Impact Of Econy By Migration Essay, Research Paper
Migration is one of the most important issues facing international politics today and is becoming
more prevalent an issue every year. In 1980 the estimated number of refugees was 8.2m, 1990 -
15m, 1992 – 20m (Castles and Miller, 1993, p 84). In our society there are a lot of preconceptions
and prejudices about immigration and its effect: “they are stealing our jobs!” “They are all
scroungers” and “we are to generous to them”. It can be argued that these all arise from institutions
such as the tabloid media and right wing political groups, but also from past Government policy
which took a hard line on immigration and old colonial ideologies of mistrust and suspicion
towards foreigners which have been passed down through the ages. So what is the true economic
impact of immigration on a receiving country. Where does it have effect. Is it substantial or
minimal. Is it positive or negative. As immigration affects different countries in different ways, and
as there are so many different forms of immigration e.g. asylum seekers, refugees, temporary
settlers, permanent settlers, illegal immigration and immigration from one part of a country to
another, it is impossible to give universal answers to these questions. However I will examine the
arguments for and against immigration to try establish a picture of whether the economic impact on
the whole is positive or negative for a receiving country. I will focus primarily on the UK and USA
for case studies but will also look at the effects of immigration on third world countries. One of the
most common arguments against immigration is that it puts a strain on government expenditure.
Some economists argue that “social capital expenditure on housing and social services for
immigrants reduced the capital available for productive investment” (Castles and Miller, 1993, p
76). In Britain, the current media scare is “bogus asylum seekers” and how they are a huge drain
on the social services. A quote from the BBC web page sums up the anti immigration feeling in
this country: “We are too soft. I’m happy for the government allowing genuine asylum seekers into
this country. However something has to be done about the scroungers who think they could make
a better life here. There’s nothing for them – our classrooms are over-crowded, our hospitals can
barely cope and our social services are on the brink of collapse such is the demand for pensions
and benefits. It’s hard enough making a life for yourself when you live here by right. Simon
Skelton, UK” (http://newsvote.bbc.co.uk/hi/english/talking_point). The British National party
claim: “The procedure of investigation of ‘refugee’ claims, together with the job of attempting
(mostly in vain) to track down the bogus claimants is, needless to say, a big drain on the public
purse” (The British National Party – http://www.BNP.net/manif11.html). Also in the USA, There is
widespread opinion among Americans that “most immigrants wind up on welfare” (47 percent,
according to a 1986 poll; New York Times, July 14, 1986, 1)”
(http://www.cato.org/pubs/policy_report/pr-imopi.html). White extremist groups, such as Combat
18 claim “Allowing illegal aliens to stay within our borders while using technicalities and legal
resources paid for by our tax dollars is bad enough, we allow them to move here, but we give them
tax-free loans, jobs, free housing and welfare!” (http://www.whitepride.com/views/#immigration)
So, just how valid is the argument that immigration puts pressure on a receiving country to look
after them. When migration occurs on a major scale it creates major problems. Almost every
conflict or war creates huge numbers of refugees. This was the case in the Kosovo conflict when
Albania and Macedonia were overwhelmed with the number of refugees, and during the Rwandan
civil war, hundreds of thousands of refugees fled to neighbouring Zaire causing major
humanitarian catastrophes. In these circumstances immigration has a considerable effect upon a
countries budget. However, in both these examples and in many other conflicts the countries that
bore the brunt of the refugee flow were neighbours. Refugees do require a certain degree of
spending from the state, but the levels of refugees in Western Europe and America are slight when
compared to the number of native persons who are dependant on welfare. However, how much an
impact does immigration on the whole make on government spending. In a 1994 study entitled,
Immigration and Immigrants – Setting the Record Straight, by Michael Fix. Jeffrey S. Passel, it is
argued that, “when all levels of government are considered together, immigrants generate
significantly more in taxes paid than they cost in services received. This surplus is unevenly
distributed among different levels of government, with immigrants (and natives) generating a net
surplus to the federal government, but a net cost to some states and most localities” (Fi
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