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Immigrants are unsung heroes of global trade and value creation

Immigrants significantly enhance economic growth by driving innovation, improving trade value, and creating connections that strengthen global value chains in host nations.

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Bedassa Tadesse, University of Minnesota Duluth and Roger White, Whittier College

In nearly every country that hosts foreign-born citizens, immigration emerges as a lightning rod for controversy. The economic realities of immigration, however, are far more complex than the negative sound bites suggest.

Far from being a burden, as critics claim, immigrants play pivotal roles in driving innovation, enhancing productivity and fostering economic growth in their adopted countries. They also elevate their adopted and origin countries’ standings in global value chains, contributing to economic resilience.

We are economists who study global trade and migration, and our recent work reveals that immigrants contribute far more to the economic fabric of nations than previously understood.

By facilitating what’s known as “trade in value added,” or TiVA, immigrants play a crucial role in helping countries specialize their production, move up the value chain and significantly enhance trade sophistication.

Moving up the value chain means progressing from producing basic, low-value goods to more complex, higher-value products. This shift involves improving skills, technology and production techniques, allowing a country to capture more economic value and develop advanced industries.

So, what exactly is trade in value added, and why is it important?

In today’s global economy, products are rarely made entirely in one country. Instead, different stages of production occur across multiple nations. TiVA measures each country’s contribution to a final product, providing clearer insight into global value chains. For instance, while an iPhone may be assembled in China, its components come from various countries, each adding value.

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Measuring the effect on global value chains

Our study found that a 10% increase in immigrants from a particular country residing in one of the 38 Organization for Economic Cooperation and Development member states leads to a 2.08% increase in the value added from their home country that becomes embedded in their host country’s exports to the world.

This effect was strongest in the services sector, followed closely by agriculture and manufacturing.

To understand how this works, consider Indian software engineers in Silicon Valley. Their understanding of the U.S. tech industry and India’s IT sector can lead to partnerships. These partnerships lead to Indian firms providing specialized coding services for American tech giants. The result? Higher-value U.S. tech exports that incorporate Indian expertise. This perfectly illustrates how immigrants boost trade in value added.

Or take Chinese immigrants in Italy’s fashion industry. Their cultural knowledge might help Italian luxury brands tailor products for the Chinese market and connect Italian designers with highly skilled textile workers in China. The result? Italian fashion exports incorporate Chinese craftsmanship, elevating both countries’ global fashion value chain positions.

Our findings show that immigrants are pivotal bridges in global trade networks. They leverage their unique knowledge, skills and connections to strengthen economic bonds between nations. That’s in line with previous research showing the significant role immigrants play in fostering bilateral trade.

Why immigration matters in the global economy

In an era of increasing skepticism toward globalization and migration, understanding the positive economic impacts of immigration is crucial. Our current and previous research, and the findings from related studies, indicate that rather than “stealing jobs,” immigrants often create value and new economic opportunities that might not otherwise exist.

Immigrants bring diverse skills, knowledge and networks to their host countries that can enhance innovation, fill labor shortages and open new market opportunities. They often possess unique insights into their home country markets, helping host country firms navigate cultural nuances and business practices that might otherwise pose trade barriers. https://www.youtube.com/embed/RZKX-0SK41U?wmode=transparent&start=0

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For home countries, emigrants can serve as cultural ambassadors, creating awareness, showcasing products and services, and helping to integrate their homeland into global value chains. They may also contribute to knowledge transfer, investment flows and business connections that boost their home and host countries’ economic development.

Moreover, immigrants’ ability to enhance trade in value added suggests they play a role in moving countries up the economic value chain. Rather than simply facilitating trade in raw materials or essential manufactured goods, immigrants appear to boost trade in more sophisticated, higher-value products and services. This is crucial for economic development, as countries that position themselves higher in global value chains tend to see bigger benefits.

Rethinking immigration and trade policies

Our observations have important implications for both immigration and trade. For one, they suggest that restrictive immigration policies might have unintended consequences, hindering a country’s trade performance and position in global value chains. Countries that want to become more economically competitive might consider more open immigration policies.

