REMI PRESENTATION

“imagine all the people series” - Brazilian Foreign-Born Immigrants in Boston

Alvaro Lima – Director of Research - BRA

BACKGROUND OF THE PROJECT “imagine all the people” is a series produced by the Boston

Redevelopment Authority Research Division for the Mayor’s Office of New Bostonians that highlights immigrant communities in Boston and their contributions to Boston’s social, cultural and economic life.

As part of the series and as one of the top ten foreign-born communities in Boston, Brazilian community was a first community we analyzed.

3%

3%

3%

4%

4%

4%

6%

7%

8%

10%

0% 2% 4% 6% 8% 10% 12%

Brazil

Ireland

Colombia

Cape Verde

Jamaica

El Salvador

Vietnam

China*

Dominican Republic

Haiti

*China mainland only, excludes Hong Kong and TaiwanSource: U.S. Census 2000, BRA Research Division Analysis

BOSTON’S TOP TEN COUNTRIES OF ORIGIN

BACKGROUND OF THE PROJECT (CONT.) For the analysis of Brazilian foreign-born population we used

2000 Census Public Use Microdata (5%) Sample (PUMS), and performed special tabulations in order to find out the main socio-demographic characteristics: POPULATION CHARACTERISTICS EDUCATIONAL ATTAINMENT OCCUPATIONS SELF-EMPLOYMENT

REMI was used to calculate the economic contributions of Brazilian foreign-born people and Brazilian owned businesses in Boston.

CONUSMER SPENDING IMPACT ENTREPRENEURSHIP IMPACT

•POPULATION CHARACTERISTICS

Over 7,000 foreign-born Brazilians live in Boston.

Most are male (53%), single (45%) and 50% are between the ages 20 and 34 – a greater portion of young adults than in the general Boston Population (33%)

Fifteen percent of Brazilian foreign-born immigrants in Boston are U.S. citizens by naturalization.

53%47%

Brazilians by Gender

MaleFemale

9%

50%

41%

Brazilians by Age

0-19 20-34 35+

15%

85%

Brazilians by Citizenship Status

Naturalized CitizensNon Citizens

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

BRAZILIAN POPULATION BY CENSUS TRACTS

Source: U.S. Bureau of Census, BRA Research Division Analysis, Digital Cartography &

GIS

•EDUCATIONAL ATTAINMENT

Brazilians are more likely to hold a high school diploma (28%) than all native born (25%) and foreign-born (22%).

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

Less than High School

Some High School High School Diploma Some College Associate Degree Bachelor's Degree Graduate/Pro-fessional Degree

or Higher

0%

5%

10%

15%

20%

25%

30%

Educational Attainment for Population 25 Years and Older

Brazilians Foreign-Born Native-Born

•OCCUPATIONS

A little over two thirds of Brazilians in Boston are employed. The labor force participation rate of Brazilians is 75%, compared with 63%

for the rest of the population. The unemployment rate among Brazilians is 3%, compared to 7% citywide.

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

Managerial and Professional

Technical, Sales & Administrative

Support

Service Occupa-tions

Construction, Extraction &

Transportation

Production Occupations

Community and Social Services

Occupations

Arts, Design, Entertainment, Sports and Me-dia Occupations

Other0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Occupations for Population 25 Years and Older

Brazilians Foreign-Born Native-Born

•SELF-EMPLOYMENT

More than 13% of Brazilians in Boston are self-employed, a rate more than three times that of the foreign–born population and almost four times the self-employment rate of the native population.

A high self-employment rate may be explained by high rates of financial capital among Brazilians as well as the fact that they emigrated from a country that also has a high self-employment rate.

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

Self Employed 0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

Share of Self Employed WorkersBrazilians Foreign-Born

ECONOMIC IMPACT USING REMI POLICY INSIGHT

Two-Part Analysis

Impact of Consumer Spending by Brazilians in Boston

Impact of Brazilian Owned Businesses in Boston

• IMPACT OF CONSUMERS SPENDING

Brazilian immigrants contribute to Boston’s economy through their spending.

REMI calculated the value of goods and services consumed on each dollar spent.

Brazilians spend, from their after tax earnings, nearly $132 million in Boston, annually.

These annual expenditures: Generate a regional product of $124 million in local expending; Generate $36 million in State and Federal taxes; Create 1,104 indirect jobs in the local economy.

