Aguiar, Angel

Undocumented workers are an important part of the workforce in many sectors of the U.S. economy, particularly in the agrifood sector. The Trump administration is deporting undocumented workers.This study quantifies the impacts of a mass deportation policy on the U.S. economy and on key sectors using a multi-regional general equilibrium model that includes an undocumented workforce and the movement of migrants across countries. Deportation of 30% of the undocumented workforce will reduce economic activities in all industries (more so in agriculture, food processing, leisure, and construction) and lower the U.S. GDP by $128.56 billion. Furthermore, labor shortfall due to deportation will increase cost of production and raise food prices.