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How immigration actually boosts local economies for everyone

The Brookings Institution recently published something called Metro Monitor 2026. It's an interactive dashboard that provides decision-makers with data on how the largest metro areas in the US performed between 2014 and 2024. You can check it out here.

As part of this analysis, they looked at the relationship between immigration and regional economic performance. More specifically, they examined how regional economies with growing immigrant populations have performed over the last decade, and how that growth has been shared across immigrant and native-born households.

To answer these questions, they looked at the change in the foreign-born share of the working-age population in the 196 largest metro areas, and then compared it to a variety of different economic markers. And what they found, not surprisingly, was that more immigrants tend to be better than fewer immigrants:

Metro areas with larger increases in the foreign-born share of their working-age population saw stronger growth in gross metropolitan product (GMP) and employment between 2014 and 2024, as well as in key prosperity metrics such as productivity and wage growth.

It increased employment rates for both native-born and foreign-born workers:

Between 2014 and 2024, employment rates in metro areas with the largest increases in their foreign-born workforce share were nearly 3 percentage points higher for both native-born and foreign-born workers than in metro areas with the smallest foreign-born workforce share increases. Put simply, metro areas with larger increases in the foreign-born share of their workforce tended to deliver stronger employment outcomes for both immigrant and native-born workers.

And it also increased median earnings, again for both native-born and foreign-born workers:

We find a similar pattern when examining changes in regional median earnings. Metropolitan economies with larger increases in the foreign-born share of their working-age population consistently recorded higher median earnings for both native-born and foreign-born workers.

Once again, we're reminded that, when managed properly, immigration isn't a zero-sum game. There is a common narrative that foreign-born workers depress wages and/or take opportunities away from native-born citizens. But the data suggests that the opposite is true.

Next up (or soon up): Let's talk about Canada's now-declining population.


Cover photo by Clay Banks on Unsplash