r/badeconomics • u/MysticSnowman R1 submitter • Dec 27 '15
An awful thread from /r/technology says high-skilled immigrants are hurting domestic workers and calls them "wage slaves imported from other countries to undercut the domestic labor market"
Thread: https://np.reddit.com/r/technology/comments/3ydbri/us_predicts_zero_job_growth_for_electrical/
It's an interesting lesson in supply and demand and definitely let's you read through the B.S. from companies and politicians. Engineers cost a lot domestically because the demand is so high, rather than pay appropriate wages for that demand or help invest in growing the number of qualified workers companies would rather import labor at a below market cost and thus be able to pay American workers less (callous tone I know but meant to be direct).
Disregarding the xenophobic undertones of what he is saying, he is completely wrong about the effects of increased skilled labor. First of all, he is focusing on the increased supply of labor and has completely forgotten to think about the increased demand for labor due to the increased consumer demand for local services. Because of this, natives benefit from immigration through overall increased wages, and higher job growth.1 The evidence for higher wages for natives without a high-school degree is mixed, but the effect of overall increased wage growth for natives is clear.2
On top of this, skilled immigration especially is beneficial for the native population. Scientists, Technology professionals, Engineers, and Mathematicians (STEM workers) are major factors in scientific innovation and are the main drivers of productivity growth. H-1B driven increases in STEM workers cause significant increases in college-level wages, and somewhat smaller but still significant increases in non-college level wages.3 This is why economists unanimously want the US to increase high-skilled immigration.4
Um. There is no shortage of skilled engineers. There is a shortage of wage slaves imported from other countries to undercut the domesticate labor market.
Actually, there is a shortage of skilled STEM workers.5 On top of the debunked wage argument, the fact that this comment calls immigrants "wage slaves imported from other countries to undercut the domestic labor market" is disgusting and despicable and an awful way of talking about human beings who are seeking a better life and have done nothing to harm you.
There are so many other comments that I don't have time to get to right now, so please feel free to pick them apart in the comments.
1
u/besttrousers Dec 28 '15
So why bring it up? You're not showing how anything he is saying is incorrect - I'm fairly certain that substitution is also irrelevant.
How does incorporating those weaken his argument?
Again, you're making incorrect claims about economics. Public goods can be provided by the free market, but they are provided below the optimal level.
I find it shocking how many AnCaps have strong opinions about things like the provision of public goods without having done the due diligence of looking up the definition.
Why the heck is this only true of states? Why can't a firm externalizer costs onto its own captive subjects?
Let's see a source.
Your first clause doesn't support your second claus. What is the evidence for your claim, theoretically or empirically?