Political Science
Every action has an equal and opposite reaction. This fundamental law of physics also sees an application when it comes to the U.S economic policy and it’s affect on immigration. The United States’ economic policies both on the nationally and globally have throughout history shaped the modern day immigration scene. From the American model of neo-mercantilist colonization of Latin American countries such as Cuba and Puerto Rico, creating more open markets through military intervention in Nicaragua, Guatemala, and El Salvador, to creating a domestic demand for cheap labor in the agricultural, construction and domestic industries, the U.S. economic policies of past and present share a causational relationship with U.S. immigration.
What is the Immigration Issue?
The face of the USA has changed beyond recognition in the last decades. Never has the population been so diverse. This phenomenon affected all spheres of life in the United States. While the overall result of this phenomenon is controversial, issues that emerged in recent years are indisputable.
The most visible one is the social tension that can be seen everywhere – from a small town to megapolis. Different traditions, mentality, language and other cultural distinctions separate people. The country that has not completely overcome the consequences of its colonial past (mainly, inequality of white and black population) is not able to integrate other nations in its society.
Failure of integration led to increase of a crime rate. The number of ethnic enclaves has multiplied since the extremely active growth of immigration has begun. Their inhabitants do not tend to assimilate and usually live according to their “rules and principles”, so the police reduce its intervention to a minimum.
Whereas immigrants are prone to work for less money, and under worse conditions, domestic labor market suffers greatly. Americans lose their competitiveness and become unclaimed. It leads to increase of unemployment and reduction of life quality for average US citizens.
In addition, the cities become overpopulated. It leads to the typical consequences – pollution, noise, crowds of people and so on. All these factors reflect the Immigration Issues of the United States.
History of Colonization
Neo-mercantilist Quest
What is American Neo-Mercantilism?
The current situation has a strong historical background. The foundation was laid in the distant past, at the period of colonization. A starting point was Latin America where American model of neo-mercantilism served for exploitation of countries. This gist of the policy was to produce outside the U.S. instead of importing. It follows that American capital went on the establishment of plantations, enterprises, mines and so on. The economic expansion led to a strengthening of interdependence between the USA and satellite countries.
Colonization of Cuba
One of the most notable imperialist encroachments was the colonization of Cuba. The establishment of a total control over it would have provided an opportunity for the U.S. to dominate in Gulf of Mexico and Caribbean Sea. American capital had a special interest for this area. By that time, the U.S. strengthened its position on the sugar market, and Cuba was a major producer of this commodity.
In the XIX Cuba was desperately struggling for independence from Spain. The US used the situation and helped the rebels. In the result, Spain was defeated. Afterwards, the USA had occupied the country and began to exploit it as a colony, despite the fact that they allegedly helped Cuba to gain independence.
In the interests of American capital, the reorganization of sugar production had begun. By the end of XIX century, 161 large enterprises had been established with their own raw areas, towns, and transportation systems. Thanks to Cuba, the U.S. entrepreneurs got rich during the "sugar boom" in 1913–1922.
Before the era of Cuba and USSR friendship, the US had devastated the island through its economic discrimination towards the local population, which was not able to be masters on their own land.
Colonization of Puerto Rico
Another object of colonization was Puerto Rico. Unlike Cuba, it has not witnessed occupation. The island came into the possession of Americans peacefully, as a contribution from Spain. The U.S. did not meet here strong opposition and easily incorporated this land. Moreover, the inhabitants of the island obtained similar rights to those that American citizens had (especially after Puerto Ricans were granted U.S. citizenship).
The main advantage of this colony was rather strategic. It was used as a laboratory to test policies for economic penetration of Latin America and the Caribbean. Nevertheless, the status of the country has not been changed yet, and it is still unincorporated territory of the United States.
History of Military Intervention
Opening Free Markets
MI in Nicaragua
There were several U.S. interventions in Nicaragua. One of the most significant took place during “Banana Wars”. The military company formally started in 1912. The aim of intervention was to stave off the construction of a Nicaraguan Canal by anybody except the USA. The period of occupation ended in 1933 due to lack of funds for further financing of the War. At that time, the U.S. economy was suffocating from Great Depression. They main military forces returned to the homeland. Nevertheless, the U.S. government, with the support of Somoza García, established the Guardia Nacional. It was a military force that protected the interests of the USA in Nicaragua.
MI in Guatemala
In Guatemala, the U.S. supported coup d’état in 1954. The U.S. government was concerned about the policy of Guatemalan Government, seeing it as a manifestation of communist influence in Latin America. In 1951 Jacobo Arbenz was elected as the president of Guatemala. In the United States, he was believed to be pro-Soviet.
Moreover, Arbenz instigated agrarian reform that constituted a menace to the U.S. multinational corporation "United Fruit Company". Allen Dulles (CIA director from 1953 to 1961) was its shareholder, and also had major interests in Guatemala. He was lobbying at various levels of the U.S. government to take action against Arbenz.
