Cost of living and its effect on immigration
 

Questions - Will the market do what government and lack of political will have failed to do? Will the falling of the US dollar and the rise in the price of energy diminish incentive for immigration (illegal or not)? If the cost of living in the US increases the percentage of already sub-standard wages earned by illegal immigrants in the US taken up by mere subsistence results in less $ available to send back home, will the rewards be so slim that no one will come?

Re: Cost of living and its effect on immigration
 

Look at the example of France and the current riots by the discontent immigrants and ones of a couple years ago. They have had endemic unemployment for years and yet the immigrants came. Because no matter how less rosy the picture was in France, it was still a lot better than in Algeria or wherever they came from. Same with Podunk, Mexico vs. anywhere in the US. No matter how bad it gets here it's still better than 3rd world.

Re: Cost of living and its effect on immigration
 

Housing Slump Taking a Toll on Illegal Immigratns

It's clear that our economic problems will destroy the demand of alot of construction jobs where illegals are employed. But remember also agriculture is doing quite strongly and that has an offsetting effect.

In general while our woes may temporarily decrease the flow of immigrants our incomes are so much higher than our neighbors it's not going to solve our long term immigration problem. I still think we should restrict the low-skilled ones and embrace with completely open arms the highest-skilled ones. Partly for the political reasons conservatives fear and partly because so much of our wealth resides in human capital despite growing barriers of our design to growth.

Re: Cost of living and its effect on immigration
 

Obviously some people are going to come no matter what. In particular, immigrants who don't plan to send much or any money home (likely to be immigrants who come with their families) shouldn't be affected by exchange rates. (Although the housing slump will have an effect.) Immigrants who are here to earn money to send home will come in smaller numbers though.

I've read that a lot of the negatives associated with immigrants are largely a product of men without women, so an increase in family migration might alleviate the concerns of some immigration skeptics.

EDIT: Though the USD/peso exchange rate is almost exactly where it was in January.

Re: Cost of living and its effect on immigration
 

No even in a recession consummer non durable spending is robust as our economy supports this very well.

Re: Cost of living and its effect on immigration
 

The average person looking to move to escape poverty or persecution will not be up on or care about current market conditions. They don't think that deeply.
Lack of construction jobs stops some but most want to go to what is perceived as a land of opportunity. The worst condition of a developed country is still seen as better tha where they are for the most part.

Re: Cost of living and its effect on immigration
 

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The average person looking to move to escape poverty or persecution will not be up on or care about current market conditions. They don't think that deeply.

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You don't have to "think deeply" about market conditions to make decisions based on them. If no employers in the labour market doesn't offer income sufficient enough to move, they will not move. They don't need to read the WSJ to make employment decisions.

Re: Cost of living and its effect on immigration
 

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EDIT: Though the USD/peso exchange rate is almost exactly where it was in January.

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If the dollar ever completely tanks, the peso will likely quite intentionally tank with it. It's far more advantageous to Mexico to devaluate their own currency to match us than it would be to suddenly lose, say, 25% of the value of their foreign remittances.

Re: Cost of living and its effect on immigration
 

I doubt it, no matter how bad things get in America they're still 100x better than the [censored] holes these people escape from.

Re: Cost of living and its effect on immigration
 

A lot of immigrants also have perceptions of the other side from years and years of hearing of the success of others who did the same thing before.
A lot make the move without having jobs lined up (not counting those who cross for seasonal or temp opportunities like construction).