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Research Thesis No. 1

Principle of Economics

Friedrich Hayek

Research Report No. 1

December 2011

Two sides of a coin:

Exploiting two sides of illegal immigration effect on U.S

By

Yeonkyung Compean

Two sides of a coin

Exploiting two sides of illegal immigration effect on U.S

By Y. Compean

TABLE OF CONTENTS

Abstract3

Chapter One – Introduction4

I. Statement of Research Interest4

II. Definition of the Research Thesis4

III.Expected Findings and Significance of Research5

IV.Methodology6

Chapter Two: Background Informations7

I.Definition of the Illegal Immigrants7

II.Historical Background of the Illegal Immigration8

III.Demographic background of illegal immigrants.10

Chapter Three- Issues raised by illegal immigrants & collaterals13

I. Issues regarding illegal immigrants in United States and analysis13

Chapter Four- Conclusions 20

I. Conclusion20

II. Appendix & Bibliography23

December 2011

Comments are welcome

Two sides of a coin:

Exploiting two sides of illegal immigration effect on U.S

Abstract

This dissertation examines the turmoil and strife of the controversial issue of illegal immigration in United States. History of United States began and ends with immigration to U.S soil. Incessant immigrants from all over the world have built what is called the United States nowadays. However, at the same time, issues regarding new immigrants started to rise after 1795, among original population regarding admittance of new population. People who could not meet the requirement started to land on U.S. under the radar of U.S. government and their status in U.S. was and is what is called ‘illegal immigrants.’

Original population began to worry about scarcity of their resources including remaining number of job openings, wages, and public resources. In addition to the resource issues, people’s concern spread to other social issues such as crime. Since, officially, illegal immigrants were not under control of the U.S. government, people started to fear that illegal immigrants might engage in unlawful activities more than those of people who are under government’s radar.

In this thesis, the purpose is opted to disclose whether people’s concern regarding issues mentioned above is based on legitimate reasoning or just a pure myth of unknown.

In order to uncover the socioeconomic role of illegal immigrants within the United States, analogical methods will be used to generate the result as well as to assess legitimacy of rationale behind known aspects of following three major issues:

· Change in wages and job distribution with corresponding Impacts

· Government spending & public costs on illegal immigrants

· Illegal immigrant population engaged in crime

Listed issues will be assessed in an analytical manner to deduce explicit notion in conclusion part of the paper.

Yeonkyung Compean

University of Rochester

Chapter One

Introduction

I. Statement of Research Interest

Issues regarding illegal immigration have been controversial in our society including being one of the most controversial topics of political issues. Known sides[footnoteRef:1] of the issue regarding illegal immigrants’ effect in the U.S society has been controversial over a century. [1: Illegal Immigration Statistics. "Illegal Immigrants Pros and Cons – What You Should Know." 15 July 2010. Illegal Immigration Statistics. Illegal Immigration Statistics. http://www.illegalimmigrationstatistics.org/category/pro-illegal-immigration-statistics/. 1 December 2011. .]

After adopting Immigration Act[footnoteRef:2] of 1924, (Pub. L. 68-139, 43 Stat. 153, enacted May 26, 1924) throughout 1900’s, the U.S. government’s ceaseless effort to legislate restrictions on constant influx of immigrating population to U.S. began. [2: Goverment, U.S. "The Immigration Act of 1924 (The Johnson-Reed Act)." 1924. U.S. Department of state - Office of the historian. Document. 1 December 2011. .]

It is expected that illegal immigration has impact on U.S economy. Like any other issues, there are two major streams to the core of the issue, also known as “pros and Cons” or “yay or nay,” but the reasoning behind both sides varies. On this reports, scope of the range will only be pertaining to those issues regarding economic issues. The goal of the research paper is to show result from studies on each major points[footnoteRef:3] regarding economic effect regarding illegal immigration in U.S. [3: Wage and Impacts, crime rates, net cost in terms of social services, (education, public service, tax issues) Job distribution, change in Supply and Demand, and subfields accordingly.]

