Amid the growing anti-immigrant rhetoric, which has made this issue one of the top priorities for U.S. voters, Hispanic Heritage Month has kicked off, celebrating the more than 60 million Latinos who make up 20% of the country’s population.
One of the arguments from the MAGA movement is the concern over the economic burden they claim new arrivals represent. However, data shows that once immigrants are integrated, their contributions far outweigh any costs they might incur.
Latinos have made significant contributions to national culture in areas like art, music, folklore and cuisine. But more importantly, their impact on the U.S. economy and its GDP stands out.
The economic impact of Latinos not only grows year after year, but it also represents a substantial part of the overall growth of the national economy. This is highlighted in a new report published by the Latino Donor Collaborative, a think tank dedicated to advancing Latino economic progress.
A report published in 2023 by the William Seidman Institute at Arizona State University showed that in 2021, Latinos contributed $3.2 trillion to the economy. Additionally, their earnings rose to $2.5 trillion, with a 4.7% increase, compared to 1.9% for non-Latinos, making Latinos the fastest-growing group in the country.
The LDC report also reveals that by 2022, Hispanics and Latinos contributed $3.7 trillion to the GDP, an annual increase of 13%, outpacing the growth of the world’s top-performing economies that year. This positions Latinos as the world’s fifth-largest economy, surpassing powerhouses like India, the United Kingdom and Canada.
A study conducted by California Lutheran University, UCLA, and Bank of America on Latina women’s participation in the economy found that Latinas contributed $1.3 trillion to the GDP, a figure greater than the entire economy of Florida. Furthermore, their participation grew 2.7 times faster between 2010 and 2021 than that of other non-Hispanic groups.
The report also highlights that the Hispanic workforce has the youngest median age, the number of Hispanic college graduates has increased, and states with larger Latino populations show stronger economic performance. Sharing these verifiable facts during Hispanic Heritage Month would be crucial to countering the flawed perception that immigrants, including Latinos, are a threat, when in fact they are a powerful driving force for economic growth.
