As Lawmakers Debate Border, Immigrants Set To Add $7 Trillion To Economy

According to a new estimate, migrants are set to boost the size of the U.S. workforce and the economy.

While Senate Republicans killed a border security bill Wednesday because they said it wasn’t tough enough, Congress’ own economists said immigration is set to add trillions of dollars to the U.S. economy over the next decade.

The finding, by the nonpartisan Congressional Budget Office, echoes other economists who say the surge in immigration may have already provided another benefit to the economy by helping it avoid a recession, even as the Federal Reserve hiked interest rates sharply in 2023.

CBO Director Phillip Swagel told reporters that the economy through 2033 was projected to be bigger than previously thought because the number of workers in the labor force would be greater. According to economists, population growth and productivity growth determine the pace of economic growth over the long run.

“The labor force in 2033 is larger by 5.2 million people, mostly because of higher net immigration. More workers mean more output and that in turn leads to additional tax revenue,” Swagel said at a briefing unveiling the agency’s annual economic and budget forecast.

“As a result of those changes in the labor force, we estimate that from 2023 to 2034, GDP will be greater by about $7 trillion and revenues will be greater by about $1 trillion than they would have been otherwise,” he said.