Ensuring Future Growth
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For the first time in five decades, more than half of the counties in the United States lost population. That according to data released by the U.S. Census Bureau last week.
Two-thirds of rural counties lost population over the past decade, as did with just over one-third of metropolitan counties.
The U.S. population grew by only 7.4 percent over the past decade, the smallest increase since the 1930s.
A declining birth rate is the primary reason. The average American adult of child-rearing age today has 17 percent fewer children than in 1990 — and about 50 percent fewer than in 1960. There are now more Americans 80 and older than 2 or younger.
All indications are that the workforce will continue to decline in size relative to our aging population, increasing the burden on working America to shore up the social programs relied upon by aging America. It means our demographic stagnation will hamper future economic growth.
A modest increase in the birthrate will not solve the problem. There remains but one clear solution -- welcoming more immigrants into this country.
Most have a strong work ethic and truly want to make America a better place. A new study from the National Bureau of Economic Research on immigrant entrepreneurship in the United States quantifies the extent to which immigrant-founded businesses add value to the economy of the nation as a whole.
Immigrants create about 25 percent of new businesses in the U.S. (those five years old or less), while the immigrant share exceeds 40 percent of new firms in California, New York, New Jersey, and Florida.
In Silicon Valley, more than half of all firm founders are immigrants.Forty-five percent of Fortune 500 companies were founded by immigrants or by their children.
The jobs and innovations created by immigrant-founded firms benefit everyone. Moreover, these businesses typically have a higher survival rate than comparable native-born businesses.
Immigrants also commit fewer crimes than the average of all U.S. residents. The reality is that they make our country more economically competitive, often taking jobs that other Americans do not want to do.
The good news is that Americans are more accepting of immigrants than in the past.
Back in 1975, only 7 percent of Americans wanted to increase immigration, 37 percent wanted to maintain present levels, and 42 percent wanted to decrease it, according to Gallup.
Today about as many Americans want to increase immigration (29 percent) as decrease it (33 percent), according to the Cato Institute 2021 Immigration Survey.
Dean Barber is the principal of BBA, a Dallas-based consultancy that helps economic development organizations nationwide change lives. BBA also helps companies with site selection, finding optimal locations where risks are reduced and a return on investment is enhanced. To learn more, visit us at barberadvisors.com