Immigration boosts innovation and wages in the US. The positive dynamic impact of immigration on innovation and wages dominates the short-run negative impact of increased labor supply. Increased immigration to the US since 1965 is estimated to have increased innovation and wages by 5%.

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In just one year, the Trump administration’s highly visible crusade against immigration has brought new entries into the U.S. to a grinding halt. The demographic consequences are already starting to show up in economic data, and could soon worsen the increasingly dire state of the nation’s $38.8 trillion (and growing) national debt.