7 Ways Immigrants Help Build and Strengthen US Economy

US Economy

America is a beautiful land where immigrants fled from almost every corner of the world. The glorious journey of the vibrant success of America would have not been possible without the contribution made by the immigrants and their many generations. When it comes to addressing how immigrants help the US economy, you will find that these immigrants are the building blocks of strengthening the US economy.

Landed on the shores of America from four corners of the world. These immigrants had made a significant contribution in running the US Economy. It was the efforts of their generations that turned the USA into the economic engine, which now runs the world.

How immigrants help the US economy?

Below, has been discussed a list of 7 ways through which immigrants have aided to grow and expand the US economy.

  1. Immigrants as entrepreneur
  2. The Immigrants create jobs by owning businesses
  3. Immigrants create jobs for their own
  4. These Immigrants established cutting-edge companies and technologies
  5. Immigrants in the US are innovators, scientist, and engineers
  6. The Immigrants in the US has lifted earnings for workers
  7. Immigrants increase the demand for consumer goods made by the USA

Immigrants as Entrepreneur

Many immigrants have started doing businesses in the USA. As per the SBA (small business administration), 30% of immigrants prefer to initiate a business/company in the USA than the natives. Moreover, 18% of the American SMEs (small and mid-size enterprises) are owned by the immigrants.

Immigrants Create Jobs by Owning Businesses

Immigrants in America has created jobs by owning businesses for workers in the country. According to the estimation of FPI (fiscal policy institute), in 2007, around 4.7M people employed in SMEs are owned by various immigrants. Similarly, the recent estimations have shown that these SMEs have produced $776 billion-above annually.

Immigrants Create Jobs for Their Own

Immigrants also prefer to produce jobs for themselves. As per the estimations of the department of labor, U.S. 6.6% of the native-born are self-employed compared to 7.5% of the immigrants or foreign-born.

Immigrants Establish Cutting-Edge Companies and Technologies

They have also developed state-of-the-art companies and technologies. As per the estimations by the NVCA (national venture capital association), 25% of the US public firms have been initiated by immigrants who were supported by different investors for a venture. The list contains Intel, Google, Sun Microsystems, eBay, and Yahoo!

Immigrants in the US Are Innovators, Scientist, and Engineers

Many innovators, scientists, and engineers in the US are also immigrants. The estimations by the Census Bureau have shown that this 16% part of the total population of the USA is holding a higher or bachelor’s degree. Similarly, this 16% represents 27% of mathematicians, computer scientists, and statisticians, 24% of physical scientists, and 33% of engineers.

Besides, as per the corporation, in 2011 for a New American Economy, nonnative inventors were accredited for contributing 75% above the patents. However, these patents were distributed to the topmost 10 universities producing patents.

Immigrants in the US has Lifted Earnings for Workers

Earnings have been boosted for the workers in America by immigrants. Growing immigration to the US has resulted in escalating earnings for the country. This earning is way greater than the US might have earned from a degree for high school.

0.7% increase in US earnings was correlated with the increased immigration during the era of 1990-2004. This earning, however, is anticipated to contribute to the 1.8% increase in the long run as per the estimations by the University of California.

Immigrants Increase the Demand for Consumer Goods Made By USA

A significant increase in demand is observed for locally made consumer goods because of these immigrants. According to the estimation of the center for Immigrant Policy in 2015, the purchasing power of immigrants including only Asians and Latinos would have reached $775 billion and $1.5 trillion, respectively.


The above discussed are the major seven ways that determine how immigrants help the US economy. However, there are many other ways through which immigrants have made a significant impact on the economic growth of the US.

These immigrants have also contributed to improve the legislation of the country to attain a better economical structure. Immigrants in the US have created hundreds of thousands of jobs to not only increase the employment rate in the country. But also to strengthen the economic backbone of the US.

America as a country of immigrants and must not forget the contributions made by the generations of these immigrants. From constructing large companies to building cities, laying railroad, fueling the age of IT, and forerunning new industries is the role of immigrants that cannot be denied. Today the US is exceptional because of many reasons and immigrants is surely the major one. Even in technological advancement, the contribution of immigrants is undeniable. The journey the US has made from Google to iPhone was not that easy if they didn’t have the support of immigrant scientists, engineers, and IT experts.

Also Read: Ways, The On-Demand Economy Is Transforming the Face of Business
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