New Research Details Economic Impact of Federal Program, Projecting Significant Fiscal Damage if Trump-Directed Suspension Persists
DETROIT — Michigan could lose as much as $416 million in net economic impact and up to $72 million in state and local taxes over the coming decade if refugees slated to come to Michigan in 2025 are unable to do so.
These are among the findings of a new research brief that examines the potential negative economic impact if federal refugee resettlement programs are ended, paused indefinitely, or resumed at a smaller scale. It was produced by Businesses and People for Immigration and Global Detroit in collaboration with Public Policy Associates.
In an extraordinary move, the Trump administration indefinitely suspended all refugee resettlement in the United States. The suspension, effective from January 2025 with no end date announced, has halted the resettlement of refugees in Michigan in the middle of a fiscal year that anticipated the resettlement in Michigan of an additional 2,265 refugees by September 30.
This pause and the loss of additional refugees to the state are not just immediate concerns; they are expected to have a lasting negative impact on Michigan’s economy and tax base over the next decade.
“U.S. immigration and refugee policies are humanitarian and civil rights issues that intersect with America’s foreign affairs,” notes Global Detroit’s Executive Director, Steve Tobocman. “But immigration policy also is very much economic policy. Working with chambers, economic development organizations and businesses across the state, our Businesses and People for Immigration campaign seeks to highlight the economic impacts of changes in our immigration policies. Today’s report examines the pause in refugee resettlement through the same lens.”
The research brief released today draws on estimates from three recent studies conducted by Global Detroit and the University of Michigan’s Ford School of Public Policy, the American Immigration Council and the Michigan Global Talent Initiative, and the Michigan League for Public Policy in collaboration with the Immigration Research Initiative.
“It’s important when considering the kind of immigration and refugee policy that the economic impacts of such policy be taken into account,” said PPA’s Chief Strategy Officer, Daniel J. Quinn, Ph.D. “PPA has long been at the forefront of analyzing policy impacts, and as a supporter of the Businesses and People for Immigration campaign, we were eager to leverage our research skills to help develop this joint research brief.” View the full research brief here.
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About Businesses and People for Immigration
Businesses and People for Immigration is a coalition of 400 chambers of commerce, economic development organizations, businesses, industry groups and concerned citizens united in their call for smart immigration policy that will create a strong, effective and welcoming federal and state immigration system that offers freedom, opportunity, and security to immigrants whose talent, hard work, and entrepreneurship help us build a more prosperous America, and stronger Michigan. To find out more about Businesses and People for Immigration or to sign the pledge, visit: www.forimmigration.biz.
About Global Detroit
Global Detroit is a community and economic development organization. With a focus on immigrants and global talent, Global Detroit develops and implements inclusive strategies to drive the growth, revitalization and broadly shared prosperity of Detroit, Southeast Michigan and Michigan. To learn more about Global Detroit, visit www.globaldetroitmi.org
About Public Policy Associates
Public Policy Associates provide evaluation, research, and strategic consultation to help make smart policy and programmatic decisions that improve lives, enrich communities, and strengthen institutions. PPA believes that policies and programs should be informed by many voices, especially the people most affected. It is PPA’s goal to combine academic rigor with authentic community engagement to provide as complete a picture as possible.
Contact: Steve Tobocman, Executive Director, (313) 516-9681, steve@globaldetroitmi.org