New Fed report proves Milton Friedman and Joe Biden understood something vital about immigration—and explains why growth may sputter under Trump.

The article discusses the findings of a research paper from the Federal Reserve Bank of San Francisco, which highlights the impact of unauthorized immigration on the U.S. labor market. The study, conducted by researchers from the San Francisco and Dallas Federal Reserves, indicates that the influx of unauthorized immigrants under President Biden's policies has positively contributed to labor force growth, particularly in sectors like manufacturing and construction, where there are significant worker shortages. The authors argue that a reduction in unauthorized immigration could lead to slower employment growth and exacerbate existing labor shortages, ultimately affecting economic growth and housing availability in the U.S. The findings align with projections from the Congressional Budget Office, which emphasizes the importance of immigration for sustaining labor force expansion amid an aging population. [Extracted from the article]