II. Definition of the Research Thesis

This thesis will analyze some of the issues over amnesty towards illegal immigrants in regards their effect on U.S. economy. In order to analyze these issues, first, I will study issues regarding economic and social concerns regarding illegal immigrants. Then I will compare research data and statistics regarding illegal immigration issues and socio-political economic situations. Then, I will compare the gathered data and statistics over major issues those will be specified in latter chapter in order to have better understanding in first, whether illegal immigration regarding subject matter has impact on U.S. economy and second if reasoning behind each claims had any fallacy in the process of establishing results. The results of this research will yield information that can help develop future policies to benefit the U.S. population including both illegal and legal citizens and the U.S economy issue in general.

Scope of the research is to analyze socioeconomic effect generated by illegal immigrants within United States because I believe that if we find adequate conclusion to each issues, not only will we find a way to have better understanding in issues objectively instead of being led to biased conclusion. The result of this thesis will also help to find a way to understand the U.S. economy in regarding field. The information might also give somewhat relative ideas to countries that are also having illegal immigrant issues, such as Switzerland or E.U.

In addition to examining some of the major controversy, this thesis will also provide some background information over issues regarding illegal immigration in United States. This information will be followed by a profile on social situation of United States, sketching the cultural and political side of some major claims[footnoteRef:4] and explanation of the implications and consequences of illegal immigration. I will also discuss the role of the U.S. government’s control over policies on immigration and unintended consequences derived from it. Finally, I will conclude the thesis by stating analytic result and supporting reasons. [4: Wage and Impacts, Job distribution, Crime rates and Cost to the public which are listed in Chapter 3.]

III. Expected Findings and Significance of Research

It is true that there are numerous approaches even within a same field and result can vary. However, this thesis will focus on using economics approach to topics. The outcome will depend on data and statistics which can easily be presented in numerical system. The analysis on outcomes will be pertaining to the interpretation of numbers from data, which will also be shown in graphs and charts.

First, it is very easy to commit fallacy of composition[footnoteRef:5] and division[footnoteRef:6]. It is true that most social science fields are hard to make definitive conclusion since it requires human behaviors which are impossible to be foreseen. Therefore, researches conducted in social science field are rather eclectic. For this very reason, conclusions from same data can draw various conclusions and can easily be biased towards their own consideration. Second, an often time, syllogistic fallacy of the undistributed middle[footnoteRef:7] is commonly committed by many. Making logical chain links from data needs to be examined thoroughly to avoid such mistakes. To avoid mistakes, the thesis will not provide any other assumptions or ideas which are not accurate data. As it was mentioned earlier, research will conclude in eclectic manner by leaving possibilities for other viewpoints and not imposing any personal opinions derived from data. [5: fallacy of composition arises when one infers that something is true of the whole from the fact that it is true of some part of the whole, fallacy of division occurs when one reasons logically that something true of a thing must also be true of all or some of its parts.—. Wikipedia. n.d. Wikimedia Foundation, Inc.,. website. 23 November 2011. .—. Wikipedia. n.d. Inc., Wikimedia Foundation. website. 13 August 2011. .] [6: van Eemeren, Frans H and Rob Grootendorst. "The fallacies of composition and division." 1992. www.illc.uva.nl/j50/contribs/eemeren/eemeren.ps. Report.] [7: The fallacy of the undistributed middle is a logical fallacy, and more specifically a formal fallacy, that is committed when the middle term in a categorical syllogism is not distributed in the major premise. It is thus a syllogistic fallacy.—. Wikipedia. n.d. Wikimedia Foundation, Inc.,. website. 24 November 2011. .]

What I expect my findings will also uncover is that illegal immigration issues in United States has been encountering additional obstacles, namely, the policies that might lead the issue to face unintended consequences in addition to consequences that are already derived by major issues in U.S. economy including social aspect as well.

