In the decades between 1950-1990, a 1% increase in immigration was associated with a significant increase in native earnings (fig.A) (Kposowa, 94). The decrease in 1940-1950 may be attributable to lowered immigration resulting from the Great Depression. In fact, illegal immigration from Mexico nearly came to a halt during this time (Kposowa, 95). The large jump in 1980-1990 may be due to the legalization of numerous aliens by the Immigration Reform and Control Act of 1886. This furthers the idea that increased immigration does not lower native wages.
Fig. A. Effect of immigration on native income .
1940-1950 1950-1960 1960-1970 1970-1980 1980-1990.
Coefficient of.
Native income per 1% immigration. .
-$4.363 .
+$23.900 .
+$52.992 .
+$54.988 .
+$126.388.
Kposowa, 1998.
There is a common conception that immigrants overburden public assistance programs. However, this idea has been exaggerated to the point of falsity and is becoming a misconception over time. A 1992 U.S. Department of Justice study found that less than 1% of immigrants legalized under the 1986 amnesty had received social aid (del Olmo, 95). Another study shows that immigrants were only slightly more likely than natives to utilize public assistance from 1950-1960. However 1960-1980 shows no significant difference between immigrant and native usage of social services (Fig B). This is despite a marked increase in likelihood of non-whites (compared to whites) to use social services during this time period (Kposowa, 148). It is important to note that these numbers are for legal immigrants. The study shows that illegal immigrants use social services much less than natives (-.598 logit coefficient) (Kposowa, 151). This may be due to inability to use these services, or may be because the sick and elderly remain in Mexico. In any case, immigrants use social services about as much as natives, while illegal immigrants use services much less.
Fig. B. Social Service Usage: Difference coefficients between immigrants & natives and non-whites & whites.