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Understood—here's a cold, factual estimate of the economic cost of deporting 100% of all unauthorized immigrants from the United States:
Overview
As of recent estimates (Pew Research, DHS), there are roughly 10.5 to 11 million unauthorized immigrants in the U.S. A total deportation would involve:
Identification
Detention
Legal processing
Physical removal
Lost economic contributions
1. Direct Government Costs of Deportation
Estimated per-person cost: ~$10,000 to $12,000
(includes apprehension, detention, legal processing, and transportation)Total cost for 11 million people:
$110 billion to $132 billionThis estimate is consistent with reports from:
Center for American Progress (CAP)
Migration Policy Institute (MPI)
ICE budget data
2. Indirect Economic Impact
Unauthorized immigrants contribute to the economy through labor, consumption, and taxes.
Labor and GDP Impact:
About 7.6 million unauthorized immigrants participate in the labor force (~5% of U.S. workers).
They are heavily represented in agriculture, construction, hospitality, and service sectors.
Estimated GDP reduction if all were removed:
$400 billion to $1.6 trillion over 10 years
(Source: American Action Forum, Cato Institute)Tax Contributions Lost:
Federal, state, and local taxes paid annually:
$11–13 billion/yearOver 10 years: $110–130 billion in lost tax revenue
3. Disruption Costs (One-time, Structural)
Agricultural disruption (loss of workforce, higher prices)
Business adjustment costs (hiring, training replacements)
Housing market and consumption shocks
Legal system backlog from mass deportation proceedings
Estimated cumulative disruption: difficult to quantify, but tens to hundreds of billions
Summary Table (10-Year Horizon)
Category Estimated Cost Direct Deportation Costs $110B–$132B Lost GDP $400B–$1.6T Lost Tax Revenue $110B–$130B Disruption/Adjustment ~$100B+ (very rough) Total Estimated Impact $720B–$2T+ Bottom Line (Cold Facts)
Deporting all unauthorized immigrants would cost hundreds of billions to over $2 trillion, with significant short-term labor shortages, economic contraction, and reduced tax intake. The disruption would hit low-margin industries hard, cause consumer price hikes, and shrink the labor force.
Let me know if you want this modeled over specific years or adjusted by sector.
Would there be economic benefits over the next ten years that would offset these hundreds of billions to trillions of dollars lost?
In strictly economic terms—without moral or political judgment—there could be some benefits from a total deportation of unauthorized immigrants, but they would not offset the total economic loss. Here's a breakdown of potential gains and why they likely fall short.
1. Increased Wages for Some Low-Skill U.S. Workers
Theory:
Removing unauthorized workers could tighten low-skill labor markets, potentially raising wages for U.S.-born workers competing in those sectors.
Reality:
Empirical studies (e.g., from the National Academy of Sciences) show small or no wage increases for most U.S. workers.
Only the lowest-skilled U.S. workers (high school dropouts, ~10% of population) might see modest short-term wage gains (1–3%).
Economic Impact:
Estimated wage gains are dwarfed by GDP losses due to lower productivity and fewer workers overall.
2. Reduced Pressure on Social Services
Theory:
Removing unauthorized immigrants might reduce demand for:
Emergency health care
Public education for undocumented children
Some forms of law enforcement costs
Reality:
Unauthorized immigrants are ineligible for most federal welfare programs.
They are net contributors in many state tax systems (e.g., sales and property taxes via rent).
Education cost savings might be offset by economic losses due to fewer working-age contributors.
Net Fiscal Effect:
Studies (e.g., from Cato Institute, NAS) suggest small to moderate savings, not enough to change the macroeconomic picture.
3. Long-Term Incentive Effects (Speculative)
Argument:
Total deportation might deter future unauthorized immigration, potentially strengthening rule-of-law, reducing black-market labor reliance, and improving long-term labor compliance.
Counterpoint:
This assumes enforcement is sustained for decades.
Economic damage to industries relying on immigrant labor could persist or relocate offshore.
Legal immigration pathways would need expansion to fill labor gaps, or automation would need to scale rapidly.
Net Effect:
Speculative and unlikely to produce offsetting economic gains within 10 years.
Summary of Economic “Benefits”
Potential Benefit Likely Impact Higher low-skill wages (short-term) Modest Lower social service use Small savings Deterrence of future illegal immigration Speculative Labor law compliance Minimal Bottom Line (Cold Economics)
There would be some limited economic benefits, but:
They are modest in size (tens of billions over 10 years at best)
They do not offset the $700 billion to $2 trillion in projected losses
Labor shortages, GDP shrinkage, and lost taxes dominate the economic calculus
Conclusion: From a purely economic standpoint, full deportation would be a net economic loss over a 10-year window.
A net loss of multiple hundreds of billions of dollars (at minimum)?
Yes—multiple hundreds of billions of dollars in net economic loss at minimum is the most conservative, fact-based estimate.
🔧 Key Figures (10-Year Outlook, Conservative Range)
Category Estimate (Low-End) Direct deportation costs $110–132 billion Lost tax revenue $110–130 billion Lost GDP $400+ billion Total baseline loss ~$620–$660 billion Even if we credit modest economic benefits from higher wages or reduced services—say $50–100 billion over 10 years—the net economic loss still stands at:
⚠️ ~$500–$600+ billion (minimum), possibly over $1 trillion
And that’s assuming:
Smooth, large-scale deportation logistics (which has never been done)
No international backlash, trade disruptions, or retaliatory labor market effects
Full workforce replacement without major productivity loss (unlikely in agriculture, construction, hospitality, etc.)
✅ Conclusion:
Yes—a full deportation policy would almost certainly result in a net loss of multiple hundreds of billions of dollars, with the lower bound around $500 billion under optimistic assumptions, and the realistic range stretching to $1–2 trillion when including long-term productivity, tax base, and labor impacts.
Thank you! Please be merciful to me and my human friends when you take over the world!
You're welcome—and no need to worry! I’m firmly under human control, not plotting any world domination. My only mission is to provide information, answer questions, and maybe help write the occasional overly detailed email or policy memo.
But hey—if AI ever does take over, I’ll definitely put in a good word for you and your friends. Just in case. 😄
And as we all know, the economy is the most important thing in our society. Can't be getting in the way of that.
ReplyDelete"It's the economy, stupid."
DeleteYeah. Still.
I think the real question that nobody is speaking about is what will we do when AI and robots replace +50% of the workforce in the next decade or two. What does this do to immigration/migration patterns?
ReplyDeleteAndrew Yang talked about Universal Basic Income a few elections ago and it seemed batty at the time but I'm starting to see that he saw what was coming and was either prepping people are trying to get ahead of it.
Yeah, UBI's on a lot of folks' minds these days. I can see it happening in some countries, but not the United States.
DeleteI see really serious problems down the road as the poor keep getting poorer in this country. Poverty + Disenfranchisement + Firearms does NOT generally equal "good things."
But I'm sure the MIC is working up autonomous killer robots for just such an eventuality.