To understand the difference in premise on each side, examining each viewpoint’s reasoning and data used in their development of argument. To stay within the scope of the range of the paper, I will narrow down data that are relevant to social and economic issues only. It is to be expected that some political viewpoints are inevitable to discuss since the subject matter is adjacent to political issues but on this thesis, political issues will be excluded when evaluating validity in reasoning behind arguments of each sides.

To demonstrate ration developed from data, given procedure[footnoteRef:8] will be used to evaluate its aptitude of its annotation regarding topics as a tool for precaution. [8: Referring to methodology in IV, in Chapter 2.]

All in all, I expect my findings will provide sufficient conclusion by making adequate logical connotation between provided data and topics.

IV. Methodology

The methodology for this thesis involves a straightforward socioeconomic approach that the scope of the range might interface with some political issues. For the purpose of the dissertation, I will analyze the numbers in data in strict scientific manner which is will conclude analytic result impartial from personal standpoint and disregard other factors that might interfere with analysis.

Assuming resources from public data are impartial and untempered, following steps will be considered to compute analytic result from given data.

1. Make notion for background data related to the subject in numerical terms such as ratio, or percentage.

2. Contemplate data into affiliated categories by background intersections– i.e. timeline, ethnicity etc.

3. Relationship between data can only be created when the comparisons are within the same category.

4. The notion of logical reasoning should be clarified to evaluate accuracy in result.

5. Empirical evidences might be consideration but not in absolute degree.

6. Relationship between supply and demand must be presented in graphs.

Chapter Two

Background Information on illegal immigration and socioeconomics

Predicament of Unite States

I. Definition of the Illegal Immigrants

The terminology ‘Immigrants’ can be ambiguous since United Sates is a land of immigrants. It is important that we clarify what we define as ‘immigrants’ on this thesis. To define range of the research, it is important to know what we define as ‘immigrant’ here. The concept ‘immigrants’ has started with the history of the United States but we will limit our use of term within certain range. For the purpose of defining the range of the research scope, the following rules are applied:

1. The historical timeline will be limited to after the concept of ‘National Citizenship[footnoteRef:9]’ has established in 1790. Not the ones granted by state[footnoteRef:10] level. [9: The original [1790 Alien Naturalization Act] provided the first rules to be followed by all of the United States in the granting of national citizenship.] [10: Under the Articles of Confederation [Enacted in 1781 and Replaced by the Constitution in 1788], the question of citizenship and the naturalization of immigrants remained with the individual states.]

2. Term ‘illegal immigrants’ will be limited to the after immigration exclusion era[footnoteRef:11] begun, starting from May 6, 1882. [11: —. "Chinese Exclusion Act." An act to execute certain tready stipulation relationg to the Chinese 6 May 1882, Enrolled Acts and Resolutions of Congress 1789-1996; ed.: 2. Document.]

3. Events that are not relevant to socioeconomic approach will not be specified regardless of its importance.

To eliminate possibilities of inexactitude, scope of time period regarding the research has been extended to the furthest possible. However, it will not consider irrelevant timeline might be disregarded with adequate explanation, as thesis proceeds.

Aside from historical terminology, the usage of the term, illegal immigrants, have certain attribute. Also known as illegal aliens, undocumented resident or undocumented aliens etc., the conventional usage of term applies to a person who is:

“Considered an ‘alien’, a ‘non-citizen’ who has entered the U.S. without government permission or stayed beyond the termination date of a visa”[footnoteRef:12] [12: Farlex, Inc. The free dictionary by Farlex. Ed. Gerald N. Hill and Kathleen T. Hill. 1981. Farlex, Inc. Dictionary. 2005. .]

Illegal immigrants can be divided into three major categories.

1) Those that entered the country illegally meaning that they did not pass through proper inspection at the border or entry – i.e. underground tunnel, over the fence.

2) Those that stayed beyond the authorized period (with expired visa) after their legal entry.

