The Role Of Illegal Immigrants In The Underground Economy

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The number of illegal aliens in the United States is rising at an alarming rate. In 2012 the United States Department of Homeland Security estimated that 11.4 million unauthorized immigrants were living in the United States 1. In a recent interview on MSNBC’s Morning Joe news program on July 24 2015 Donald Trump said, “I am now hearing it is 30 million, it could be 34 million, which is a much bigger problem. 2” If the numbers Donald Trump suggests are even close, the impact to the United States is going to be larger problem not limited to but in the following areas such as illegal immigration costs, the loss of minimum wage jobs, and the taxpayer cost for them illegal immigration.

The economy is directly affected by increasing illegal immigration
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A good portion of United States employers are happy to hire these illegal workers due to the fact that they can pay them a lower wage than pay a legal citizen a higher wage. A law enacted in 1986 states that you cannot employ illegal immigrants. To this day, employers ignore the law and hire the illegal workers in the underground economy. The underground economy is the part of the country’s economic activity that is not recorded and goes untaxed by its government. When hiring an illegal alien to work in any part of the economy, it has an overall effect of making that sector of the economy very unattractive due to the decrease in the wage paid. The more that illegal aliens that work in a certain sector in the economy are able to ultimately lower the price paid for that occupation which is unattractive to United State citizens due to the substandard wage paid. When illegal aliens come to the United States they are looking for a job, but they will do it for a lower amount than the Unite States citizen due to the fact of minimum wage and it is not enough money to keep up with their daily lifestyle. According to the Pew Hispanic Center estimated that the number of illegal aliens in the workforce are at eight million out of an overall population of eleven point two million illegal aliens. That means around seventy one percent of the workforce is made up of illegal immigrants

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