Dallas Federal Reserve says mass deportations will be an 'economic drain'

You'd think bankers of all people would understand "net negative" but apparently, it's an elusive concept for the Dallas Federal Reserve.

A new article at The Wall Street Journal cites a recent report from the central bank branch, positing that mass deportations will be an "economic drain" on the American economy. Here's this, from the WSJ:

The loss side of the ledger is that mass deportation of productive employees will drain economic growth and make it harder for Mr. Trump to deliver a return to the prosperity of his pre-Covid first term. Consider an economic paper published Tuesday by the Federal Reserve Bank of Dallas. 'Our analysis,' the authors say, 'raises the concern that a sharp tightening of immigration policies has the potential to substantially reduce output growth.'

While the Dallas bank may want it to be true that deportations will leave an insufficient workforce—it's not. This was from Jim Hoft at Gateway Pundit last month:

Mass Deportation Works: American Workers Rush to Fill Jobs Once Taken by Illegal Aliens in Nebraska

On Tuesday, federal immigration authorities executed a massive raid at Glenn Valley Foods, arresting 76 illegal workers who had no business being in our country, let alone our workforce.

[snip]

According to NBC News, every seat in the plant's waiting area was filled with prospective new hires, just 48 hours after federal agents cleared out the illegals.

The Dallas Reserve makes projections. Hoft reports factual events.

And, looking at the data, the real "economic drain" is illegals in the U.S. The foreigners who came across the border just in the four years of Joe Biden cost taxpayers an additional hundreds of billions of dollars. Below is a small sample of numbers, from Google's AI:

* Chicago taxpayers spent a total of $268 million on care for the migrants between August 2022 and December 2024.

* An additional $370.5 million came from state and federal grants to cover costs during the same period.

And this:

New York City has spent billions of dollars on housing and caring for migrants.In Fiscal Year 2023, the city spent $1.47 billion, and in FY2024, the expenditure increased to $3.75 billion. The city anticipates spending over $12 billion through Fiscal Year 2025.

California, as we all know, has been an illegal migrant free-for-all, which contributed to the state's deficit which recently hit more than $73.3 billion—last month, Newsom signed a budget deal removing state-provided health care for a number of illegal aliens, slashing over $12 billion from the deficit just like that.

This is where we come back to the concept of "net" gain or loss.

Sure, Hollywood celebrities will have to find American landscapers and nannies, paying them fair wages like any honest employer (and the taxes they must love so much because they keep voting for increases), but state and federal outlays will decrease by hundreds of billions of dollars, there will be more jobs for Americans, and…the housing market will become more affordable.

This is simple supply and demand. When there are less housing options on the market—which happens when the government imports tens of millions of third world migrants with no skills or desire to support themselves and then subsidizes their accommodations—prices increase for everyone who pays from their own pockets.

Don't forget to also take into account the financial burden we bear for our social services like police, firefighters, hospitals, and schools. All those interpreters and social workers aren't doing the job pro bono, and sending out SWAT teams to try and restore order to apartment complexes seized by violent gangbangers isn't a trivial expense.

Oh, and remittances too: in 2022, more than $80 billion was earned in the U.S. economy, but sent to be spent elsewhere. (All this fails to include the detriment to society that can't be quantified in dollars, like the social erosion and dysfunction that inevitably follows.)

As Jack Hellner says, the Reserve report authors are "snipe-hunting" for inflation:

They [Reserve bankers] never cared that Biden's energy, regulatory, border, and spending policies caused inflation to spike to forty year highs. The Federal Reserve said inflation was transitory, caused by Russia, COVID, or something else, but they never placed the blame where it belonged: on the leftist policies that caused it.

Hat tip: Jack Hellner.

Image from Grok.