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U.S. needs more legal immigration, not less

Over the past three years, the surge of unauthorized immigrants crossing the southern border has overwhelmed local communities, strained the resources of big cities and become a major political liability for President Joe Biden. Worse, the government’s failure to stop illegal entries is draining public support for immigration of all kinds — and in the process threatening America’s long-term economic growth.

Of the 7 million people apprehended at the southern border since the start of Biden’s presidency, some 2.4 million have been released into the U.S. to await court hearings on their eligibility for asylum. That’s more than triple the number allowed into the country under former President Donald Trump. The accompanying spike in asylum-seekers relocating to northern cities has helped make immigration the top concern of voters heading into the presidential election. In his State of the Union address, Biden endorsed bipartisan border-security legislation that has broad public support but has been blocked by Republicans.

Given the government’s failure to control the border and impose order on the system, it’s unsurprising that public attitudes toward immigration in general have soured. The longer the chaos persists, the harder it will be to build support for the sensible policies the U.S. needs to compete. That’s a worrisome outcome, given the evidence about how immigration strengthens the U.S. economy.

Estimates released last month by the Congressional Budget Office show that higher-than-projected immigration — due to both the record influx of asylum-seekers and the post-pandemic reopening of legal pathways — will expand the U.S. labor force by 5.2 million workers over the next decade. That’s because more than 90% of adult foreigners coming to the U.S. are under 55, compared to 62% of the overall adult population. These workers should boost gross domestic product by about 0.2 percentage point per year over the next decade, adding $7 trillion to the economy and contributing an extra $1 trillion in taxes. Without this added growth, the projected federal deficit in 2034 would be 7.3% of GDP rather than 6.4%.

These findings add to other research on the benefits of immigration. New migrants currently account for 80% of U.S. population growth; by 2042, they’ll be the source of all of it. Once integrated into the economy, immigrants fuel growth by filling labor shortages and allowing companies to expand, revitalizing communities, boosting home values and creating new businesses.

Yet those contributions need to be balanced against the downsides of admitting unauthorized migrants on such a scale. Most of the income and job gains flow to immigrants themselves during their first few years in the country, while the rest of society bears the costs in the form of depressed real wages for unskilled workers and increased demand for services like education, health care and temporary housing. There’s some evidence that this dependence diminishes over time — a recent government report found that from 2005 to 2019, asylum-seekers, refugees and their families cost $723.4 billion in government services, while contributing $739.4 billion in tax revenue — but the short- and medium-term costs are still huge.

What’s needed is a more orderly system that greatly restricts unauthorized entries while expanding legal pathways for immigrants to come to the U.S. to work. Funding for border security agencies and asylum processing should be increased and standards should be toughened, with applicants required to file claims before reaching the border. At the same time, the U.S. should boost the number of workers admitted legally in high-need fields that face labor shortages, such as nursing, home health care and farming. Reallocating visas to prioritize technical skills and expertise, rather than family ties, and eliminating per-country caps on employment-based green cards would attract global talent, spark innovation and boost competitiveness.

Such reforms to expand legal immigration may be a hard sell until the border crisis is solved. For the sake of the country’s future, lawmakers have a responsibility to get serious about both.

The Bloomberg Opinion Editorial Board publishes the views of the editors across a range of national and global affairs.

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