A New Estimate of the Cost of Reversing DACA

A New Estimate of the Cost of Reversing DACA

We obtained data on the age and educational outcomes of nearly 3,000 college students who are DACA recipients — Deferred Action for Childhood Arrivals — and used it to forecast their income in the ensuing decade.

Abstract

We obtained data on the age and educational outcomes of nearly 3,000 college students who are DACA recipients — Deferred Action for Childhood Arrivals — and used it to forecast their income in the ensuing decade. We then used this data, along with the income we forecast for DACA recipients not in college, to estimate the total economic and fiscal impact over the next decade of allowing this cohort to remain in the country and legally pursue employment. We estimate that reversing DACA would cost the U.S. economy $351 billion from 2019 to 2028 in lost income and that the U.S. Treasury would lose $92.9 billion in tax revenue.

Keywords: Immigration, Fiscal Costs

JEL Classification: H22, J61

Brannon, Ike, A New Estimate of the Cost of Reversing DACA (February 28, 2018). Available at SSRN: https://ssrn.com/abstract=3133140