Immigrants have played a key role in both America’s industrial and digital revolutions. Two-thirds of the workforce in Silicon Valley is manned by immigrants, a significant number of whom are Indians.
Shivkant Sharma. The United States celebrated its 250th anniversary on July 4. Delegates from thirteen states, including Pennsylvania and New York, declared independence from British rule on July 4, 1776. The states were unhappy with the policies of British Emperor George III, which included restricting trade and immigration, levying arbitrary taxes, and levying the costs of wars with countries such as France and India. Therefore, he drafted a Declaration of Independence from British rule, which was drafted by a committee consisting of Thomas Jefferson, John Adams, Benjamin Franklin, Roger Sherman, and Robert Livingston.
The manifesto considered policies promoting free trade, open immigration, and international relations as cornerstones of the new American republic. Ironically, current President Donald Trump’s trade, immigration, and foreign policies are diametrically opposed to the core spirit of the manifesto. Trump claims to want to restore America’s lost greatness, defending tariff wars, anti-immigration and fraying ties with trusted allies. However, he fails to explain how deviation from the policies that made America great will restore it. The United States has been the world’s largest economy for nearly 150 years. Despite China’s unprecedented growth, the United States is 35 percent ahead of China in total GDP and 12 times its per capita income. This is thanks to the policies of free trade and open immigration that have been implemented to this day.
Immigrants have played a key role in both America’s industrial and digital revolutions. Two-thirds of the workforce in Silicon Valley is manned by immigrants, a significant number of whom are Indians. 80 percent of America’s unicorn companies have top leadership from immigrants, and India is the largest source of new companies valued at more than $1 billion. Immigrants contribute about 20 percent of America’s total GDP. American academic and research institutions and companies are top priorities for talented students, scientists and entrepreneurs from around the world. This is why America has been at the forefront of the post-industrial digital revolution and now the AI revolution. Despite this, how can America become great by restricting this flow of talent by imposing various restrictions on immigrant students, experts and service workers?
Every time America has tried to restrict immigration, its economy has suffered. After the Great Depression of 1929, the Hoover administration, to combat unemployment, imposed immigration restrictions and deported large numbers of South American immigrants, causing wages to fall and business to collapse. Similarly, in the 1970s, the Ford and Carter administrations imposed immigration restrictions, which led to a decline in agricultural growth and a sharp rise in inflation. Currently, the US economy is not facing the same problems of unemployment and inflation. Problems include manufacturing unemployment, inflation exacerbated by the Iran war, and growing economic inequality. The digital revolution accelerated globalization, making it possible to relocate industries to countries where wages and basic goods were cheaper. This left US goods producers unemployed. New job opportunities opened up in the digital and service sectors, but only those willing to learn new skills benefited.
The rapid growth of the digital and service sectors has transformed the American economy from a manufacturing-based economy to a service-based economy. GDP growth has been achieved, but the benefits have not reached the working people who have become unemployed due to the collapse of the manufacturing industry. For example, over the past 40 years, average incomes have increased only 20 percent, while the S&P 500 stock index has increased 4,100 percent. This has pleased those with access to the capital markets, but others feel cheated. The founders of the American nation envisioned a society characterized by open markets and healthy competition, where every hardworking individual with talent and dedication would have opportunities to thrive. Hence, there are countless rich-to-riches stories here, and it is called the land of opportunity. However, over the past few decades, all opportunities and wealth have become concentrated in the hands of a few, leading to increased distrust and pessimism throughout society.
People once believed that their children would live a happier life than they did, but now they believe that the challenges for future generations will increase. This is why pride in being an American citizen has reached its lowest ebb. At the same time, people are losing faith in constitutional institutions like the Supreme Court, Congress and the President. A similar mistrust developed during the Vietnam War. Political bitterness is also fueling interpersonal bitterness. According to a survey, 53 percent of people see flaws in other people’s morals and behavior.
Capitalizing on this bitterness and pessimism, Trump won the election by portraying America as a robbed and helpless country and promising to regain its lost dignity. But the reality is that he is tarnishing the image of the country himself. He is getting rich by taking advantage of his position. Last year, his trust of companies made a profit of 202 million dollars, of which 104 million dollars came from the cryptocurrency business, which he called a scam until a few years ago. Stock market crashes amid announcements of starting and stopping tariff wars are making his companies rich.
(The author is a former editor of BBC Hindi)
