Illegal Immigration

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Information about Illegal Immigration
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Published on December 8, 2008

Author: shastalea

Source: authorstream.com

Illegal Immigration and Enforcement along the U.S.-Mexico Border:An Overview : Illegal Immigration and Enforcement along the U.S.-Mexico Border:An Overview Pia M Orrenius Federal Reserve Bank of Dallas, Economic and Financial Review, 1st Quarter: 2-10 Article’s goal : Article’s goal Explore time and pattern of substitution Examine Developments in smuggling Recommend bilateral labor and migration agreement Contrasting views on border enforcement as a deterrent: : Contrasting views on border enforcement as a deterrent: Tougher border control is not a deterrent, because immigrants will attempt to cross the border until they have succeeded Tougher border control traps prospective immigrants on the Mexican side of the border, whom are suffering from the fall in local wages. The Bracero Program : The Bracero Program Guest-worker program started in 1942 (during WWII) Arranged for workers from Mexico to come to America to cover American worker shortages due to the war. Program was extended to 1964 Abrupt end and lack of subsequent program to replace it led to an increase in illegal immigration from Mexico Determinants of Illegal Immigration : Determinants of Illegal Immigration The main determinants for Illegal immigration and migration are the higher wages and job availability lacking in Mexico and found in the U.S. Factors in the determinants of Illegal Immigration: : Factors in the determinants of Illegal Immigration: Networks Smugglers Wages Insurance and Capital Markets Immigration Policy Networks : Networks Networks are usually family members and friends with migration experience Sibling Networks: By 1991, 41% of households in survey had sibling network access. Smuggling : Smuggling Availability of Smuggler (Coyotes) Average price has considerably decreased from what it was in 1965. ($900 to $300 in 1994) Free entry into Smuggling industry Infrastructure development (roads etc.) Wages : Wages Costs of immigration have decreased Low Mexican wages and downturns Unemployment Falling agricultural prices in Mexico Insurance and Capital Markets : Insurance and Capital Markets Push versus pull factors: the U.S. pulls with enticements for jobs and higher wages, while Mexico pushes with underdeveloped capital markets. Capital Markets needed for loans to start a business, build a house, medical, debt repayment, etc. Immigration Policy : Immigration Policy U.S. Government generosity in public assistance programs and health care availability Mexico Government doesn’t generate enough economic growth and financial stability Trends in Enforcement : Trends in Enforcement Three phases in border enforcement: Affects to Smuggling Rates and Fees : Affects to Smuggling Rates and Fees Apprehension probability Heighten border vigilance Rise in probability of injury/death Illegal immigrants’ propensity to hire coyotes Patterns in Smuggling Rates: : Patterns in Smuggling Rates: 1970: rates increase Early 1980s: rates leveling off Late 1980s: rates rose slightly 1996-1997: Rates rose sharply Patterns in Smuggling Rates: : Patterns in Smuggling Rates: New Strategy: Migrants are starting to shy away from once popular crossing sites, i.e. CA, for AZ and TX Evidence that crack-downs are working as a deterrent Interstates Reallocation of Migrants : Interstates Reallocation of Migrants Historically Texas was primary site of exchanges with Mexico Following the Depression, California became the most popular state for migrants due to economic growth Due to crack-down policies, border-crossing and migration have shifted back to Texas and also to Arizona Policy Implications : Policy Implications U.S. Domestic Policy: Economic consequences for ending illegal immigration Sanctions against employers not enforced INS de facto policy: “once you are in, you are in” Foreign Policy: 1995 loan bailout to Mexico NAFTA Mexico Remittances bring funds to country (emigrants 1/3 largest source of foreign reserves) Loss of labor Town/Villages depopulated Remittances during bad times Return to country during good times Foster closer ties with U.S. Policy Suggestion : Policy Suggestion Policy-Scenario: Create a bilateral program agreement between the U.S. and Mexico incorporating legal temporary work-based migration Outcome: Limit fiscal impact for U.S. taxpayers Allow migrant workers to remain in the U.S. and cycle between countries Conclusions : Conclusions Mexico-U.S. Trade has grown significantly Recent enforcement initiatives have been successful Change in migrant crossing patterns and interstate reallocation Increasing cost of Coyote prices Record number of border-crossing deaths

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