3) By violating the terms of their legal entry – i.e. working without residency card or work visa. (H-1 VISA)[footnoteRef:13] [13: National Research Council. The New Americans: Economic, Demographic, and Fiscal Effects of Immigration. Ed. P. James Smith and Barry Edmonston. Vol. 1. Washington D.C.: National Academies Press, 1997. 1 vols. Books.]

II. Historical Background of the Illegal Immigration

As briefly mentioned above, historical aspects of illegal immigrants have changed through timeline as well as their contribution to our society. As a country of immigrants, it is hard to distinguish between immigrants and non-immigrants since our own “The Founding Fathers” were not properly equipped with documentation that meets the standard of our government today. However, after the U.S. government have formed, it was necessary to seek the nation’s best interest which includes allocating scarce resources to people who resided within the nation. In the process of classifying subjects to the U.S. government’s duty, the notion of ‘Citizenship to the United States’ was first regulated in Alien Naturalization Act[footnoteRef:14] in 1790, later bona fide by 14th Amendment proposed by 39th congress[footnoteRef:15]. [14: United States. "1790 Naturalization Act." The public statutes at large of the United States of America / by authority of Congress 1845-1867, 8 v. ; 25-30 cm ed.: 755. Serial. 1789 to 1845. .] [15: Amendment XIV, Section 1, Clause 1: All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside.]

The U.S. government’s attempt to control immigrant population began with President John Adams, who enacted four acts[footnoteRef:16] regarding alien population and the U.S. government was invested with the power to punish/deport Aliens[footnoteRef:17]. [16: An Act to Establish an Uniform Rule of Naturalization, An Act Concerning Aliens, An Act Respecting Alien Enemies, and An Act for the Punishment of Certain Crimes against the United States] [17: See the reference page for the resource regarding all four Acts above mentioned.]

Starting with Chinese Exclusion Act in 1882, the immigration exclusion era began. The Civil Rights Act of 1866, granted U.S. citizenship to all persons born in the United States "not subject to any foreign power." On Mar. 28, 1898, Citizenship was extended to those of people who were foreign-born decedents[footnoteRef:18]. Problem using back door to illegal entrance to U.S. soil became an issue starting 1920[footnoteRef:19]. In 1924, the Immigration Act was enacted as well as formation of the first U.S. border patrol[footnoteRef:20]. The issues with illegal immigrants have stayed within the society ever since. [18: UNITED STATES V. WONG KIM ARK, 169 U. S. 649 (1898)] [19: "The Chinese exclusion laws greatly hindered Chinese immigration into the United States, but... they did not serve as the total barriers that exclusionists hoped they would. An estimated 17,300 Chinese immigrants entered the United States through the back doors of Canada and Mexico from 1882 to 1920. U.S. Bureau of Immigration reports and newspaper accounts indicate that they entered the country through Seattle, Washington; Buffalo, New York; San Diego, California; San Antonio and El Paso, Texas; and numerous other points along the northern and southern borders of the United States."- Erika Lee, PhD at America's Gates, 2003.-Lee, Erika. At America's Gates. reasearch paper. University of North Carolina. Chapel Hill: The University of North Carolina Press, 2003. Book report. .] [20: —. U.S. Border patrol: U.S. custom and border protection. 1 May 2010. webpage. 5 June 2009. .]

Figure 1.

(Source: self-creation)

Illegal immigrant population has shown steady growth in time. After exclusion restrictions, people entered U.S. through various route. Although the census does not keep a separate track on illegal immigrant population, using similar method[footnoteRef:21] that is used today can be applied. However, the data itself should entirely be separated from today’s issue due to IRCA in 1986[footnoteRef:22]. The illegal immigrant population prior to 1980 is not considered in todays’ census. The following data[footnoteRef:23] is provided only as a point of consideration but the issues regarding illegal immigration – jobs and wages are not entirely separated from those of todays. [21: Parcel, Jefferey. "Estimating the number of undocumented aliens." Brief. Bureau of Cencus, 1986. Scan.] [22: Under Section 249 of the INA, the registry provision, qualified persons who have resided continuously in the United States since prior to January 1, 1972 may apply for LPR status. Additionally, persons who had resided continuously in the United States since prior to January 1, 1982 as unauthorized residents were eligible to adjust for LPR status under the Immigration Reform and Control Act (IRCA) of 1986.] [23: Barabba, Vincent P. Historical statistics of the united states;. Analytic report. U.S. Department of Commerce. Washington D.C: Bureau of the Census, 1975. Document.]

