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Posted on
07/13/2007 12:58 AM EST
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Our shrinking middle class
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Robert Miranda
There are many conservative political pundits and radio commentators attacking immigrants at all levels for the social ills of América to its economic woes. From crime on the streets to work related concerns, most conservative talking-heads view immigration as the driving force behind América’s domestic problems.
Indeed, one of the problems that right-wingers are trying to place on the necks of immigrants is the problem of the shrinking middle class.
Right-wing commentators and politicians fail to recognize the fact that the free trade initiatives of the late 1980s and early 1990s have provided corporations opportunities to leave América for cheaper labor abroad. Another cause for the shrinking of the Middle Class is divorce.
A study released by Harvard University titled The Middle Class on the Precipice provides compelling information pointing to the fact “that post-divorce, both women and men are struggling to make ends meet as they try to support two households on the same combined income.”
The study shows that divorce is making retirement impossible. Divorce negatively impacts the affordability and availability of health care plans, forcing many older Americans to use up their savings in order to heal themselves from illnesses.
Still, when one looks at the realities of our economy it is clear that for many in the middle class, “trickle-down economics” is not working today. Wall Street continues to record high levels of stock gains and yet over 45 million Americans are still without medical health insurance.
That wasn’t always the case. A generation ago, América was a model for the post-World War II, middle-class lifestyle. High-wage manufacturing jobs were abundant. When the free trade policies of the United States started up, the industry collapsed, many corporations left in search of cheap labor.
Even more damaging to the middle class is the fact that jobs have also been taken by machines, further shrinking the middle class. Automation has become a major player in workforce reduction.
With jobs that used to keep the middle class afloat going offshore so that companies can capitalize on cheaper labor in other countries, coupled with higher living costs, divorce and automation, how can any of these right-wing commentators look at América with a straight face and say immigration is the cause of the shrinking middle class?
The reality is this; illegal immigrants contribute about as much to the public coffers in taxes as they receive in benefits. Data by the League of United Latin American Citizens and other organizations suggest that the undocumented pay almost half as much in taxes, but use about 45 percent of the public services. Many respected economists agree that both legal and illegal immigrants are beneficial economically to our nation.
In addition, studies have shown that Latinos are more likely to work in service occupations than non-Hispanic whites (19.4% and 11.8% respectively). According to the Department of Labor, Bureau of Labor Statistics, 14% of Latinos were employed in managerial or professional occupations, compared with 33.2% of the non-Hispanic whites.
Further, Latino workers earn less than non-Hispanic workers. The Bureau of Labor Statistics reports that in 1999, 23.3% of Latinos and 49.3% of non-Hispanic Whites earned $35,000 or more. In this same year, 22.8 percent of Latinos were living in poverty, compared with 7.7% of non-Hispanic Whites.
Many studies have pointed out that in all their combined roles, immigrants make indispensable contributions to our economy. They make tax payments; they help finance the costs of schools, health care, roads, welfare payments, Social Security, and the nation’s defense. They even fight our nation’s wars.
They are not taking hundreds of thousands of middle class jobs, and the middle class is not lining up to take on low wage unskilled work.
Indeed, immigrants, documented or not, are certainly not the cause for the shrinking of the middle class.
Robert Miranda, a frequent contributing columnist to HispanicVista.com is a national award winning columnist, Latino community activist and Publisher of the Milwaukee Spanish Journal.
© 2007 HispanicVista.com, Inc.
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