Unsurprising: Migrants give back to new communities (often more so than natives)

Migrants in high-income economies are more inclined to give to charity than native-born citizens, this Gallup poll finds.

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[High-income economies are referred to as "the North"/ middle- to low-income economies are referred to as "the South".]

 

From 2009-2011, 51% of migrants who moved to developed countries from other developed countries said they donated money to charity, whereas only 44% of native-born citizens claimed to donate. Even long-term immigrants (who had been in their country of residence for over five years) gave more money to charity than natives–an estimated 49%.

Even 34% of migrants moving from low-income countries to high-income countries said they gave money to charity in their new community – a lower percentage than long-term migrants and native-born citizens, but still a significant turn-out, given that most of these migrants will not have an immediate opportunity to earn large, disposable incomes. The poll also found that once migrants get settled, their giving only goes up.

Migrants seem to donate their time and money less when moving from one low-income country to another; though as Gallup points out, the traditional definitions of ‘charity’ cannot always be applied to developing countries, where aid and volunteerism often take place outside formal structures and appear as informal arrangements within communities instead.

It’s no surprise either that the Gallup concludes this:

Migrants’ proclivity toward giving back to their communities can benefit their adopted communities. Policymakers would be wise to find out ways to maintain this inclination to give as long as migrants remain in the country.

This is yet another piece of evidence that illustrates the benefits of immigration for society as a whole. (It also highlights the insanity of Cameron’s recent proposal to curb the number of Eurozone migrants coming to the UK). Not only does the UK need more immigrants “to avoid a massive debt crisis by 2050,” but apparently it needs them for a community morale boost as well.

Why do people oppose immigration?

My Buzzfeed post on immigration generated a bit of traffic yesterday and a bit of disagreement, too. The most common objection to our approach to immigration is that it’s one-dimensional—OK, we might be right about the economics, but c’mon, who really cares? It’s culture that matters. This point was made to me a few times yesterday and there’s definitely something to it.

My first response is that I think people underestimate the public’s ignorance of the economics, and hence the public’s fears about immigration. This poll by Ipsos MORI (I love those guys) asked opponents of immigration what they were worried about—as you can see, their concerns are overwhelmingly about job losses and the like:

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The top five concerns are all basically to do with economics, with the highest-ranking cultural/social concern getting a measly 4%.

Obviously this isn’t the whole story. People might be lying to avoid seeming “racist”, for example. But in other polls people seem less reserved—last year 27% of young people surveyed said that they don’t trust MuslimsLess than 73% of the population say they’d be quite or totally comfortable with someone of another race becoming Prime Minister, and less than 71% say they’d be quite or totally comfortable with their child marrying someone of a different race. So the ‘embarrassment effect’ of seeming a bit racist can’t be that strong, and clearly the ceiling is higher than 4%.

I reckon it’s more likely that people have a bunch of concerns, of which the economic ones seem more salient. Once they’ve mentioned them, they don’t need to add the cultural concerns to the pile. Either that, or we just believe people in the absence of evidence to the contrary.

That’s why I think it’s legitimate to focus on the economics of immigration, even if we concede that the cultural questions are important (and tougher for open borders advocates to answer). Persuading some people that their economic fears are misguided should move the average opinion in the direction of looser controls on the borders.

If we could put the economic arguments to bed we might be able to have a more productive discussion about immigration. If culture’s your problem, then let’s talk about that, but remember that the controls we put on immigrants to protect British culture come with a price tag. Maybe we’d decide that more immigration was culturally manageable if we ditched ideas like multiculturalism and fostered stronger social norms that pressurised immigrants into assimilating into their new country’s culture. I don’t know. (Let’s leave aside my libertarian dislike of using the state to try to shape national culture.)

The point, for me, is this: the economics of immigration does matter a lot to people. Immigration is not either/or—we can take steps towards more open borders without having totally open borders. At the margin, then, persuading people about the economics of immigration should move us in the direction of more open borders. And that, in my view, makes the world a better place.

The costs of a government-sponsored crisis

Accusations of child neglect are surfacing in the United States asleaked photos from Arizona and Texas border patrol processing centers show hundreds of migrant children sleeping in razor-lined cages.

Thousands of unaccompanied minors, who have narrowly escaped from dangerous, cartel-infested areas of Central America and Mexico, have been brought into federally-run boarder patrol centers, only to receive further inhumane treatment. The photos reveal that minors – many young girls under the age of twelve – are left unsupervised, crowded into caged cells along with hundreds of their peers, and forced to sleep on the ground.

Since the leak, new regulations have come into effect. According to Patrol Agent Charge Leslie Lawson’s memo obtained by Townhall, steps were taken on June 6th to change procedures at one of Arizona’s border detention facilities:

Effective immediately, the use of personally owned cellular phones, cameras, or recoding devices in the Nogales Dentition Facility and Nogales Processing Center is strictly prohibited.

Forget the living standards of the kids; Patrol Lawson decided to get tough with the whistleblowers instead.

