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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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Last Updated on March 7, 2026 by Daily News Staff

immigrants

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.

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.

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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

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.

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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.

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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The Knowledge

Why Is It Called Century Boulevard? The Story Behind South Los Angeles’ “100th Street”

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Century Boulevard in Los Angeles is actually named after its position as 100th Street in the city grid.

LOS ANGELES — Century Boulevard is one of the most recognizable east–west corridors in South Los Angeles, stretching from Watts to Los Angeles International Airport (LAX). But despite its grand-sounding name, the origin of “Century” is surprisingly simple—and rooted in math.

The Meaning Behind “Century”

Century Boulevard sits roughly 100 blocks south of downtown Los Angeles, where the city’s street numbering system begins at 1st Street and Main Street. Instead of naming the road “100th Street,” city planners opted for a more distinctive and memorable name: Century Boulevard.

In this case, “Century” literally means 100.

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Part of Los Angeles’ Grid System

Los Angeles was designed using a grid-based street layout, especially in its expanding southern neighborhoods during the early 20th century. Streets were often named or numbered based on their distance from downtown.

Century Boulevard aligns with what would have been the 100th Street corridor—making it a key reference point in the city’s geography.

A Street That Evolved Over Time

Before it became Century Boulevard, portions of the roadway were known by other names, including Pine Avenue and San Antonio Street. As the region developed and expanded, these segments were unified under a single name in the 1920s.

This consolidation helped streamline navigation and supported growing transportation needs.

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From Local Road to Global Gateway

The importance of Century Boulevard grew significantly with the rise of Los Angeles International Airport (LAX). Today, it serves as a major gateway for millions of travelers entering the city.

The road connects diverse communities—from historic neighborhoods in South Los Angeles to the bustling airport corridor—making it both a local lifeline and an international entry point.

More Than Just a Name

Century Boulevard reflects a broader pattern in Los Angeles street naming:

  • Some streets honor historical figures
  • Others reflect geography or culture
  • And some, like Century, are rooted in the city’s structured grid system

It’s a reminder that even the most ordinary street names can reveal deeper stories about how a city was built.

The Bottom Line

Century Boulevard isn’t named after an event—it’s named for its location. Positioned at the 100th Street line, it represents both the logic of Los Angeles’ design and the growth of the city over time.

Now you know.

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Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter.  https://stmdailynews.com/the-knowledge/

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Community

Feeding America Highlights Farmers’ Role in Fighting Hunger on National Agriculture Day

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food love people africa. Feeding America
Photo by RDNE Stock project on Pexels.com

Feeding America is marking National Agriculture Day by recognizing farmers, ranchers, and producers as key partners in the fight against hunger.

In a March 24 press release, the organization said the agricultural community plays a vital role in helping food banks and pantries deliver fresh, nutritious food to families across the country. Feeding America noted that produce, dairy, and protein are among the most requested foods by neighbors facing hunger and make up half of all food distributed through its network.

The organization said that in 2025, its network worked with growers to rescue 971 million pounds of fresh produce, helping redirect surplus food to communities in need. Feeding America also pointed to federal nutrition and farm support programs, saying government purchases from U.S. growers provide more than 20% of the food distributed through its network.

Ami McReynolds, Feeding America’s chief advocacy and community partnerships officer, said supporting farmers is directly connected to helping families access healthy meals. The organization is also urging Congress to support additional farm aid and a Farm Bill that strengthens nutrition programs.

Feeding America said a recent poll found that 95% of voters view hunger as a nonpartisan issue, reinforcing support for collaborative solutions between agriculture, food banks, and policymakers.

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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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  • Rod Washington

    Rod: A creative force, blending words, images, and flavors. Blogger, writer, filmmaker, and photographer. Cooking enthusiast with a sci-fi vision. Passionate about his upcoming series and dedicated to TNC Network. Partnered with Rebecca Washington for a shared journey of love and art.

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McDonald’s First Job Confessional Turns Career Stories Into Free Meal Opportunity

McDonald’s is launching First Job Confessional, a campaign inviting fans to share first job stories for a chance to receive a $15 gift card in select cities.

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McDonald’s is launching First Job Confessional, a campaign inviting fans to share first job stories for a chance to receive a $15 gift card in select cities.
McDonald’s is Asking Fans to Get Real About Their First Job Skills in Exchange for Free Meals

First Job Confessional

McDonald’s is putting first jobs in the spotlight with a new campaign that asks fans to share the real-world skills they gained early in their working lives. Launched on National Employee Appreciation Day, the brand’s First Job Confessional invites people to reflect on how those first roles helped shape their careers — and, in some cases, earn a free meal in the process.

The campaign is built around a simple idea: first jobs often teach lasting skills that deserve more recognition. Whether someone learned problem-solving while babysitting, communication during a lunch rush, or teamwork behind a counter, McDonald’s is framing those experiences as valuable career foundations. The company says those are the same kinds of skills employers continue to prioritize as workplace demands evolve.

McDonald’s is launching First Job Confessional, a campaign inviting fans to share first job stories for a chance to receive a $15 gift card in select cities.
McDonald’s is Asking Fans to Get Real About Their First Job Skills in Exchange for Free Meals

How the First Job Confessional Works

In select cities, McDonald’s is setting up confessional booths designed to look like ordering kiosks. But instead of placing a meal order, participants can record a story about their first job and the skills they picked up along the way. Those who take part in person will have the opportunity to receive a $15 McDonald’s gift card, while supplies last.

Fans who cannot attend in person can still join online by posting their stories using #FirstJobConfessional. McDonald’s says selected videos may also be featured on its YouTube channel, extending the campaign beyond the live events.

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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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