Japan Today

Here
and
Now

opinions

Trump's mass deportation plan could end up hurting economic growth

49 Comments
By Daniel AVIS
President-elect Trump has said he would start a campaign of mass deportation 'on day one' of his new administration Image: AFP

U.S. President-elect Donald Trump's hardline immigration proposals -- including a controversial mass deportation plan -- could prove economically damaging, analysts say, with U.S. sectors that rely heavily on foreign workers like agriculture and construction especially hard hit.

U.S. authorities estimate that there are around 11 million unauthorized people living in the United States, the vast majority of whom come from Mexico.

Around 8.3 million unauthorized people were in the labor force in 2022, according to a recent estimate from the Pew Research Center. That was equivalent to just under five percent of the overall workforce.

"Today our cities are flooded with illegal aliens," Trump said on the campaign trail earlier this year, adding: "Americans are being squeezed out of the labor force and their jobs are taken."

The reality, however, is more complex; many of the sectors that could be the hardest-hit have long struggled to attract U.S. workers.

"The construction and agriculture industries would lose at least one in eight workers, while in hospitality, about one in 14 workers would be deported due to their undocumented status," the non-profit American Immigration Council (AIC) said in a recent report on Trump's deportation plans.

The deportations would also impact "more than 30 percent" of plasterers, roofers, and painters, along with a quarter of housekeeping cleaners, according to the report.

A recent joint study by the American Enterprise Institute (AEI), Brookings Institution, and the Niskanen Center estimated that Trump's immigration plans could curb U.S. GDP growth in 2025 by as much as 0.4 percentage points.

The impact on growth would primarily come from the direct effect of having fewer foreign workers producing goods and services, with an additional, smaller decline in output coming from less consumer spending by those groups.

In such a scenario, the authors said, "legal immigration is slightly below where it was during the pre-pandemic Trump administration, while enforcement and deportation efforts reach levels not seen in recent decades."

A total of 3.2 million people would be deported during Trump's term under this projection, with net migration -- arrivals minus departures -- falling from 3.3 million in 2024 to negative 740,000 in 2025, boosted by a sharp rise in voluntary emigration.

In a more extreme scenario, which analysts say is highly unlikely, the impact on growth could be much more significant.

A recent Peterson Institute for International Economics report modeled the impact of expelling all 8.3 million unauthorized immigrant workers.

It predicted that economic growth by 2028 could be 7.4 percent beneath baseline estimates, "meaning no US net economic growth occurs over the second Trump term because of this policy alone."

At the same time, U.S. inflation would be 3.5 percentage points higher by 2026 than it would otherwise be, as employers raised wages to attract American workers.

But even in a less significant scenario, mass deportations could push up prices, analysts say.

Trump's immigration plans "could lead to big price increases in certain sectors of the economy, but could also lead to inflation," Michael Strain, AEI's director of economic policy studies, told AFP.

But mass deportations' aggregate effect on inflation would likely be small, economists at Pantheon Macroeconomics wrote in an investor note, "with upward pressure in sectors like agriculture and construction partly offset by weaker demand in general and slower inflation in some other areas, such as housing."

Most analysts expect legal, logistical and financial challenges will blunt the most extreme proposals -- as they did during the first Trump administration -- with the end result being that net migration eases modestly next year compared to pre-pandemic levels.

"We expect tighter policy to lower net immigration to 750k per year, moderately below the pre-pandemic average of 1 (million) per year," economists at Goldman Sachs wrote in an investor note.

"We're skeptical that the kind of deportations proposed on the campaign could occur," Oxford Economics chief U.S. economist Ryan Sweet wrote in a note to clients.

© 2024 AFP

©2024 GPlusMedia Inc.