As we can see, populations with no papers are decreasing gradually until 1950 after government’s restriction over immigrating population was reinforced. However, interesting point is, total population of immigrant seems to be increased gradually even throughout the Great Recession.

III. Demographic background of illegal immigrants.

Total population of illegal immigrants

According to DHS office of immigration statistics, by 2010, number of illegal immigrants amount to 10,790,000[footnoteRef:24]. To understand the issue over illegal immigration, it is important to know their demographic background. With DHS data, countries of birth of illegal immigrants are divided into 11 categories. It is noticeable that Mexican population is the biggest out of all other categories. All other shares of South American countries combined seems the major groups of illegal immigrants in U.S these days. [24: Hoefer, Michael, et al. Estimates of the Unauthorized Immigrant Population Residing in the United States: January 2010. Annual Report. U.S. Government. Washington D.C: Office of Immigration Statistics, 2011. Document.]

Figure 2.

(Source: DHS Statistics)

Figure 3.

(In ten Thousands)

(Source: DHS Statistics)

According to the DHS office of immigration statistics, method of deduction was used to estimate the respective amount[footnoteRef:25]. The detailed number of population changing over 10 year period is listed in Figure 3. Total number of increased population is 2,330,000, increased by 27.5%. Immigrants from East Asian Countries are rather decreased while others increased. [25: Total foreign-born population living in U.S. – Total foreign-born population with legal status living in U.S.]

Occupational fields shared by unauthorized workers

Figure 4 is a list of occupational fields shared by the illegal immigrant labor force and the total amount of labor force population. The total ratio of population of illegal immigrant who are engaged in labor market is 69.16%. It can be interpreted into wage terms such as; about 30% of illegal immigrant populations are:

1) Engaged in labor market with unreported income.

2) Not considered to be a working age.[footnoteRef:26] [26: In general, ages between 16 and 65 is considered since minors are not legally eligible and populations over age of 65 are likely to be retired. In this particular case, it seems appropriate to consider wider range of ages based on their preexisting illegitimate status to job market as illegal immigrants.]

3) Stay-at-home individuals.

4) Students and others.

(Comparison regarding portion in population and labor market will be noted in Chapter 3.)

Demographical area of illegal resident

The fact that where they inhibit is a relevant to the topic including crime rates, etc. It seems that illegal residents are highly populated in certain area more than others. In figure 5, general illegal resident area can be seen on a map[footnoteRef:27]. [27: Based on 2008 population census]

Interesting point is, between the most populated area and its subsequent area has a huge gap in population. Also, out of 4 states that are high in population, 3 states are near to southern border than other borders of United States. Another point is that New York States is the only state that is mostly populated but not facing towards southern border line. California, New York, Miami and Texas are preferred area of residency.

Chapter Three

Issues regarding illegal immigrants and other collaterals

I. Issues regarding illegal immigrants in United States and Analysis

Change in wages and job distribution with corresponding Impacts

a. Issue

To clarify disambiguation, issues regarding wage can be narrowed down to one category. Regarding the job fields that are occupied with illegal immigrants, people within the same labor market for similar skill are worried that they might also have to lower their wage due to competition with illegal immigrants.

Theoretical idea of the concern is, if the demand remains constant, depend on the supply, the curve will be shifted resulting lowering equilibrium point as a whole. Basic idea is, by having illegal immigrants, supply of labor force will be increase. Then, the supply curve shifts to right and create new equilibrium point of (Q2, P2) instead of (Q1, P1). P is for the price, and in this case, it is their wage. However, Q is increased in amount which stands for number of jobs in labor market.