MI in El Salvador
The peculiarity of military interventions in El Salvador is an absence throughout the history of U.S. troops on Salvadoran territory. The USA was financing military conflicts in the country by shipping arms, but they have never taken part in war directly. The most considerable conflict was Salvadoran Civil War (1979–1992). The United States were supporting Salvadoran government forces because of their conventional fear - the establishment of the communist regime.
Modern Effects of Colonization
Modern Immigration Issue
Effects of Cuban Colonization
The continued presence of Americans on foreign soil unavoidably hardened connection between them and local population. Back in those days, it allowed some lucky people from satellite states to move into the United States.
Significant migration of Cubans to Miami was predetermined by U.S. external policy. People allegedly were seeking for political asylum and better living conditions and the USA was not able to refuse them. First reason lies in liberal and democratic principles of the U.S. Second one is guilt for Communism spread on the island. If Cuba had not experienced the oppression of the U.S., it would have never turned to communist ideas. As a result, the Cubans have dramatically changed the cultural background of Miami. The average city dweller is more associated with Latin-American than White American. In addition to numerical Cuban neighborhoods, today it is impossible to find an area where the Cubans do not inhabit. Spanish is the main mean of communication in this city. It is not officially declared, but English is reportedly not popular among the population. On the contrary, the Spanish language is used not only on the street, but also in public institutions.
Effects of Puerto Rican Colonization
Puerto Ricans, unlike Cubans, have been immigrating legally since 1917 (Jones–Shafroth Act). They were also coming to Miami, but they used it rather as an entrepot. Their primary destination was New York and it still remains the main place of this nation concentration. Unlike Cubans, they have not totally changed cultural background of the city. They made an impact on cultural life and brought their contribution to the overall development of the city. Evidently, Puerto Ricans also migrated to other states and cities. They are one of those nations which the United States government has been using as cheap labor since the country had become unincorporated territory. Nowadays, the tendency does not decline as the US is still in need of a cheap labor.
Effects of Guatemalan, Nicaraguan and Salvadoran Colonization
A major part Guatemalans immigrated to California. They are also numerous in Illinois, Florida New York, Texas, New Jersey, Georgia and other states. Similar places to live chose Nicaraguans and Salvadorans. As Puerto Ricans, these nations served as a cheap labor force. They have modified the lifestyle of neighborhoods where they live. They partly preserved their customs, language and religion.
Nowadays, post-colonial nations have different privileges that allow them to immigrate more easily. Those U.S. citizens that have families in these countries can invite them through the procedure of family reconciliation. Furthermore, many Latinos stand in solidarity with their compatriots and try every possible way to help them to move into the "land of opportunities and freedom."
Some of these Hispanics do business on it. They organized human trafficking, which provides a constant flow of illegal immigrants from these countries. A lot people even pay for this service and afterwards become forced to work for peanuts (Bargent 2013).
Desire for Cheap Labor
Necessity of Cheap Labor Force
The process of immigration in the USA is frequently justified as an extreme necessity in cheap labor force. Is this statement correct? There is no dispute that Americans are not likely to work for a minimum wage, not even talking about less. However, the world economic crisis changed the mind of U.S. citizens. They are capricious no more and prone to work for peanuts. Nevertheless, they still cannot compete with immigrants who are ready to work illegally, under horrible conditions.
The current situation, when domestic labor force becomes unemployed, is a result of foreign policy of the United States that has formed throughout centuries. The fact that the U.S. has always been using cheap labor from outside the country is undeniable. The question is: "Was it always rational?"
Back in the days, when the United States were increasing strength by massive production and expansion of borders, the necessity in the labor force was nearly infinite. New lands, new factories and new industries provoked a necessity to multiply the population in a short period. Clearly, only immigration could meet such demand. Nonetheless, when the borders of the U.S. ceased to expand, hard times were over, and the economy started to grow stably, the demand on workforce commenced to stabilize too. Meanwhile, the immigration flux, unlike economic growth, has never ceased. This is the main reason of disproportion between demand and supply on labor market today.
Comparison of Other Countries Labor Force
Nearly the same situation on this market we can see in France. This country has also colonial past and used to import slaves from Africa. Once it was a mighty, fast-growing empire, and it was constantly in need of workers. However, after the empire ceased to expand, abandoned its colonies and subsequently turned into republic, labor demand stabilized. The country does not have any necessity in even cheap labor force since it is already overcrowded by immigrants from former colonies. France failed to control immigration flux even more than U.S. and any other country in the world.
Germany can be taken as yet another country for comparison. Its colonial past is different since it was not bringing slaves in the country to use a cheap labor force. They exploited slaves on distance, mainly in colonies. Still, after the end of World War II, when the country was in ruin and most of the men died, it abruptly became in need of cheap workforce that would rebuild Germany. Since that moment, a rapid increase in immigration of Turks began. After the end of Wirtschaftswunder, the rate of growth of labor demand declined, but not so drastically as in France and the United States. Forasmuch as Germany is the growth engine of the European economy it still needs a cheap labor force. Especially, considering current demographic situation, when nation is aging and the birth rate is extremely low, in earnest, there is a question of Germans' replacement since they can become extinct in 50 years. Germany undoubtedly has a lot of problems that directly concern immigration, but the necessity of cheap labor force in this country is real.
