arkansas 0 &(1(. Immigrant in#i i#ual ha# net

-$127 9s%al im-a%t or -$31 million total. (ar$land 0 &((=. No #i eren%e. Indiana 0 &(('. +227.2 million. Florida 0 &((&$&((4. Immigrant in#i i#uals ha#

a erage net +$1,496.67 9s%al im-a%t.

Ari*ona0 &((4. +$941.5 million total.

)e+ erse$ 0 1''). Immigrant househol#s ha#a erage net +$744 fs al im!a t .

)e+ erse$ 0 1''4. No #i eren%e.


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Texas Source for TaxRe-enue

Tax .ercent of State Re-enue, F/0121

ro-ert* 4 .&!

Sales 44.3!

+i%ensesJM JFeesJ ther 1(. !

In#i i#ual In%ome Dax (

Cor-orate In%ome (

alex nowrasteh - texas and immigration: state solutions for a national challenge

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