Immigration Policy for Less-Skilled Workers

Some Reflections and Directions for Future Reform

This paper reviews the evidence on the effects of less-skilled immigration to the U.S., and considers the implications of this evidence for immigration reform ideas. It begins with a review of the costs of less-skilled immigration, in terms of competition to native-born American workers and fiscal costs; as well as the benefits of such immigration in the form of lower prices to consumers, higher profits for employers, and greater efficiency for the U.S. economy. The paper then reviews various reform ideas that have been proposed in Congress in recent years, and also considers a range of other ideas, that would likely raise the net benefits associated with less-skilled immigration to the U.S.