With illegal migration surging across our southern border and causing alarm among many Americans, illegal alien advocates are attempting to put a positive spin on this catastrophe by claiming that a surge of aliens entering the workforce will help fight inflation by lowering wages.
John Carney, writing for Breitbart Business Digest, denies this claim. It is extremely ironic, he notes, that these advocates, both liberal and conservative, now say that immigration pushes wages down. In the past they always maintained that immigration didn’t have this effect. Evidently, they’ve changed their tune because it is currently in their self-interest to do so.
Carney cites two reasons, among others, as to why the inflation argument isn’t valid. Immigration does reduce wages, he affirms, but the its greatest impact is on workers whose incomes are already low. Their meager wages do not contribute significantly to overall price levels. Secondly, what ever effect the migrants have on lowering prices is offset by the fact that their demand for goods and services makes prices rise.
Carney affirms without qualification that “Immigration is not going to bail America out of our inflation mess.”
Read more at breitbart.com