What’s more, our research indicates that immigrants’ economic benefits extend beyond the often-cited labor-market and fiscal impacts – in other words, having more workers who pay more taxes.

The evidence suggests policymakers should take a more holistic view of immigration’s economic effects, considering its role in facilitating sophisticated international trade and value creation.

Our results also align with previous research highlighting the potential value of workforce diversity for businesses, particularly for firms engaged in international trade. Employees from diverse national backgrounds can bring valuable insights and connections that help their companies navigate global markets and value chains.

It’s worth noting that immigrants’ impact on trade in value added varies across countries and sectors. This suggests that rather than one-size-fits-all approaches, targeted policies might most effectively leverage immigration for economic benefit.

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Maximizing immigration’s positive impacts on trade and value chains also requires supportive policies and institutions that allow immigrants to use their skills and networks fully. These might include programs to assist with economic integration, language training, credential recognition and support for immigrant entrepreneurship.

A new perspective on immigration

As the global economy continues to evolve, with value chains becoming ever more complex and interconnected, the role of immigrants as facilitators of trade and value creation is likely to grow even more significant. Countries that recognize and leverage this potential stand to gain a competitive edge in the global marketplace.

Our research paints a picture of immigrants not as economic burdens but as valuable assets who enhance their host and home countries’ positions in the global economy. By making sophisticated trade linkages possible, and by boosting participation in global value chains, immigrants contribute to economic growth and development in ways that go far beyond conventional understanding.

As debates around immigration continue, it’s crucial to move beyond simplistic narratives and recognize the complex and often subtle ways that immigrants contribute to prosperity. In an interconnected world, immigrants aren’t just crossing borders – they are helping to weave the fabric of global trade and value creation.

Bedassa Tadesse, Professor of Economics, University of Minnesota Duluth and Roger White, Professor of Economics, Whittier College

This article is republished from The Conversation under a Creative Commons license. Read the original article.

The Bridge is a section of the STM Daily News Blog meant for diversity, offering real news stories about bona fide community efforts to perpetuate a greater good. The purpose of The Bridge is to connect the divides that separate us, fostering understanding and empathy among different groups. By highlighting positive initiatives and inspirational actions, The Bridge aims to create a sense of unity and shared purpose. This section brings to light stories of individuals and organizations working tirelessly to promote inclusivity, equality, and mutual respect. Through these narratives, readers are encouraged to appreciate the richness of diverse perspectives and to participate actively in building stronger, more cohesive communities.

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STM Daily News is a vibrant news blog dedicated to sharing the brighter side of human experiences. Emphasizing positive, uplifting stories, the site focuses on delivering inspiring, informative, and well-researched content. With a commitment to accurate, fair, and responsible journalism, STM Daily News aims to foster a community of readers passionate about positive change and engaged in meaningful conversations. Join the movement and explore stories that celebrate the positive impacts shaping our world.

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Dozens of cyclists and pedestrians are killed each year in Philly − an injury epidemiologist explains how to better protect bike lanes, slow drivers down and reduce collisions

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More than half of Philadelphia commuters drive to work, while 21% take public transportation, 8% walk and 2% bike, according to the Philadelphia City Planning Commission. Jumping Rocks/UCG/Universal Images Group via Getty Images

D. Alex Quistberg, Drexel University

Over 60 pedestrians and cyclists have been killed each year in Philadelphia in recent years.

Compared with other big cities, Philadelphia’s death rate for both pedestrians and cyclists is higher than New York and Chicago but lower than Los Angeles and Houston.

Across the U.S., more pedestrians and bicyclists are killed or seriously injured today than any time over the past 40 years. Over 7,500 pedestrians and over 1,100 bicyclists died in traffic collisions in 2022, the most recent year with available data, according to the National Highway Traffic Safety Administration.

As an injury epidemiologist in Philadelphia who studies pedestrian and bicyclist injuries in the U.S. and Latin America, I want to share several evidence-based ways that Philadelphia can make walking, biking and getting around the city safer for everyone.