In a same sense, by lowering the price, also the curve itself will be shifted and create the same consequence. It seems like a compelling idea but for this curve to be applied in the market system; all other factors must remain the same.

For instance, a person named A was looking into construction business. He wanted to open his own business but the labor cost seemed too high and was waiting for his chance to open his own business. When he found eligible illegal labor force, and decided to open his business, he will create more demand. In result, demand curve will also shifted and equalize the effect.

For their theory to work perfectly,

1) The number of jobs available must remain the same. Therefore, if one person gets hired, the other must lose the opportunity.

2) Amount of jobs created within the same field must be equal to the amount of jobs taken.

If there were only limited jobs and business available and there must not be a substitute for their choice. In other words, a dishwasher must remain as dishwasher and if the opportunity is lost, he will not have any other choice but to work with cheaper wage or remain unemployed. Therefore, range of supply must be limited to within certain boundary.

To analyze concern, first average wage of each job must be computed. Occupations that hire illegal immigrants are listed in figure 4, in Chapter 2.

Here are average wage of each occupation shared by illegal immigrant labor forces. As we can see, the average wage of given fields is below average wage of Americans not limited to lists above. The wage listed above is to those of labor forces who are legally eligible for the job. Since illegal labor forces are unregistered workers, average of their wage is incomputable.

Looking at each occupation’s field, none of the job is in high wage occupational section is listed. According to Bureau of Labor Statistics, listed jobs within United States are about 800. Despite all other choices, only about 30 job choices are listed.

First, if we only look at the share of listed labor market, illegal immigrants are taking more than a half of the percentage. Are we really losing jobs to illegal immigrants? To answer that question, we have to look into the type of jobs they are working and how many Americans are willing to compete with them. The total number of labor force within that job market is 13,352. Since the number is including illegal immigrants, total number of Americans will be 6,097 and all numbers are in thousand.

The entire civilian labor forces that are employed are 148,615 including illegal immigrants. The percentage of labor force within the job market is little less than 9%. Now, in a sense of competition, number of illegal immigrants must be overruled.

141,360 is the number of American labor force. Now, about 4.3% of the labor market is working within the field. Considering the supply and demand curve again, we should see how the theoretical job market will change if we eliminate cheaper labor.

Since the theory was that demand curve will not shift, the supply will stay at (Q1, P1). The factor remained same, we should look at Q. Number of jobs are decreased. In other words, people who hired them before are not hiring anymore. Why? Under the assumption, if one is lost, the other must replace its place. How can there be a replacement when the half of the workers is gone? Are Americans working twice much?

These are factors we should also consider. What happened to businesses that does not have enough employees? In this case, the competition over scarce resource seems to happening in-between business owners and potential employees. Whose point are we considering more important? Do business owners pay less tax on operating cost when undocumented employee is hired? If yes, whose net loss is bigger?

Also, where will American workers be hired if the business runs out? It is true that they have broader opportunity in population concentrated area. Is there an ultimate winner to this problem? I will have further explanation in the following section.

b. Analysis

Like I mentioned at the beginning of the thesis, there are always two sides on every issue. In this case, there are people who think illegal immigrants are helping the economy while other argues that they cause more problems than they benefit the economy.

First of all, concerning whether illegal immigrants are eliminating job opportunities for Americans, we should focus on the fact that the market is not a zero sum game. Other people’s gain is not the loss on my behalf.

Let’s go back to the part that I discussed how many factors there are to be considered to evaluate the labor market. The reason is that consumers to sellers are also sellers to consumers, meaning market circulates.

For example, let’s say, in a hypothetical situation, an illegal immigrant took a job from an American. By taking a job in America he will be forced to spend money on necessities such as housing, food etc. In that sense, he is consuming goods from an American market. Therefore, he is contributing to our economy at the same time he is benefiting from it. Though in reality, it is far more complex than the situation above since we have to consider every market he/she is engaged in including government’s net cost.

