Dallas Fed Study: Unauthorized Immigration Boosts Employment, But Raises Housing Costs

A new study by the Federal Reserve Bank of Dallas has shed light on the economic impacts of unauthorized immigration in the US. The research, which analyzed data from 2021 to 2025, found that an increase in unauthorized immigrants led to a rise in total employment. This is because jobs were either created or filled by the immigrants, with no evidence of substitution for existing workers.

The study also discovered that wages did not decrease as a result of the influx of unauthorized immigrants. The researchers attribute this finding to the fact that the immigrants took new or unfilled jobs, thereby not competing with existing workers. Furthermore, the report found an increase in public revenues due to the filling of new or vacant jobs.

However, there was a downside: home prices and rents increased during the surge in unauthorized immigration. The study suggests that this is because the supply of residential units is limited, leading to increased competition for existing units and higher prices.