Protect bike lanes

Protected bike lanes have physical barriers that prevent drivers from entering the bike lane to park or pass other drivers.

They are particularly useful on high-volume cycling corridors and offer cyclists much more protection than lanes that are merely painted but have no physical barriers or lanes with flexible posts that can be driven over.

Flexible posts, for example, were unable to block the collision that killed Barbara Friedes, chief pediatric resident at Children’s Hospital of Philadelphia, in Center City in July 2024 when a drunk driver sped through the bike lane where Friedes was bicycling.

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Research suggests protected bike lanes can improve safety for pedestrians and drivers too. This is likely because they tend to cause drivers to slow down.

The Bicycle Coalition of Greater Philadelphia and other local bike safety advocacy groups have called for the city to replace unprotected lanes with protected lanes and also add protected bike lanes to more roadways that currently don’t have any.

In October 2024, the city announced it will install concrete barriers to protect the bike lanes on Spruce and Pine streets in Center City, including where Friedes was killed. That same month, the City Council unanimously passed a “Get Out the Bike Lane” bill that increases the fines for drivers who stop or park in a bike lane.

Two girls wearing school uniforms and backpacks stand between busy opposing lanes of traffic
Roosevelt Boulevard is considered one of the most dangerous roads in America. Matt Rourke/AP

Slow drivers down

Traffic-calming measures are engineering and road design strategies that slow vehicles down, make pedestrians more visible to motorists and provide safer crossing areas.

They include speed humps, curb extensions and protected intersections, as well as 20 mph speed zones.

Automated speed enforcement, which involves cameras that capture the license plates of drivers who are speeding, has led to major reductions in speeding and serious collisions on Roosevelt Boulevard. The street, which runs through North and northeast Philadelphia, has been named one of most dangerous roads in the country in various analyses by news and transportation organizations. Due to this success, the city plans to expand automated speed enforcement to Broad Street in 2025 and potentially other locations in the future.

Traffic-calming measures can benefit all road users by reducing traffic congestion so drivers and public transit riders face fewer delays. They can also boost nearby businesses by increasing foot traffic and making business corridors more pleasant for shoppers.

Encourage fewer cars on the road

Philadelphia can adopt more policies that promote walking or biking over driving. These include open streets or ciclovías, where streets are closed down to motor vehicle traffic and opened to cyclists and pedestrians. Philadelphia occasionally does this on stretches of 18th Street and Walnut Street in Center City.

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Increasing parking fees can also reduce traffic congestion. Parking fees generally do not reflect the true cost of driving in cities, which includes maintaining parking spaces and infrastructure. The low cost of parking is essentially a subsidy to drivers. While there are fears that reduced parking hurts business owners, substantial evidence indicates businesses benefit from increased foot and bicycle traffic.

The city could also reduce the number of parking spaces and implement congestion pricing, which involves charging fees to drive in certain areas of a city to reduce traffic congestion.

This may be a challenge, considering the recent experience of New York City, which spent decades preparing for congestion pricing only to have it blocked by the governor, though it seems it now has a chance of being implemented. How much success New York has with congestion pricing will likely determine the feasibility in Philadelphia and other U.S. cities.

Blurred cyclist seen riding past Philly skyline on sunny, blue-sky day
Philly’s Vision Zero plan aims to reduce road traffic deaths to zero by 2030. Jumping Rocks/UCG/Universal Images Group via Getty Images

Improve public transportation

Expanding public transportation and lowering or eliminating fares can also help protect pedestrians and cyclists by reducing car use. I believe these measures could help ensure the other policies mentioned above are effective.

However, Philadelphia’s public transportation is currently in a critical state. Facing funding shortfalls due to years of declining ridership, the Southeastern Pennsylvania Transportation Authority has proposed service cuts and significant fare increases beginning Jan. 1, 2025. Gov. Josh Shapiro has spared the system from these cuts for now by flexing federal highway funds, but long-term solutions are needed to ensure the survival and revival of public transportation in Philadelphia.

Addressing gun violence, drug use and other crimes may also make public transportation in Philadelphia safer and more attractive. While violent crimes on Philadelphia’s public transportation have dropped dramatically in 2024, four people have lost their lives on SEPTA vehicles so far this year.

