Refugees and the U.S. Economy: A Driving Force
The Economic Impact of Refugees
Job Creation: Refugees often become entrepreneurs, invigorating local economies. The Fiscal Policy Institute reports that immigrants, including refugees, are more likely to start new businesses than native-born citizens. In Minnesota, refugees have founded over 1,100 businesses, significantly boosting the state's economy, let alone all of the other states in the US.
Workforce Participation: Refugees actively participate in the U.S. labor force, filling gaps in various industries. Data from the U.S. Bureau of Labor Statistics reveals that refugees make up approximately 12% of all registered nurses and 7% of all physicians in the United States. This saturation is not only found in healthcare, but a wide variety of sectors.
Tax Contributions: Statistical data from the U.S. National Bureau of Economic Research demonstrates that refugees pay more in taxes than they receive in benefits, strengthening the nation's public finances. A study by the New American Economy found that refugees in the United States paid over $21 billion in taxes and contributed $63 billion to the economy in a year alone.
Skills and Innovation: Refugees bring valuable skills and diverse perspectives, driving innovation and economic growth. A Tent Partnership for Refugees study found that refugees established more than 30,000 businesses in the United States, employing hundreds of thousands.
In Texas, refugees are more likely to start new businesses than native-born citizens. For instance, data shows that refugees in Texas generated over $41 billion in business income in a single year. In California, refugee owned businesses contributed over $650 billion to the state's GDP.
Syrian refugee Nabil Hassas came to America as an only child with his parents at 18 in 2018, as a now successful restaurant owner he says,
“As a refugee who arrived in this country seeking safety and opportunity, I'm incredibly proud to have established my own business here. It's not just about personal success; it's about giving back to the community that welcomed me. My business not only supports my family but also creates jobs, fosters diversity, and contributes to the local economy. I believe in the power of entrepreneurship to change lives, and I'm grateful for the chance to make a positive impact in my new home”
Local Economic Revitalization: Research by the Organization for Economic Co-operation and Development (OECD) reveals that refugee resettlement rejuvenates declining U.S. communities. They stimulate local economies, increase housing demand, and support small businesses. For example, in Cleveland, Ohio, refugees contributed to a 2% population increase playing a significant role in neighborhood revitalization.
President Obama stated in a speech regarding the refugee immigration crisis, “We’re here because there are fathers who simply want to build a new life and provide for their families -- like Refaai Hamo, from Syria, who lost his wife and daughter in the war, who we welcomed to America, and who says, “I still think I have a chance to make a difference in the world.”
By starting businesses, filling labor force gaps, and paying substantial taxes, refugees stimulate economic growth and job opportunities for both themselves and native-born citizens. Their unique skills and diverse perspectives drive innovation, making the United States more competitive globally.
Refugees in the United States are a force for economic growth, job creation, and community development. The statistics speak volumes, highlighting their valuable contributions. Recognizing and harnessing this economic potential is essential, allowing the United States to work toward inclusive, compassionate, and economically prosperous solutions for the refugee crisis within its borders.
