The case for a better immigration policy and the need for more immigrants
Better immigration policy is needed to realize the economic benefits of immigrants, to organize orderly migration, and to alleviate the pressures it puts on states and cities-more so as the debate over immigration intensifies ahead of the next U.S. presidential election
The economic impact of immigrants
A recent report by the Congressional Budget Office provides some useful insights into the recent immigration surge in the U.S. Since 2020, immigrants, most of whom enter the country without lawful status, have entered the nation in very high numbers. According to the CBO, from 2026, around 8.7 million more people are anticipated to arrive in the country compared to a previous average of almost 200,000 per year prior to 2020. This “immigration surge” has already generated considerable political debate, but as the data shows, the economic impact is largely positive.
First, these newcomers are expected to generate $1.2 trillion in extra federal revenue over the next decade. That number translates to raising all personal income taxes by 1 percentage point. The infusion of immigrants into the American workforce expands the labor force, increases GDP, and makes productivity better. The economic gains that may be harvested in a decade may lead to a $9 trillion increment in GDP.
Need for a Good Immigration Policy
In addition, the immigration system itself badly needs reform, independently of the economic payoffs. It does not recognize the need to draw in skilled workers or to devise an orderly means of admitting economic migrants and asylum seekers. Furthermore, it has to be managed so as to deter ineligible applicants from coming on the border in hope of gaining a spot.
A smart immigration policy would mean increasing legal entry for individuals whose skills are in short supply in the United States. It would also increase efficiency in regulating newcomers at the local government level, which is especially important to border states. A comprehensive reform to the nation’s immigration system could generate more economic benefits for the United States while also lessening both federal and local governments’ fiscal burdens.
Debunking Immigration Myths
One of the important issues related to the discussion with regard to immigrants is their contribution to the economy of the country; actually, most of the people believe that immigrants, especially undocumented ones, are expenses for the economy. But again, at least according to facts, this is not as realized by the CBO. Though migrants have rights to public benefits—in Medicaid and to public schooling for their children, for example—if they have recently immigrated, their long-run contributions to the economy far outweigh such costs. In fact, with regards to the immigration surge, federal spending is supposed to increase by around $300 billion, but overall economic benefits reduce 10-year federal borrowing by $900 billion.
It is also important to remember that the report of the CBO is mainly concentrated on “other foreign nationals,” which means immigrants that had not been selected on the grounds of education or skills-based choice. From this alone, the economic impact is overwhelmingly positive. Imagine how much greater it could have been for a policy of pro-immigration where skilled workers are the priority.
Conclusion: A Call for Pro-Immigration Reform
The United States stands at the crossroads as regards immigration policy. Without question, the country needs border control and orderly immigration. On the other hand, immigrants are needed in the U.S. workforce and by the economy because they contribute to increasing growth and productivity and reducing future labor shortages.
The challenge is implementing a better immigration policy. The U.S. government should allow legal migration, focusing on the skills needed in the labor market and helping states deal with the inflow of new arrival immigrants. A well-managed immigration system will help the U.S. remain one of the global leaders, with an economy that is robust and productive—indeed, helping prove that immigrants far from being liabilities are the country’s national assets.