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

DATA USED TO CALCULATE TOTAL CONSUMER SPENDING

Sources:

Population 7,173

Average Household Size (National Average) 2.7

Number of Households 2,657

Per Capita Income (2005 Estimates Based on National Data) $ 24,714

Average Household Income $ 66,728

   

Total Gross Income $ 177,274,143

Amount of Income Sent Back to Brazil* $ 10,902,960

   

Amount of Gross Income Retained Locally $ 166,371,183

Effective Amount of Income Spent in Boston (After Taxes) $ 132,334,548

* $342 / month per household sent back to Brazil

Sources:

 REMI Variable Detail 

Percent of Total Expenditures

(Consumer Exp Survey) 2005 State Sales Tax Total

Consumer Spending (amount) Vehicles and Parts 0.134 16,846,188 886,641 17,732,829.39

Consumer Spending (amount)Computers and Furniture 0.029 3,645,817 191,885 3,837,701.88

Consumer Spending (amount) Other Durables 0.014 1,760,049 92,634 1,852,683.67

Consumer Spending (amount) Food and Beverages 0.147 19,453,179 398,790 19,851,968.67

Consumer Spending (amount) Clothing and Shoes 0.039 5,161,047   5,161,047.36

Consumer Spending (amount) Gasoline and Oil 0.028 3,705,367 389,064 4,094,430.91

Consumer Spending (amount) Fuel Oil and Coal 0.01 1,323,345   1,323,345.48

Consumer Spending (amount) Other Non-durables 0.017 2,249,687 112,484 2,362,171.68

Consumer Spending (amount) Housing 0.296 39,171,026   39,171,026.12

Consumer Spending (amount) Household Operation 0.018 2,382,022   2,382,021.86

Consumer Spending (amount) Transportation 0.01 1,323,345   1,323,345.48

Consumer Spending (amount) Medical Care 0.048 6,352,058   6,352,058.29

Consumer Spending (amount) Other Services 0.21 27,790,255   27,790,255.02

           

TOTAL   1 131,163,387 2,071,499 132,334,548

           

Government Spending state   9,517,013    

Suffolk     1,016,945    

4 Co. Region     4,955,655    

REMI INPUTS - IMPACT OF BRAZILIAN CONSUMER SPENDING

REMI RESULTS – IMPACT OF BRAZILIAN CONSUMER SPENDING

Sources:

Number of Jobs Supported in Massachusetts 1,104

Gross Regional Product Contribution (Massachusetts) $ 123,646,096

Total Output Contribution (Massachusetts) $ 203,505,300

Indirect Personal Income Generated (Massachusetts) $ 38,060,000

   

Total State Income Tax Paid $ 7,445,514

Total State Sales Taxes Paid $ 2,071,499

Total Federal Income Taxes Paid $ 26,591,121

• IMPACT OF BRAZILIAN OWNED BUSINESSES

Brazilians contribute to Boston’s economy through entrepreneurship.

They own more than 150 small businesses in the greater Boston area specializing in restaurants, grocery, travel and insurance among other industry sectors.

Combined these businesses: Represent more than $40 million in annual sales; Employ more than 400 people; Contribute $24 million to the regional product; Contribute $2 million in State and Federal taxes; Contribute to a total of 653 direct and indirect jobs to the region.

Sources: U.S. Census 2000, PUMS (5%) Sample, BRA Research Division Analysis

DATA USED TO CALCULATE IMPACT OF BRAZILIAN OWNED BUSINESSES

Sources:

No. of Businesses 150

Total Number of Employees (Direct Jobs) 400

Restaurants 200

Grocery Stores 100

Travel Agencies 60

Insurance Agencies 40

REMI INPUTS – IMPACT OF BRAZILIAN OWNED BUSINESSES

Sources:

Variable Detail 2005

Industry Employment (Industry Sales / Int'l Exports) (number) Food services, drinking places -200

Industry Employment (Industry Sales / Int'l Exports) (number) Retail trade -100

Industry Employment (Industry Sales / Int'l Exports) (number) Administrative, support services -60

Industry Employment (Industry Sales / Int'l Exports) (number) Ins carriers, rel act -40

Government Spending (amount) State -$181,855

REMI RESULTS – IMPACT OF BRAZILIAN OWNED BUSINESSES

Sources:

Total Number of Direct and Indirect Jobs Supported in Massachusetts 653 2005

Non-Direct Jobs Supported in Massachusetts 253

   

Total Gross Regional Product Contribution in Massachusetts $ 60,719,065

Non-Direct Gross Regional Product Contribution in Massachusetts (Non-Brazilian) $ 23,542,230

Total Output Contribution in Massachusetts $ 108,868,685

Non-Direct Output Contribution in Massachusetts (Non-Brazilian) $ 42,210,987

Total Personal Income Generated in Massachusetts $ 26,180,000

Non-Direct Personal Income Generated in Massachusetts (Non-Brazilian) $ 10,150,611 -200

    -100

Total State Income Tax paid (Non-Direct/Non Brazilian Workers) $ 426,326 -60

Total State Sales Taxes Paid (Non-Direct/Non Brazilian Workers) $ 25,504 -40

Total Federal Income Taxes Paid (Non-Direct/Non Brazilian Workers) $ 1,522,592 -$181,855

•TOTAL ECONOMIC IMPACT OF BRAZILIANS

Sources:

Total Number of Jobs Created 1,757

Gross Regional Product contribution (Massachusetts) $147,188,326

Total Output Contribution in Massachusetts $245,716,287

Total Non-direct Personal Income Generated in Massachusetts $ 48,210,611

   

Total State Income Taxes Generated $ 7,871,840

Total State Sales Taxes Generated $ 2,097,003

Total Federal Income Taxes Generated $ 28,113,713