49 Comments

Comments have been disabled You can no longer respond to this thread.

there is much confusion in deportation metrics. some sources use stats of people turned away at the border as deportations if they want to show high deportation numbers.

based on historical deportation numbers, the highest amount of deportations in one years of illegals residing in the u.s. was approximately 237,000.

according to forbes magazine, 88,000 jobs in the u.s. would be lost for every 1 million deportations. americans won’t fill those jobs. if they wanted, they would be filling those jobs now.

another glitch are countries who refuse to take the deportees back.

so, based on historical numbers again, the estimated direct cost to deport 10 million over 10 years would be approximately $1 trillion taxpayer dollars. that includes the costs needed to deport 3-4 times as many per year as historically done.

the job losses would be 880,000.

talk is just talk, action costs money.

0 ( +2 / -2 )

LOL

The AFP is talking about jobs while mainstreet USA is talking about deporting know criminals to save their children's lives.

Corporate news, still out of touch as usual.

1 ( +8 / -7 )

FizzBitToday  07:59 am JST

LOL

The AFP is talking about jobs while mainstreet USA is talking about deporting know criminals to save their children's lives.

Corporate news, still out of touch as usual.

Well said...

The left media has become a blind parrot... Still they think US public and fools and stupid

-3 ( +4 / -7 )

there is much confusion in deportation metrics. some sources use stats of people turned away at the border as deportations if they want to show high deportation numbers.

based on historical deportation numbers, the highest amount of deportations in one years of illegals residing in the u.s. was approximately 237,000.

Good

according to forbes magazine, 88,000 jobs in the u.s. would be lost for every 1 million deportations. americans won’t fill those jobs. if they wanted, they would be filling those jobs now.

That is pure political propaganda fear mongering

Byanother glitch are countries who refuse to take the deportees back.

They could be hit with sanctions if they have trade agreements with the U.S.

so, based on historical numbers again, the estimated direct cost to deport 10 million over 10 years would be approximately $1 trillion taxpayer dollars. that includes the costs needed to deport 3-4 times as many per year as historically done.

And it still won’t stop the incoming administration to deal with illegals, there is no dollar amount that you can put on safety.

the job losses would be 880,000.

Those jobs can be replaced by legal immigrants or Americans that want or need them. Sadly, employers that want to pay people under the table will now have to be more transparent and upfront.

talk is just talk, action costs money

And they will have it.

-3 ( +4 / -7 )

"Today our cities are flooded with illegal aliens," Trump said on the campaign trail earlier this year, adding: "Americans are being squeezed out of the labor force and their jobs are taken."

Only in Trump world are mass deportations going to bring down inflation and be a boon to the economy.

Citizens are not clamoring to be maids, roofers and field workers. Just like with his immigrants taking 'black jobs' quote it is clear Trump does not know exactly what a real 'job' is.

And speaking of the jobs Americans do want; the tech sector is experiencing mass layoffs due to automation.

https://www.techtarget.com/whatis/feature/Tech-sector-layoffs-explained-What-you-need-to-know

And in fact one South African illegal immigrant who is now in the Trump administration was responsible for 6000 of those at Twitter.

https://www.forbes.com/sites/antoniopequenoiv/2024/10/26/elon-musk-powerful-critic-of-illegal-immigrants-worked-illegally-in-us-at-start-of-career-report-says/

They are not going to take up the work in canneries and poultry processors vacant due to mass deportations.

0 ( +5 / -5 )

In order to make this simple for MAGA people, I have taken the altruistic gesture of providing a template of simple responses to any article which may be perceived as critical of Trump. Please feel free to choose any of the below, or, if you're feeling adventurous, roll a dice.

1) "No it couldn't"

2) "So what, the libs have been owned"

3) "Yee-hah!"

4) "That's your source? ROFLMAOOOOOOOOOOO!" (feel free to add more Os as needed)

5) "Mass media brainwashing conspiracy sheeple thing"

6) "We won you lost and whatever happens next will be a total triumph. U-S-A! U-S-A!"

4 ( +8 / -4 )

That is pure political propaganda fear mongering

forbes is a very conservative magazine/media company.

