Immigration Research Initiative, the Michigan League for Public Policy and the Economic Policy Institute have co-published this summary of what we know for sure: immigrants are good for Michigan’s economic growth.

Check out the entire series of fact sheets, which feature a national summary as well as several other states, on the Immigration Research Initiative website.

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Data and Technical Notes

Share of immigrants in each occupation are from the 2022 American Community Survey 5-year data, the most recent available that gives a robust sample for detailed analysis.

Trend in population, labor force, and business owners is from 2022 American Community Survey 1-year data, the most recent that allows for inclusion of all three data points.

Business owners are defined as people who are self-employed and own an incorporated business.

Main Street business owners are people who own grocery stores, retail shops, restaurants, dry cleaners, and other businesses that typically populate Main Streets. They are defined in the census data as Retail (from jewelry stores to florists to grocery stores), Accommodation and Food Services (restaurants, bars and hotels), and Neighborhood Services (beauty salons, barber shops, nail salons, dry cleaning, and car washes). The first two are standard industry categories, while the third is the majority of what is generally called “Other Services.” A fuller analysis is available in Bringing Vitality to Main Street: How Immigrant Small Businesses Help Local Economies Grow.

Immigrant share of economic output, or GDP, are estimated by showing the share of all earned income – wages plus proprietors’ earnings. The data source is the 2022 American Community Survey 5-year data. The GDP dollar amount is calculated by multiplying this share by the total GDP, as reported by the Bureau of Economic Analysis, by the immigrant share. This methodology is explained most fully in the Fiscal Policy Institute’s Working for a Better Life, Appendix B.

For information about the impact of immigrants on U.S.-born workers, see for example the academic paper Immigration’s Effect on US Wages and Employment Redux, by Alessandro Caiumi and Giovanni Peri, or a more accessible paper by Peri, Do Immigrant Workers Depress the Wages of Native Workers? The recent sudden increase in immigration coincided with positive outcomes for U.S.-born workers, including some of the fastest wage growth in decades for low-wage workers.