Collect better data

Considering the increase in road traffic deaths in Philly since the start of the COVID-19 pandemic, substantial efforts are needed to reach the city’s Vision Zero goal of reducing road traffic deaths to zero by 2030.

In my view, this includes better data on transportation use and which interventions and policies are working and which are not.

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Road safety surveillance could be improved in Philadelphia and across Pennsylvania by linking crash records to other data, such as hospital and clinical data of crash victims, as well as insurance costs to better understand the burden of road traffic injuries on the city and the state.

Data is also key to ensuring public policies are implemented equitably. The Vision Zero plan includes a focus on lower-income neighborhoods and those with higher proportions of racial and ethnic minorities. Those areas have three times as many serious injuries and deaths as other neighborhoods, and road traffic injury and deaths rates are 30% higher among people of color compared with white residents.

D. Alex Quistberg, Associate Research Professor, Urban Health Collaborative, Drexel University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

The Bridge is a section of the STM Daily News Blog meant for diversity, offering real news stories about bona fide community efforts to perpetuate a greater good. The purpose of The Bridge is to connect the divides that separate us, fostering understanding and empathy among different groups. By highlighting positive initiatives and inspirational actions, The Bridge aims to create a sense of unity and shared purpose. This section brings to light stories of individuals and organizations working tirelessly to promote inclusivity, equality, and mutual respect. Through these narratives, readers are encouraged to appreciate the richness of diverse perspectives and to participate actively in building stronger, more cohesive communities.

https://stmdailynews.com/the-bridge

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Diana Gregory Receives Lifetime Achievement Award from AmeriCorps on Behalf of President Biden

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L to R -Bryan C. Matthews, Medical Center Director for Phoenix Veterans Affairs Health Care System, David Peters – local leadership of the Order of St. George, Diana Gregory, Dr. Josephine Pete, Educator, and Jim Lawrence – local leadership of the Order of St. George. Image: D Gregory

Honoring Diana Gregory

In a moment that truly embodies the essence of service and community care, Diana Gregory, the visionary founder of Diana Gregory Outreach Services, has been honored with the esteemed Lifetime Achievement Award from AmeriCorps. This award, presented on behalf of President Joe Biden, took place during a heartfelt ceremony at the VA Health Care System in Phoenix, Arizona, organized by the dedicated leadership of The Order of St. George.

Diana’s selection for this distinguished accolade highlights her extraordinary commitment to fostering positive change and improving the lives of those in her community. Over the past decade, she has passionately addressed critical issues like food insecurity and health awareness, focusing on supporting seniors and veterans. Through her organization, Diana Gregory Outreach Services, she has distributed fresh, nutritious produce to thousands, ensuring that those in need have access to healthy food options.

But Diana’s contributions extend far beyond food distribution; she has also implemented vital health education programs that empower individuals and families, helping them to embrace wellness and make informed choices about their health. This holistic approach has created a transformative impact on underserved communities, reinforcing the importance of access to both nutrition and education.

The Lifetime Achievement Award is an honorable recognition reserved for individuals who have dedicated over 4,000 hours of volunteer service. This milestone is a testament to Diana’s proactive engagement and relentless advocacy for those she serves. Her award serves not only as recognition of her achievements but also as an inspiration for others to follow in her footsteps and contribute to their communities.

The Order of St. George, a respected non-profit organization dedicated to providing humanitarian assistance to refugees, veterans, and the Boy Scouts of America, proudly presented the award. Their involvement signifies the collaborative spirit of various organizations working together to uplift and empower individuals in need, underscoring how interconnected our communities truly are.

As we celebrate Diana Gregory’s well-deserved honor, we recognize the countless lives she has touched and the paths she has paved for a brighter, healthier future. Her remarkable efforts highlight the immense power of community service and the difference every individual can make when they dedicate their time and passion to helping others.

To learn more about Diana Gregory Outreach Services and how you can get involved in her inspiring mission, please visit dianagregory.com. Together, let’s continue the legacy of compassion and service that Diana has so beautifully embodied.