And it still won’t stop the incoming administration to deal with illegals, there is no dollar amount that you can put on safety.

if safety is your issue, why not spend it reducing crime by american citizens?

violent crime rates:

american citizens 1200 per 100,000 population

legal immigrants 800 per 100,000

undocumented immigrants 400 per 100,000

Those jobs can be replaced by legal immigrants or Americans that want or need them.

it that were true, they would be working in them now. they're not because they won't do the work.

6 ( +9 / -3 )

There will be a boom because Trump will increase energy production and increase deregulation

They are

https://x.com/behizytweets/status/1825342124310831335?s=46&t=YGWP_lcRZjddiWlx4QxURQ

it is clear Trump does not know exactly what a real 'job' is. 

He created thousands of them, what are you talking about, let’s stay in reality now.

And speaking of the jobs Americans do want; the tech sector is experiencing mass layoffs due to automation.

Yes, and at the same time, they need to run, maintained and to be cared for.

And in fact one South African illegal immigrant

He is an American citizen

who is now in the Trump administration was responsible for 6000 of those at Twitter. 

And Twitter is so much better for it. I use it every single day.

They are not going to take up the work in canneries and poultry processors vacant due to mass deportations

Again, you can do it by employing legal immigrants.

-3 ( +4 / -7 )

Again, you can do it by employing legal immigrants.

nice. let’s bring sharecropping and slavery back too, right?

any other “underclass” workers you have in mind? is that what trump meant by immigrants taking the black jobs?

3 ( +6 / -3 )

Trump's socialist tariff tax and the deportation if possible of 10 million people will cause a downturn for the economy.

2 ( +5 / -3 )

the oil company ceo’s say they don’t need or want to “drill baby drill” as trump said.

they say they cant use any more oil and the business is driven by economics, not politics.

1 ( +3 / -2 )

forbes is a very conservative magazine/media company.

Steve Forbes sold it and now its run partially by liberal centrist political hacks.

if safety is your issue, why not spend it reducing crime by american citizens?

Why not walk and chew gum at the same time, why not focus on the people first that shouldn’t even be here?

violent crime rates:

american citizens 1200 per 100,000 population

legal immigrants 800 per 100,000

undocumented immigrants 400 per 100,000

And to that argument, you can still reduce that number and get as many illegals out as possible. Liberal politicians don’t care, but the citizens do and this issue is another reason why the Dems lost.

it that were true,

It is

they would be working in them now. they're not because they won't do the work.

You can get ready and start putting ads up. Again, it’s going to happen and all the scare tactics and fear-mongering won’t change what’s to come. Trump now has a mandate, this is exactly what he campaigned on and this is what the people want. Democrat governors and mayors as well as illegals need to buckle up.

nice. let’s bring sharecropping and slavery back too, right?

Relax, stay on topic.

any other “underclass” workers you have in mind? is that what trump meant by immigrants taking the black jobs?

Black people are complaining about jobs being taken from them, so are they racist as well? Yeah, libs are just not going to win on this issue. If you want to get mad at anyone direct it towards Biden and Myorkas.

-3 ( +3 / -6 )

And speaking of the jobs Americans do want; the tech sector is experiencing mass layoffs due to automation.

Yes, and at the same time, they need to run, maintained and to be cared for.

Seems to imply that Americans laid off from tech industry work are going to be deliverers, home renovators, and nursing /day care workers.

The kind of jobs that could be vacated by mass deportations.

Maybe just Number #437 in MAGA mass delusions.

0 ( +3 / -3 )

forbes is a very conservative magazine/media company.

Steve Forbes sold it and now its run partially by liberal centrist political hacks.

I cite #4 on my list above:

4) "That's your source? ROFLMAOOOOOOOOOOO!" (feel free to add more Os as needed)

0 ( +3 / -3 )

in 1930, the america firsters (sound familiar) had a platform virtually identical to trump and maga - protectinist trade policies

the hawley-smoot tariff act sent the recession off a cliff to become the great depression.

the repercussions around the world set in motion the reactions by japan to secure resources, leading to the pacific war.

