Thursday, January 19, 2006

Immigration & Social Security: A Brain Fart

I think it is time for Democrats to actually suggest that immigration is a good thing. If you look at protecting the federal programs that protect the poor and workers, a more liberalized immigration policy would do this country quite well. The United States is getting older and the demographic challenges of the next 30 years are going to give the Republicans more and more support for cutting off Social Security, Medicare, Medicaid and other programs on the "we have to cut the deficit" line (even though much of the deficits were created by huge tax cuts primarily helping those at the top of the income distribution and have cut severely into federal tax revenues. Increasing the legalized mobility of labor into the country will help the U.S. manage the demographic challenge by supplementing the work force with younger, tax-paying workers. It will also help stem the tide of illegal workers (many of whom would participate in an expanded legal immigration program). Many of these workers will not spend the rest of their life in the U.S. and therefore will contribute far more in taxes than they take out, even accounting for their higher fertility rates. This, along with sensible retractions of parts of the tax cuts of the past 5 years, will reduce the deficit, put federal programs on a more secure long-term fiscal footing and will enhance the strength of the constituencies who support them. This, along with a move towards a more cost-effective health insurance system that is publicly-financed, will provide the support and money to continue and expand important federal programs that help workers, the disabled and those living on low incomes.

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