CBO Calculation Error Explodes Immigration Surplus Claim

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Breitbart:

An analysis by a researcher at the Hoover Institution at Stanford University finds that the Congressional Budget Office’s (CBO) claim that the Senate immigration will create a budget surplus is false due to inaccurate calculations of Social Security inputs by immigrants.

The CBO’s projections are based on the assumption that immigrants will pay Social Security taxes for the first 10 years and receive no benefits. But as scholar Paul Gregorypoints out in Investor’s Business Daily, the CBO incorrectly “counts each year’s Social Security contributions by immigrants in the positive column without making provisions for future benefits, which will be about twice what the immigrants contributed over the long term.”

Gregory also notes the immigration bill’s vague eligibility language is so hazy that the CBO had to provide four possible interpretations of it. He says “administrative agencies will use the most generous interpretation of eligibility,” which will further expand deficits, not surpluses.

The CBO also failed to report on the bill’s impact on the states and municipalities who will have to cover some $10,000 per school student and Medicaid costs.

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Thanks for that post.