2 ( +4 / -2 )

The US has never tried to deport 10 million undocumented people. It does not have the means to identify, locate, detain, give due process to, and deport people back to their countries.

0 ( +3 / -3 )

The kind of jobs that could be vacated by mass deportations. 

Maybe just Number #437 in MAGA mass delusions.

I think Dems are delusional that they can stop the storm that is coming for these illegals.

"That's your source?

Yes.

in 1930, the america firsters (sound familiar) had a platform virtually identical to trump and maga - protectinist trade policies

the hawley-smoot tariff act sent the recession off a cliff to become the great depression.

the repercussions around the world set in motion the reactions by japan to secure resources, leading to the pacific war.

So what is the problem?

-4 ( +2 / -6 )

The US has never tried to deport 10 million undocumented people.

They will now

It does not have the means to identify, locate, detain, give due process to, and deport people back to their countries.

They are working on the logestics

-4 ( +2 / -6 )

Policies will be quickly put in place to incentivize self-deportation. Employers will be hit with huge fines and bad PR for hiring illegals for example.

Already, super-rich criminal cartels and their human traffic biz is collapsing. The border will be secured, their drug business will be risky as Trump will declare them terrorists and unleash the military on them.

-4 ( +1 / -5 )

The majority of Mexican drugs enter the US via ports of entry.

2 ( +3 / -1 )

bass4funk

The US has never tried to deport 10 million undocumented people.

They will now

Because you say so?

It does not have the means to identify, locate, detain, give due process to, and deport people back to their countries.

They are working on the logistics

But you cannot provide me with any info on how any of that will work in practice.

4 ( +5 / -1 )

Who will replace the 8.5 million undocumented who are employed and paying taxes?

4 ( +5 / -1 )

Work visas exist, many of these undocumented can get documented with help of their employer, LIKE every other civilized country. Does not equal pathway to citizenship, right to vote illegally, etc. Just work.

-4 ( +1 / -5 )

What about birthright citizenship? Can't deport those or their parents. How many will be having babies?

1 ( +2 / -1 )

% of US illegals filing tax returns is FAR less than 1% FYI, so almost all taxes paid are in the form of sales tax etc.

Most work under the table for cash, employers save lots of money, insurance and regulatory costs and legal risk etc.

-3 ( +1 / -4 )

However, with most such work qualifying visas, the illegal's family has to return to the country of origin.

-3 ( +1 / -4 )

Undocumented immigrants paid $96.7 billion in federal, state, and local taxes in 2022.

3 ( +4 / -1 )

Because you say so?

Because Tom Holman says so

It does not have the means to identify, locate, detain, give due process to, and deport people back to their countries.

They are working on the logistics

But you cannot provide me with any info on how any of that will work in practice. You don't have a clue.

That is not my job, that is Holman, Bondi, and Trump's job as well as BP, ICE, the DOJ and law enforcement's job. I really don't care what or how the left thinks, this will happen and there is not one thing they can do about it. Trump now has a mandate and he is going to use that, now can he get every single person, of course not, but he can get the vast majority of them because now the Feds will be allowed to do their actual job, arresting and detaining lawbreakers.

Who will replace the 8.5 million undocumented who are employed and paying taxes?

I am not worried about that, if they want to become legal and pay, stay, if they are not legal, leave.

-5 ( +1 / -6 )

What about birthright citizenship? Can't deport those or their parents. How many will be having babies?

If they are legal citizens, they can stay, if their parents are illegal, they can go back to the country of origin with them, so no families need to be broken up.

-4 ( +1 / -5 )

bass4funk

Because you say so?

Because Tom Holman says so

I see. Holman is some kind of magician who will make the undocumented disappear with his wand.

2 ( +3 / -1 )

bass4funk

What about birthright citizenship? Can't deport those or their parents. How many will be having babies?

If they are legal citizens, they can stay, if their parents are illegal, they can go back to the country of origin with them, so no families need to be broken up.

The problem is not about legal citizens. Children with birthright citizenship cannot be deported nor can their parents because the birthright child needs their support and protection.