Congratulations, Diana Gregory, on this remarkable achievement! Your dedication is a shining example of what it means to be a true leader and advocate for community well-being. Your work inspires us all to be better, do better, and serve better.

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To learn more about Diana Gregory, visit https://dianagregory.com/

Related Link (Origina Press Release):

https://www.facebook.com/share/p/177DijAbdG


The Bridge is a section of the STM Daily News Blog meant for diversity, offering real news stories about bona fide community efforts to perpetuate a greater good. The purpose of The Bridge is to connect the divides that separate us, fostering understanding and empathy among different groups. By highlighting positive initiatives and inspirational actions, The Bridge aims to create a sense of unity and shared purpose. This section brings to light stories of individuals and organizations working tirelessly to promote inclusivity, equality, and mutual respect. Through these narratives, readers are encouraged to appreciate the richness of diverse perspectives and to participate actively in building stronger, more cohesive communities.

https://stmdailynews.com/the-bridge


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Create Meaningful Impact This Holiday Season

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(Family Features) The holidays are a time of celebration, cheer and reflection; though for some, they are overshadowed by conflict and emergencies worldwide. From the Middle East to Haiti, Sudan and beyond, children are facing unparalleled crises.

You can make an impact through your holiday traditions and festivities, and create a life-changing difference in the lives of children around the world with meaningful gifts from UNICEF USA and its partners.

Say “Happy Holidays” and support children around the world with UNICEF holiday boxed cards. Choose from charming designs featuring everything from cute critters to messages of peace, joy and friendship. Find these cards at participating IKEA US and Hallmark Gold Crown stores and online at market.unicefusa.org, hallmark.com/unicef and amazon.com.

For those who spend the holidays traveling, Marriott Bonvoy will match five points for each point donated by members to philanthropic partners from Dec. 3-10. Points donated to UNICEF will go toward its mission to ensure every child is healthy, educated, protected and respected. For year-long travelers, Marriott Bonvoy members who earn 50 or 75 qualifying nights in a calendar year are eligible to select UNICEF to benefit from their Annual Choice Benefit with a $100 donation. Learn more about the program, donate points and select your Annual Choice Benefit online through giving.marriott.com.

Give the gift of holiday radiance with The Serum by Clé de Peau Beauté. Whether you are treating yourself or a loved one, this gift is sure to spread some cheer. Since 2019, Clé de Peau Beauté has proudly donated $11.6 million total to UNICEF to support the education and empowerment of girls around the world. Ring in the new year with a self-care routine that also cares for the children of the world. Find out how you can help unlock the power of girls at cledepeaubeaute.com.

Support education worldwide with a donation of 1,000 pencils to UNICEF by purchasing a handcrafted black and white woven pouch that’s stylish and versatile for carrying travel essentials or art supplies. Showcasing the unique Pattu pattern by the Desert Weavers of India, this pouch lets you provide crucial tools for children while delivering hope for a brighter future.

Send five warm blankets to children in crisis and gift your loved ones or yourself with five exclusive handmade UNICEF Snowbaby Wool Ornaments. Crafted by Indian artisan Renu Rani, the ornaments feature four babies in vibrant snowsuits for a touch of holiday cheer.

Create meaningful impact for children fighting to shape their own futures around the world this holiday season by purchasing beautiful, hand-crafted artisan gifts that give back and send lifesaving supplies in the name of your friends and family from market.unicefusa.org.

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The Bridge is a section of the STM Daily News Blog meant for diversity, offering real news stories about bona fide community efforts to perpetuate a greater good. The purpose of The Bridge is to connect the divides that separate us, fostering understanding and empathy among different groups. By highlighting positive initiatives and inspirational actions, The Bridge aims to create a sense of unity and shared purpose. This section brings to light stories of individuals and organizations working tirelessly to promote inclusivity, equality, and mutual respect. Through these narratives, readers are encouraged to appreciate the richness of diverse perspectives and to participate actively in building stronger, more cohesive communities.

https://stmdailynews.com/the-bridge


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