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DREAM Act Would Create 1.4 Million Jobs: Report

More Lax Immigration Laws Would Create More Jobs: Report
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Economics writer

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Supporters of the DREAM Act, some wearing graduation gowns, listen to testimony by Homeland Security Secretary Janet Napolitano and Education Secretary Arne Duncan, on Capitol Hill in Washington, Tuesday, June 28, 2011, during the Senate subcommittee on Immigration, Refugees, and Border Security hearing. (AP Photo/Charles Dharapak)

Contrary to popular belief, a more lenient immigration system may make it easier for native-born Americans to find work.

The DREAM Act, a bill that would provide a path to citizenship for the children of undocumented immigrants that finish high school and some college or military service, would create 1.4 million jobs and add $329 billion to the U.S. economy by 2030, according to a new report from the left-leaning think tank Center for American Progress.

Critics of the DREAM Act claim that giving amnesty to the educated children of undocumented immigrants would take jobs away from native-born Americans. But CAP found that as the children of undocumented immigrants acquire more education in the path to citizenship, they in turn become more qualified for better-paying jobs that allow them to buy more goods and services, boosting the incomes of the workers that produce those goods and services.

The CAP analysis focuses only on the economic benefits of the DREAM Act and not the costs. But the authors noted that the costs will probably be "limited," partly because immigrants' skills tend to complement the skills of the native-born rather than supplant them.

As the U.S. birth rate has plunged to new lows, the U.S. has been relying on immigration in order to maintain population growth, a necessity for boosting innovation and economic growth.

President Barack Obama supports the DREAM Act, and the House of Representatives passed it, but Senate Republicans killed the bill in 2010. Nonetheless, the Obama administration unilaterally stopped deporting young undocumented immigrants in June.

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Before You Go

What The GOP Doesn't Want You To Know About The Deficit
The Deficit Has Grown Mostly Because Of The Recession(01 of11)
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The deficit has ballooned not because of specific spending measures, but because of the recession. The deficit more than doubled between 2008 and 2009, as the economy was in free fall, since laid-off workers paid less in taxes and needed more benefits. The deficit then shrank in 2010 and 2011. (credit:AP)
The Stimulus Cost Much Less Than Bush's Wars, Tax Cuts(02 of11)
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Republicans frequently have blamed the $787 billion stimulus for the national debt, but, when all government spending is taken into account, the stimulus frankly wasn't that big. In contrast, the U.S. will have spent nearly $4 trillion on wars in the Middle East by the time those conflicts end, according to a recent report by Brown University. The Bush tax cuts have cost nearly $1.3 trillion over 10 years. (credit:Getty)
The Deficit Grew Under George W. Bush(03 of11)
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When George W. Bush took office, the federal government was running a surplus of $86 billion. When he left, that had turned into a $642 billion deficit. (credit:AP)
The Deficit Is Shrinking(04 of11)
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Last year's federal budget deficit was 12 percent lower than in 2009, according to the Office of Management and Budget.The deficit is projected to shrink even more over the next several years. (credit:AP)
Investors Are Paying Us To Borrow Money(05 of11)
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The interest rate on 10-year Treasury bonds is negative, according to the Treasury Department. Investors are even paying us for 30-year Treasury bonds, when adjusted for inflation. (credit:AP)
Investors Are Not Running Away(06 of11)
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Conservative commentators have been warning for years that investors will run away from Treasury bonds because of the national debt. So far it's not happening. Interest rates on Treasury bonds continue to hover at historic lows. (credit:AP)
Health Care Reform Reduces The Deficit(07 of11)
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Republicans have blasted the Affordable Care Act as "budget-busting." But health care reform actually reduces the deficit, according to the Congressional Budget Office. (credit:Getty)
The U.S. Is Borrowing Less From China(08 of11)
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The U.S. government is borrowing much less from foreign countries than before the recession, according to government data cited by Paul Krugman. That is because the U.S. private sector is financing our bigger deficits. (credit:Getty)
We Spend A Lot On Defense(09 of11)
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Defense spending constituted 20 percent of federal spending last year, or $718 billion, according to the Center on Budget and Policy Priorities. This adds up to 41 percent of the world's defense spending, according to Bloomberg TV anchor Adam Johnson. Mitt Romney has vowed to not cut defense spending if elected president. (credit:AP)
We Spend A Lot On Health Care(10 of11)
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Health insurance, including Medicare and Medicaid, constituted 21 percent of federal spending last year. In contrast, education constituted 2 percent of federal spending. Meanwhile, Mitt Romney and Paul Ryan have promised not to change Medicare for Americans age 55 and older. (credit:AP)
Republicans May Want Large Deficits For Now(11 of11)
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The federal budget deficit ballooned under Ronald Reagan, and that may be just the way Republicans like it. Some Republican thinkers have proposed "starving the beast": that is, cutting taxes in order to use larger deficits to justify spending cuts later. Since Republicans ultimately want lower taxes and a smaller government, what better way is there to cut spending than to make it look urgent and necessary? (credit:AP)
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