An often debated topic in host countries is immigration. What is immigration? The term refers to the movement of people from their homeland to a host country. People often leave their home country in search of a better life for themselves as well as for their families back home.
Today, developing countries are home to more than one-third of the immigrants in the world. The United States is the top destination for Chinese immigrants. Almost 27 percent of Chinese live outside of China, according to mid-2019 estimates by the United Nations Population Division.
Are immigrants helping, or hurting their host country by entering it?
Let us look at 3 Economic Benefits Immigrants Provide to Their Host Country and how these contribute to the overall growth of the local economy.
1. High-skilled immigrants create new businesses, invent new products and services, and create jobs.
The amazing thing is, immigrants or their children founded more than 40 percent of Fortune 500 companies. These immigrant-founded Fortune 500s employ 10 million people and have combined global revenues of $4.2 trillion. By expanding the workforce, immigrants increase the level of output, which is one of the main drivers of economic growth.
Many people move overseas to improve their career prospects. Thanks to the ‘immigration surplus,’ they boost the host country’s economy at the same time. Immigrants blend into the host country’s labor force in proportional to their economic contribution.
Since immigrants are not bound to any particular part of the host country, they are allowed to move and open up jobs wherever the need is greatest.
By gaining legal entry into the country, host nations can reap benefits from the economic growth from immigration. When a host country is chosen for the reason for an immigrant’s shift, positive changes can be made in the system to expand the supply chain.
2. Introducing new skills
In some cases, immigrants bring with them skills that may be missing from the economy where they move to.
Many immigrants developed some of the biggest companies in the tech industry. Twenty-five of the wealthiest and most developed countries in the world have recorded an average of 22.5 % immigrant-born population. While the US has 12.8%, Hong Kong has 42.6%, and Switzerland has 22.9%.
‘Skilled migrants,’ as they are popularly known, help the host economy through inward remittances. They also bring additional abilities to boost innovation and research. Studies show that 30 million of these immigrants are highly educated individuals that harmonize skill levels in their host countries.
3. Immigration makes the world more connected
Immigration boosts the national birth rate, a number that has hit a historic low, according to Jean Danhong Chen, an immigrant lawyer. As the immigration population grows, the world becomes more interconnected each year. People from different backgrounds develop friendships, and share cultural events with each other.
In all cases, people looking to resettle in a new country are just seeking a better life, just as people have done in all . Creating an environment — both legally and socially — where they’re allowed to build a new life is a way to promote the general betterment of humanity.