Agriculture Industry
Farm Workers Needed Cheap
History of American Agriculture
Agriculture in the U.S. appeared a long time ago, at the time of the Indians. The States were mainly cultivating wheat, barley, tomatoes and potatoes. The industry significantly stepped up with the arrival of African slaves in the eighteenth century. In the 60-ies of the XIX century, there were occupied about 60% of the population in the agriculture sector. Agriculture was spreading to the West.
Demand increase in the domestic market due to growing urban population and the development of light industry and food industry contributed to agriculture development. From the middle of the XIX century, slavery increasingly hindered further industrial development of the country. In Kansas, 1854-1856, emerged clashes between farmers and slave owners that soon escalated into an armed struggle. After the victory of Union in the Civil War and the abolition of slavery, the Homestead Act of 1862 was adopted. According to this law, migrants were granted the land for little or no cost. In return, they pledged to cultivate the land.
On 12 May, 1933, the Agricultural Adjustment Act was promulgated. The aim was to protect farmers against the vagaries of the market by distributing federal grants and controlling production.
During the Great Depression, a lot of farms were abandoned. Notwithstanding, throughout Second World War the agriculture sector was intensively developing due to the growth of European demand. After the war, the growth in the U.S. stabilized. Meanwhile, the competition on the world market began to intensify.
Competition from Other Countries
Today's position of the USA among the world’s agricultural producers is not as strong as before. Once the largest agricultural producer in the world now is in several times behind China, India and the European Union.
The explanation is not complicated. The U.S. is a developed industrial country. Agriculture sector is not the country’s priority anymore.
Wage Discrimination
Labor demand in the agriculture sector diminished during the last decades due to automatization and mechanization of industry. Moreover, increase of minimum wage, in fact, lowered the wage of agricultural workers and stimulated workers from other industries to move to the agriculture sector. Major part of them consists from immigrants since they are ready to work for below-minimum wage.
Common Practices
Sanctions against the employer shall apply only in those cases when he consciously hires an illegal immigrant. If he does not know about his illegal stay on the territory of the United States, he is relieved of responsibility. In theory, the employer may require the candidate documents confirming his status as a resident, but such measures often deemed discriminatory, as they are usually applied towards persons of Hispanic origin. Making use of this, employers deliberately do not ask for this information.
Another trick is to use intermediaries for hiring illegal immigrants (sub-contractors), who would face full responsibility when breaches are found.
Construction Industry
Construction is one of the most popular industries among immigrants (especially Mexicans and other Hispanics). Approximately 20% of all employees were born outside of the U.S. This industry requires low-skilled and industrious workers, so immigrants perfectly meet the criteria. Despite the fact that the average wage of a worker is low, there are still a lot of Americans prepared to work in this industry. According to statistics, more than a million unemployed Americans had been working in the construction industry before they lost their job. Meanwhile, the government continues to issue W-visa to a growing number of illegal immigrants (Chew April 24, 2013).
Domestic Work Industry
Immigration directly affected domestic work industry. The majority of employees are immigrants. The U.S. citizens are not able to pay much for the services, due to the hard times. In the meantime, since children and parents are the most valuable people in life, we cannot leave them to incompetent people. It is not easy to find a trustworthy American on labor market who is ready to work for below-minimum wage. Moreover, the relationships between employer and employee are not similar to those that were in the past. Such employee is considered as subordinate rather than a member of a family.
Bibliography
Briggs, Laura. Reproducing Empire: Race, Sex, Science, and U.S. Imperialism in Puerto Rico. Berkely: University of California Press, 2002.
Solaun, Mauricio. U.S. Intervention and Regime Change in Nicaragua. Omaha: University of Nebraska Press, 2005.
Dent, David. U.S.-Latin American Policymaking: A Reference Handbook. Greenwodd: Greenwood Publishing Group, 1995.
Perez, Maria. Puerto Ricans in the United States: (The New Americans). Greenwood: Greenwood Publishing Group, 2000.
Domínguez, Jorge, and Rafael Fernández de Castro.Contemporary U.S.-Latin American Relations. New York City: Routledge, 2010.
Cochrane, Willard. Development of American Agriculture: A Historical Analysis. Minnesota: Univ Of Minnesota Press, 1993.
Bargent, James. "Migrants Pay Up to $20,000 to Cross US-Mexico Border." InSight Crime, July 09, 2013. http://www.insightcrime.org/news-briefs/migrants-pay-up-to-$20000-to-cross-us-mexico-border (accessed November 11, 2013).
Chew, Cassie. PBS, "'W-Visa' Would Enable Lower-Skilled Foreigners to Legally Work in U.S.." Last modified April 24, 2013. Accessed November 11, 2013. http://www.pbs.org/newshour/rundown/2013/04/proposed-w-visa-program-would-enable-lower-skilled-foreign-born-workers-to-come-to-us-legally.html.
