> Equally striking is what did not happen. Employment of low-skill American workers at losing firms did not increase. Across all firms the effect of foreign hiring on US employment was zero or positive, and in a prespecified subsample of rural firms it was significantly positive, with an elasticity of 0.61, meaning that for every one percent increase in H-2B workers there was just over half a percent increase in US workers.
> "If you don't allow firms to hire immigrant workers, they just become smaller firms," Lewis said. "They are not replaced with US workers. Instead, the output of the firm shrinks, and there are fewer total workers."
This is incredibly important. Everyone who fears immigration is going to take their job should read this and realize that fear is not only false but inverted.
> Everyone who fears immigration is going to take their job should read this and realize that fear is not only false
This is only because immigrants are willing to do jobs at wages and working conditions that locals do not accept. Employers in the Finnish berry industry were just jailed for human trafficking. Meanwhile the same companies have been loudly complaining that no Finn wants to work for them.
That's the question the article was trying to answer.
>>> "If you don't allow firms to hire immigrant workers, they just become smaller firms," Lewis said. "They are not replaced with US workers. Instead, the output of the firm shrinks, and there are fewer total workers."
So, no, if they had no choice they just shrink their operations, it seems. The apparent conclusion is that immigration bans will just force those companies to reduce operations or shut down, instead of paying higher wages to locals.
Japan and now China, have used automation rather than the importation of foreign workforces. China, according to many accounts, is doing quite well compared to other world economies, Japan is not too shabby either and moreover are not suffering from increased effects of importing foreign labor --China is noticing which path is more harmonious for its people.
JoshTriplett · · focus · HN ↗
> "If you don't allow firms to hire immigrant workers, they just become smaller firms," Lewis said. "They are not replaced with US workers. Instead, the output of the firm shrinks, and there are fewer total workers."
This is incredibly important. Everyone who fears immigration is going to take their job should read this and realize that fear is not only false but inverted.
anilakar · · focus · HN ↗
This is only because immigrants are willing to do jobs at wages and working conditions that locals do not accept. Employers in the Finnish berry industry were just jailed for human trafficking. Meanwhile the same companies have been loudly complaining that no Finn wants to work for them.
matheusmoreira · · focus · HN ↗
Unionization demonstrably leverages benefits out of corporations, so I'm inclined to think that immigration bans would have the same effect.
hnfong · · focus · HN ↗
>>> "If you don't allow firms to hire immigrant workers, they just become smaller firms," Lewis said. "They are not replaced with US workers. Instead, the output of the firm shrinks, and there are fewer total workers."
So, no, if they had no choice they just shrink their operations, it seems. The apparent conclusion is that immigration bans will just force those companies to reduce operations or shut down, instead of paying higher wages to locals.
mc32 · · focus · HN ↗