Despite (tragically) popular belief, millions of illegal immigrants residing in the U.S. are hard workers, adding net value to the U.S. economy. Roughly 11 million illegal U.S. immigrants are providing nearly $11billion worth of revenue per year through state and local tax payments – an amount that is estimated to skyrocket by billions if more immigrants earn a legal status (not citizenship – just a legal status). Furthermore, over half of illegal immigrants voluntarily choose to pay income tax, knowing they’re very unlikely to see a social security paycheck or Medicare subsidies down the road.

Meanwhile, the U.S. spends over $18 billion a year on immigration enforcement to keep their young counterparts locked in cages.

Yes – we can debate the specifics of immigration reform; but U.S. citizens and illegal immigrants alike can probably agree that $18 billion is far too much to be spending on a government-sponsored humanitarian crisis.

Three steps forward

In today’s City AM I outline a fairly simple growth agenda that would, I think, deliver very strong growth without requiring tax cuts (which are very important, but seem to be politically dead in the water right now). My three items are reform of planning, immigration and money (the ‘PIMs’, as I call them), by rolling back the green belt outside London, allowing high-skilled immigration, and targeting NGDP instead of inflation:

Whisper it, but things finally seem to be looking up. Investment is rising, unemployment is falling, and the deficit seems to be coming under control. But it could be a lot better. Real wages will not recover to their pre-crisis peak until 2020. And expected growth of 2.7 per cent this year is well below what we might expect in a real recovery.

The question is, how can we get the strong growth we all want? Tax cuts are nice, but hard to sell as long as the deficit remains large. And calls for business deregulation are often too vague to be useful. But there are clear areas for reform in planning, immigration, and money, and none would threaten the deficit. Reform these areas – the PIMs, we might call them – and real, booming, sustainable growth will come.

Read the whole thing.

The progressive approach to immigration looks a lot like the conservative one

In a way, it’s refreshing that Yvette Cooper’s speech on immigration today has identified ‘free market liberals’ as the main advocates of freer immigration policies. There aren’t many of us, though, so we usually have to rely on immigration liberals on the left to win the argument over there for decent reforms to take place. Unfortunately, it looks as if they’re losing too.

Cooper’s main claims are that immigration reduces native wages and job opportunities, puts public services under pressure, and low-skilled immigrants are exploited by British firms.

The first two of these claims are basically wrong and the third is a little dubious, as I’ll try to show, but even if they were true they would only justify restricting low-skilled immigration. There is basically no decent economic argument against skilled immigration, and I’m doubtful whether even the most wild-eyed worrier about the cultural ‘Islamicization’ of Britain has Pakistani doctors in mind. But, without any explanation, Cooper says that Labour will keep the cap on skilled immigration (despite her admission that “top businesses are worried they can’t get the high skills they need”). Oh well.

On low-skilled immigration, the main focus of the speech, Cooper suggests that liberals support immigration “as cheap labour to keep wages and inflation low”. Ignoring that this is a straw man worthy of the Wizard of Oz, it’s also untrue. According to the impact assessment published by the Home Office last month, low-skilled immigration has, at most, a minor impact on native wages, which in a flexible labour market like Britain’s is temporary anyway. And on the ludicrous idea that anyone supports immigration to keep inflation low, see Lars Christensen – under inflation targeting, a positive supply shock like immigration will lead to more inflation.

The public services point is old and well-worn, and it hardly needs repeating here that immigrants pay more in tax than they cost in services – a phenomenon which over the next few decades will mean the difference between a national debt of over 180% of GDP (in a zero net migration scenario) and just over 50% (in a >260k/year net migration scenario). Presumably nobody really thinks that more high-skilled immigration would have a negative fiscal effect, but I suppose it’s possible that liberalizing low-skilled immigration a lot could change this. In that case, charge immigrants a fee to reside in the UK or restrict access to public services. There is no problem with immigration to which strict immigration controls are the best solution.

The final point is the one that Cooper focuses on the most, maybe so that the dreary conservative orthodoxy of her policies is less obvious. Undoubtedly, some genuine exploitation does take place – Cooper gives the example of agencies advertising in Poland for jobs that turn out not to exist, virtually forcing the victims into grim jobs that they did not sign up for. It may be that the law needs to be strengthened to punish people who defraud immigrants in this way. But there will be negative consequences too – by raising the risk for legitimate employers of employing immigrants, this kind of law will make it harder for immigrants to get legitimate work. The danger is that, as in the case of the Modern Slavery Bill, laws designed to prevent truly terrible crimes will end up curbing whatever legitimate work the government decides it wants to stop as well.

To be fair, there are two positives in Cooper’s speech: taking students out of the net migration figures would be good for the education sector, and taking refugees out is humane. But the fact is that Labour has accepted the “logic” of the net migration cap, is making no reforms to high-skilled immigration, and is basing low-skilled immigration policy on anecdotes instead of evidence. Liberals beware: the ‘progressive’ approach to immigration is starting to look an awful lot like the conservative one.