‘Economy is like baking, H-1B is key ingredient’: Expert says US will have to import ‘cake’ or ‘use inferior recipe’

Economist Justin Wolfers said H-1B is a main ingredient required to bake economy cake in the US.

Australian economist Justin Wolfers, a professor of economics at the University of Michigan, came under MAGA fire as he has been speaking in support of the H-1B visa program that allows US companies to hire skilled workers from foreign countries. Appearing on MSNBC, Wolfers said studies have revealed that H-1B inflow actually increased the wages of American college grads and the native employment figures did not change because of H-1B hirings. “If H‑1Bs took jobs, you’d expect lower wages for U.S. grads. The best available studies show the opposite: 1990–2010 H‑1B inflows raised wages of American college grads by 4.2% and non‑college by ~2%, with native employment unchanged,” he said. The economist said that it is one way of thinking that if somebody is coming to the US, they are taking someone’s jobs. “But facts don’t bear that out,” he said, adding that all economic activities in the US are like a cake and H-1B is a key ingredient. If the US does not have a specific ingredient to bake the economy cake, they can ‘instacart’ STEM workers through the H-1B program. Without the ingredient, US will have to quit baking, make inferior quality products or buy a cake instead of baking it. Wolfers said all these options are not good for the US economy.Wolfers said more H1B means more patents, more productivity, as H-1Bs are not just workers; they cross the ocean bringing their fresh new ideas with them. As his cake analogy went viral, many social media users attacked him and said there’s no ingredient missing. “If the missing ingredient is underpaid indentured servants who steal American jobs sure,” one wrote. “H-1B is the opposite of high skilled STEM workers. Indians are lower intelligence overall, IQ studies have shown us this for a long time. Their education system is a scam they literally just pay for a diploma without schooling. You’re not prepared for these conversations,” another wrote. Howard University professor Ron Hira said Wolfers has been repeating false claims. “Core of debate is about deficient worker protections,” he said.