2 ( +3 / -1 )

The last country that tried mass deportation was the Nazis.

2 ( +3 / -1 )

I see. Holman is some kind of magician who will make the undocumented disappear with his wand.

Something like that.

The problem is not about legal citizens. Children with birthright citizenship cannot be deported nor can their parents because the birthright child needs their support and protection.

Then they can send them together back with their parents to the country of their origin. They absolutely can be deported if they are minors of parents who broke immigration laws or they would have to reside with a relative that has legal status in the US, but either way, break the law and you are gone. Seems normal to me.

-3 ( +1 / -4 )

many confuse illegals with DACA residents, who are children of illegals, big difference.

DACA residents are documented, not illegal aliens

-2 ( +1 / -3 )

Almost any farmer in America employes immigrants on temporary seasonal work visas without their families.

What we've had under Biden Admin was not normal, open borders by design. Simply going back to following long established laws, what a concept!

-2 ( +1 / -3 )

DACA residents are documented, not illegal aliens

Yes, so Congress still has to find a way and a solution to fix their legal status problem, this is very different from the parents who want to have anchor babies with the hopes that they can stay and reside in the US.

-4 ( +1 / -5 )

Because Tom Holman says so

that is Holman

FYI, his family name is Homan.

0 ( +1 / -1 )

FYI, his family name is Homan.

Thanks

-3 ( +1 / -4 )

Illegals are hugely costly in terms of crime and social services, cities like NYC and Chicago became MUCH redder because of this issue and their credit ratings are heading into the toilet and their wealthy flee to Florida!

-2 ( +2 / -4 )

Gov. Abbot of Texas was maybe as big a factor as Elon Musk, all his bus deportations to blue cities nationalized the illegal immigration issue, hence TRUMP 2.0!

-3 ( +1 / -4 )

Gov. Abbot has been very successful in court fights with Biden Admin, defending his state's right to defend the border. Border crossing into Texas were the first to rapidly drop, as result illegal migrants had to move west.

-3 ( +1 / -4 )

The next big fight is birthright citizenship FYI, that's on the chopping block with super majority at SCOTUS

-3 ( +1 / -4 )

Homan has said illegals with children born in the US will be given the choice to leave with or without them.

A country without laws and borders is not a country in reality. Which is fine for the globalists, but not for ordinary citizens fearful for their life, jobs and cost of living due to housing shortages etc.

Was struck, an average US citizen said the real impact of these illegals on me? Car insurance, it's WAY up because they're almost all uninsured and unlicensed. In less than 4 years average US auto insurance up over 60%.

-2 ( +2 / -4 )

wallaceToday  01:04 pm JST

The last country that tried mass deportation was the Nazis.

False, President Eisenhower did it in the 1950's, operation wetback!

-1 ( +3 / -4 )

Give the undocumented workers ten-year work visas. Deport those with serious criminal offenses after they have served their prison time.

0 ( +1 / -1 )

His deportation plan will go into effect just after he gets Mexico to pay for a wall all along the border. You know, that big, beautiful wall that only he could get built.

1 ( +2 / -1 )

I remember the deportations back in the 1950s. They were just rounding up people with brown skin, so a lot of US citizens ended up getting sent south of the border. It was a real mess.

0 ( +1 / -1 )

How many unaccompanied undocumented children?

Between October 1, 2014, and March 1, 2023, the US Office of Refugee Resettlement (ORR) took custody of 568,890 unaccompanied migrant children.

-1 ( +0 / -1 )

Give the undocumented workers ten-year work visas.

Not if they broke the law.

Deport those with serious criminal offenses after they have served their prison time.

That is the plan

How many unaccompanied undocumented children?

Between October 1, 2014, and March 1, 2023, the US Office of Refugee Resettlement (ORR) took custody of 568,890 unaccompanied migrant children

That is on this admin hands as well as the over 300k kids that they lost and cannot find.

-3 ( +2 / -5 )

Articles, Offers & Useful Resources

A mix of what's trending on our other sites