Second, regarding people’s concern over wage seems somewhat irrelevant since most of the job does not require high standard employees, it is inevitable that it will always be lower than other jobs that requires higher standard. There is a lowest margin due to government policy. In other words, wage cannot go beyond minimum wage.

Some jobs on the list are already near minimum wage and the choice is up to the person who takes the job. In the end, in a free market system, we all get a chance to decide.

Government spending & public cost on illegal immigrants

a. Issue

Are illegal immigrants free riders in the society? To answer the question, we will need to look into tax problems since public costs are mostly done by our tax.

According to Federation for American immigration reform[footnoteRef:28], costs of illegal immigrants are $28,645,400,000. However, the problems with their numbers are somewhat arbitrary. On their report, they argue that costs of education of child with an illegal immigrant parent or both should not be considered as government aid for U.S. citizens although they are U.S. citizens. Also, they have included expenditure on Hispanic low-income families assuming they are illegal immigrants. Their argument for it is that language can be deceiving. (Percentage is not based on total amount. Therefore, it should be disregarded here) [28: Martin, Jack and Eric A. Ruark. The fiscal burend of illegal immigration on United States Taxpayers. Informational. Federation For America Immigration Reform. Washington DC: FAIR, 2010. PDF.]

Source: FAIR, numbers in hundred thousands

Figure 7.

Also, they argue income tax earning, IRS[footnoteRef:29]’s report on Average $6.25 billion dollar is wrong as well as a 2004 study by the CIS put the estimated tax payments collected by the federal government from illegal aliens at about $15.9 billion in 2002[footnoteRef:30] since their assumption is that illegal immigrants are using fake SSN and filling income tax return but they do not have data. [29: Statement of the honorable Mark w. Everson, commissioner, internal revenue service, testimony before the house committee on ways and means, July 26, 2006.] [30: camarota, steven a., “the high cost of cheap labor: illegal immigration and the federal budget,” op. cit.]

As oppose to FAIR, Economic Report of the President says earning from their Medicare taxes, SSA taxes as well as their income taxes. However, they do not gain any benefit in return since it requires identification matching. Which viewpoint is more accurate?

b. Analysis

Problem with the issue deciding whether illegal immigrants are net cost to our society does not seem very ambiguous on where to draw the line. However, if we draw strict line between illegal immigrants and U.S. citizens as their official status, the claim on the expenditure reduces great amount. Also, they cost estimate was all family based, public assistance decreases as well.

For the general Expenditures, there was no explanation that is logical to explain how they came up with that number. Their explanation was based on government spending on general expenditure was 44.8%; they felt that it was necessary to put large number that takes 60 percent of their estimated cost.

Since there is no logical explanation on their claim, it seems that the amount should be disregarded due to its irrelevancy. Also, on cost regarding law enforcement, they own report states that Byrne grants does not have a relationship with illegal immigrants but they assume that illegal immigrants use them as well. Therefore, it was included in their estimation.

In result, more than a half of their estimation is not based on known facts and even with the rest amounts, costs for homeless people, low income family, and Hispanic family are not equivalent to cost for illegal immigrants.

These seem to be a good example of a logical fallacy. It is true that 60 percent of illegal immigrants are Hispanic decedents. Also, we can learn that illegal immigrants’ job list shows us that their average income might be lower than that of average Americans’. Nonetheless, logic does not flow backwards. For instance, it is not true when you say; all superman actors have dark hair and strong physical appearance. Therefore; all brunette guys with masculinity body shape are superman actors.

It is inevitable that part of our government spending will be used for illegal immigrants since they are a part of our society but for the “free-rider” argument, my position is skeptical about their stand.

Research result from FAIR is based on lots of assumption. On the contrary, government estimated numbers do not projects any thoughts or assumption but just figure amount of number as a data. However, there was no estimated cost report that is spent on public sector that went to illegal immigrant population only.

