A Low-Immigration Economy

Recent shifts in US immigration policy have significantly impacted the economy, leading to slower job growth and a stable unemployment rate.

This trend suggests that moderating job gains are not necessarily a sign of economic weakness for native-born workers and legal residents.

Intriguingly, wage growth is outpacing inflation, with notable gains concentrated among lower-income workers. This reversal of prior trends is attributed to reduced competition from low-skilled immigration, empowering domestic workers.

Furthermore, the housing market is experiencing slower price appreciation and stagnant rental growth, offering potential benefits for tenants and aspiring homeowners. Investors should consider these demographic and economic shifts when making strategic decisions.