Trump's immigration policy: US economy is in danger of collapse!

Trump's immigration policy: US economy is in danger of collapse!

A storm is raging in the USA that is shaking the economy. Companies in various sectors are preparing for unannounced raids by the immigration agency ICE. These measures are aimed at removing illegal immigrants from their workplaces, and the consequences are anything but harmless. The construction industry, agriculture, health care as well as the catering and hotel industries are particularly affected. Loud Mercury Companies have developed guidelines to prepare for the impending raids. Lawyers recommend keeping lists of employees without a valid residence permit and recording these raids in writing.

The chaos cannot be overlooked. Many workers with South American roots are driven away by fears and insecurities: they no longer come to work out of sheer fear of possible deportation. Statistics show that migrants make up about 28 percent of the workforce in healthcare, 44 percent in manufacturing and 40 percent in construction. It is estimated that there are around 11 million undocumented immigrants living in the United States, making the situation even more dire.

Trump is rethinking his migration policy

Donald Trump, the current president, has begun to rethink his aggressive migration policies. The underlying problem is clear: the policy is significantly damaging the U.S. economy. It has been reported that some companies have suffered sales drops of up to 50 percent. In line with this action, Trump has ordered ICE to largely suspend raids on key sectors such as agriculture and hotels and restaurants. This shows that even the president recognizes the impact on the economy and is trying to find a balance, so Time online.

The aggressive immigration policy is perceived not only as harmful to the economy, but also as problematic in terms of social tensions. Protests against these measures are escalating, particularly in Los Angeles, and Trump has mobilized soldiers to prevent further escalation of violence. These raids are fueling fears among “undocumented immigrants,” people without a valid residence permit.

Economic consequences of immigration

A bigger picture is painted by the dizzying numbers. According to estimates, around 31 million immigrants work in the USA, making up 19.2 percent of the total workforce. In 2022, approximately 8.3 million of these workers were “unauthorized immigrants.” They are generally less educated and often work in service jobs. Trump's argument that immigration depresses wages is supported by some studies, while others find a positive effect on wages.

However, these people make important contributions to the US economy. They are estimated to contribute around $97 billion to tax revenue in 2022 and their purchasing power was estimated at $254 billion. Increasing economic growth is also associated with increasing net immigration, which increases U.S. GDP by about 8 percent. However, Trump's restrictive policies could lead to a shortage of skilled workers in certain industries, such as Mirror reported.

So while the economic situation in the USA is getting worse, there remains uncertainty as to what the long-term impact of migration policy will be. The decline in immigration could have both short-term and long-term consequences for the labor market that are difficult to estimate.