2. Economic impact of immigration in the Rural Midwest
Himar Hernandez
Community Development Specialist
Iowa State University
Extension

3. Quick Facts 14.8% of the U.S. population is Hispanic
4.7% of Wisconsin’s population is Hispanic
1.4% in Green County – 1.2% in Lafayette County
7.3% of people in Wisconsin speak a different language other than English at home
Hispanics are not new to Wisconsin. They first came as Migrant Seasonal Farm workers at the end on the 19th century

4. Quick Facts
Wisconsin’s Latino population more than doubled between 1990 and 2000
80% of Latinos reside in Southeast Wisconsin
1.4% in Green County – 1.2% in Lafayette County
7.3% of people in Wisconsin speak a different language other than English at home
Hispanics are not new to Wisconsin. They first came as Migrant Seasonal Farm workers at the end on the 19th century

5. Then vs. Now Migrants came to work for the season
Migrant left after the season
Immigrant moves to Wisconsin
Immigrant stays in Wisconsin

6. Quick facts
42% of the Wisconsin Latino population is 18 years or younger. 23% of Wisconsin’s total population is under 18 years of age.
52% percent of Hispanic households in Wisconsin have children under 18 years of age. 35% of Wisconsin’s households have children under 18 years of age.
30% percent of Hispanics have high school or higher education. 85.1% of people in Wisconsin have high school or higher education

7. Hispanic households in Wisconsin, on average, contain…
3.1 persons
3.8 persons
non-Hispanic
households

8. Percent of Hispanic population that is under 18 year years of age
42%
23% of Wisconsin’s
total population
Is under 18

9. Initial expenses go up to accommodate influx
What does this mean to the costs in our communities?
Initial expenses go up to accommodate influx
(ESL, some medical etc)

10. Investments, home purchases, taxes etc
But some of these costs are mitigated by federal and state funds that come in
Investments, home purchases, taxes etc

11. On the long run studies show that immigration overall benefits the local economy
What is going on today?
Rural communities have struggled due to the economic decline in the agriculture and in natural-resources

12. Brain drain (Over 60% of University of Iowa students are planning on leaving the Midwest once they graduate)
Workforce continues to age
Companies are not attracted to areas in which population continues to decrease
Decline in the tax base

13. Why is there growth in the Midwest?

14. Why are the growth in the Midwest?
corn prices NAFTA
Farmers can’t compete with American corn
Mexico;
Migration
Migration to rural places
The Midwest faces large rural immigration

15. It is estimated that 95% of the immigrant Latino population in the midwest comes from rural areas (VERY RURAL)
Nearly 97% previously lived in a big city in the United States and did not like it

17. Small businesses in Wisconsin
US Census –
1% of the businesses are owned by Latinos in WI
6.8% of businesses owned by Latinos nationwide
These businesses had sales receipts of $288 million dollars
These businesses had a combined payroll of $54 million dollars

18. Small businesses and the downtowns
96% of the businesses are located in downtown areas
Most businesses are family owned
Most are started with family or friend’s money
Most are not members of chambers

19. Small businesses phases
1st phase – Grocery stores and restaurants
2nd phase – Other services
3rd phase – Fully part of the local business networks

21. What is next in the immigration?
Bigger influx from Africa
More family related immigration vs. illegal
More becoming US Citizens
New groups will continue to bring their challenges and their benefits

22. Impacts - summary Initial costs are high Initial issues with diversity
Will open businesses in downtowns and rural communities
High purchasing power
Most of the money stays in the community. Small percentage is wired to the countries.