It is hard to figure out whether they are free-riders or it is other way around. Failing to a logical output does not necessarily prove their argument wrong. Despite their fallacy to prove such claim, the claim itself might stand still. Collecting all details is impossible due to lack of information. Therefore, the question should remain unanswered until proven fact comes into our hands.

Crime rates caused by illegal immigrants

a. Issue

The following picture must seem familiar since it is almost identical to the one that is in Chapter 2. Comparing the area preference, choice of illegal immigrants’ does not seem too different from that of Americans’. It seems that proving high crime rate on areas with high population of illegal immigrants’ residency will only prove Americans are also capable of committing crimes.

Here is some information regarding crime stats regarding illegal immigrants:

1) the undocumented immigrant population doubled to about 12 million from 1994 to 2005, the violent crime rate in the United States declined by 34.2% and the property crime rate fell by 26.4%[footnoteRef:31] Although data released in September 2007 by the Federal Bureau of Investigation (FBI) indicates that the violent crime rate has increased for two consecutive years since 2004[footnoteRef:32] [31: U.S. Department of Justice, Bureau of Justice Statistics—Data Online, “Reported Crime in United States—Total, 1960-2005”{http://bjsdata.ojp.usdoj.gov/dataonline/Search/Crime/State/statebystaterun.cfm?stateid=52}.] [32: Federal Bureau of Investigation, Crime in the United States, 2006, September 2007.]

2) Anti-immigrant activists have pointed to estimates by the U.S. Government Accountability Office (GAO) that one quarter of all federal prisoners in the United States is “criminal aliens.”[footnoteRef:33] [33: U.S. Government Accountability Office, Information on Criminal Aliens Incarcerated in Federal and State Prisons and Local Jails (GAO-05-337R), April 7, 2005, p. 2.]

What does all these data suggests?

b. Analysis

It is very hard to build co-relationship between two data in 1). It is committing a logical fallacy by enumerating two irrelevant data as if they are interacting together. However, without putting them together as if they mean something, each data separated from one another does not have any ground to be linked.

For 2), it is hard to tell whether the information is only limited to illegal immigrants. Unlike common belief, people who have rightful residency within the states are entirely different from those of people who are here without any documentation.

There are other data suggest two entirely different outcomes. Nonetheless, as I looked closely into it without being misled by their intentions, there was not much of data that concludes neither ‘illegal immigrants’ population is less likely to commit crimes” nor ‘illegal immigrants are heavily accountable for U.S. crime rates.’

Parties argue their points should be weigh more importantly than the other. Although, their data suggests that it is insufficient amount of research materials to build relationship in-between. To be exact, 1) we would have to uncover data that are unreported as well. In addition to 2) clarify two groups of legal and illegal immigrants distinctively.

Although there is not sufficient amount of data to build correlation, it is clear that crime rates are not moving along the illegal immigrant population rate. In result, knowing that there is not an ultimate relationship between to rates is the conclusion that we can get from data above. The least interpretation we can make from data above is that illegal immigrants’ population is separate from those of crime rates within U.S.

Chapter Four:

Conclusions

I. Conclusions

The purpose of this thesis has been to explore some of the controversy over amnesty towards illegal immigrants in regards to job loss and gain. The preceding chapters have presented data over some controversies and the effects in our society. As for the analysis, these different factors that have been researched over the American society have different results depend on the point of view. Then I examined research about the history of illegal immigration regulations, the socio-political economic situation, and issues raised by illegal immigrants and collaterals. Examining this specific relationship in terms of population size, job count, job distribution, and wages has shown us the different parties that illegal immigrant employment harms and benefits. The results of this research yielded information that could help provide amnesty towards illegal immigrants and also it might be a concern to specific group of people within our country.

In result, as the title suggests, every issue have two sides of a coin and it is up to us whether we will embrace the consequence and chose to co-exist with them with some benefits we gain or to shun them down and have separate ways of our own. Either case, it is suggesting that America is offering a lot of dreams that other countries do not.

II. Appendix & Bibliography

Appendix a.

+

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