January 22, 2005


U.S. Immigration Could Spell Big Business (Reshma Kapadia, 1/22/05, Reuters)

The largest immigration boom in U.S. history is expected to lift earnings at companies from discount retailers to telecommunications providers, putting dollar signs in the eyes of investors looking to cash in on the wave of newcomers, mostly from Latin America and Asia.

Demographics is "one of the top five tools any macro analyst and investment manager should be following," said Robert Justich, senior managing director at Bear Stearns Asset Management. "And there has been no bigger demographic change than today's migration."

"If you are forecasting into the next two decades, you are looking at an economy with tremendous opportunities in the realm of immigrant-related activity," said Marcelo Suarez-Orozco, co-director of immigration studies at New York University. "Never have so many highly educated and highly skilled (people) come into the immigration flow." [...]

The recent wave is more diverse in terms of countries of origin -- from Mexico to India -- and educational levels, said Suarez-Orozco.

The largest group comes from Latin America and tend to be younger and just starting families, he said.

That is certain to drive additional business for those who sell clothing, own apartment complexes and build homes.

Making us bubble-proof.

Posted by Orrin Judd at January 22, 2005 11:22 PM

Immigration is an expropriation of capital from the sending to the receiving economy. By opening our golden door to the ambitious and energetic we are gathering the best and leaving the rest.

I love the smell of Spencerian evolution in the morning: it smells like victory.

Posted by: Lou Gots at January 23, 2005 9:01 AM

I've thought the best way to punish France, et al., is to allow and encourage the immigration of their best and brightest. It would only take 1% of their population, concentrated in technical, medical and similar fields, to provide the coup de grace to their economy and illusions of grandeur.

Posted by: Dave P at January 23, 2005 10:54 AM