·Ranked by revenue, minority firms as a group would be the 15th largest in the state with total revenue of $5.8 billion in 2007, larger than St. Jude Medical, Toro and Deluxe Corporation. Asian owned firms would rank the 22nd largest with revenue of $2.4 billion.
·Ranked by employees, minority firms as a group would be the 9th largest employer, bigger than General Mills, Ecolab and Hormel, employing almost 40,000 with an annual payroll of $1.1 billion.
·The number of minority firms grew by 43 percent between 2002-2007 compared to 12 percent for all firms in Minnesota. Black owned firms were the largest number of minority firms followed by Asian owned firms.
·Revenue of minority firms grew by 83 percent between 2002-2007 compared to 30 percent for all firms in Minnesota. Revenue of Latino firms grew by 248 percent during this time period – the second highest growth in the nation. Revenue of Native American firms grew 72 percent.
Minnesota – time for a new vision – ALANA Capital can make Minnesota a Global Competitor. These firms are rebuilding the inner city, expanding the high tech corridors and creating jobs and wealth in Minnesota.
For more details and updated reports please visit - http://ethnictrends.info/MarketResearch.html
(Data is from the Economic Census 2007, preliminary estimates)
The State of Minnesota adopted this new vision for Minnesota...now we hope they will take it to the implementation phase....
State agency personnel: Please take note of the following excerpts from the Commissioner's Order regarding state agency purchasing:
Businesses owned and operated by minorities, women, veterans and disabled individuals make significant contributions to Minnesota's economy.
Small businesses are major contributors to jobs and revenue growth in Minnesota.
Public spending can leverage small business development which in turn can help address issues such as job growth, increased tax revenue, increased human capital and reduction in dependency and crime.
Public spending to leverage small business development is a priority for Minnesota's executive branch leadership and part of a larger strategy to make Minnesota globally competitive.
State and local government agencies are strongly encouraged to develop programs to help build the capacity of Minnesota's small businesses.
State executive branch agency purchasing and contracting conducted under the authority of Minnesota Statutes Chapter 16C must, at minimum, comply with this order.
So How Did ALANA Color the Vote in 2010?
This is a difficult task to do given the lack of good data. Based on analysis of 35 precincts where ALANA communities are on average 80 percent of the population - the following pattern emerges:
Mark Dayton got 14,954 votes in these precincts, Tom Emmer got 2061 votes and Tom Horner got 970 votes. In this current “recount” climate these numbers are quite significant. On average Mark Dayton got 80 percent of the votes in these precincts. Statewide Dayton got only 43 percent of the votes.
When we group these precincts by presence of the largest ALANA group subtle differences emerge. See complete article in the link below.
An Unofficial Guide
Looking to come for to the USA – here are some tips especially if you are from Asia, Africa and Latin America:
Brace yourself for extra rude treatment from visa officials – they think you are coming to steal the apple pie.
Wear ear plugs – because you will meet some loud officials especially the ones whose job is to welcome or provide security.
While in the USA you are innocent before you are proven guilty at the embassy you are guilty before you prove you are innocent.
Officials will have a hard time believing all you want to do is visit for a while and go back to the place you call home.
Be prepared to wait long in the cold or heat as officials believe that is how you enter the promised land.
Don’t ask to use the restroom while you wait in line – they are afraid somehow you will sneak in.
If you are old or single they think you do not want to go back to your home country.
Don’t be surprised if the official is not courteous to you as that is not part of their job description and their superiors do not care either. They however expect you to be dressed in your best and to be courteous to them.
Officials think they are trained psychologists – they can make a judgment call on your credibility in 2 seconds.
Don’t expect one group of officials from one government agency to agree with another group of officials from a different agency – on the same set of facts.
Be prepared to lose your legal visa status in the few seconds the officer makes a snap judgment call on your intent.
Officials think that you cannot uphold the law and at the same time treat people with respect.
Pray – miracles happen
To the many people who experienced much of the above - as a citizen of the USA I can say these officials do not represent our core American values. All over the country I have met Americans who are decent, kind and have a deep concern for their global family and uphold the dignity of the individual especially the vulnerable.
Minnesota’s Performance in Using ALANA Businesses
Bruce P. Corrie, PhD
In 2000 the Governor’s Working Group on Minority Business Development documented the use of ALANA businesses in the state as recorded in the existing disparity studies in the state. The report can be found at http://www.ethnictrends.info.
The report found that out of state procurement during that period totaling $2.2 billion, just $36 million were awarded to ALANA businesses or 1.6 percent of the total procurement.
Analysis of the latest disparity data of the state in 2009, paints a similar picture. Of a total of $3.3 billion in state contracts, ALANA share was $36 million or 1.08 percent.
There are core policy proposals that have been suggested to grow small and minority businesses. The good news is that Minnesota does not have to create new laws – it has Statute 16C.16 already in place. What it can do is to fill in the critical gaps within these policies.
The legislative web site refers to a statute as, "a compilation of the general and permanent laws of the state, incorporating all new laws, amendments, or repeals of old law."
So there is an aura of permanence about this statute. Let us see how it stacks up against some commonly suggested policies to use small and minority businesses in the state.
Common Policy Proposals (Many of these were recommendations to the State provided by the Governor's Working Group on Minority Business Development in 2000 after statewide hearings and analysis of public procurement policies. See www.ethnictrends.info for the document):
1.Set aside a percentage of public procurement dollars for small and minority businesses.
2.Set goals for utilization of small and minority businesses in public contracts.
3.Provide technical assistance for small and minority businesses bidding on public contracts
4.Provide a simple central certification for small and minority businesses in the state across all entities at the federal, state and local level.
5.Break up large contracts into smaller ones that is within the capacity of small and minority businesses to bid on.
6.Assistance for small bidders who cannot compete with large firms which get special rates on large orders from suppliers.
7.Assistance with bonding and insurance requirements,
8.Quick payments for services done.
9.Reduce onerous paperwork needed to do business with the government
10.Set up mentoring programs, joint bidding, apprenticeship and other programs to grow small and minority businesses and prepare people for the future workforce needs of the state.
11.Provide easy access to RFPs and documents needed for the development of bids.
12.Provide information on upcoming projects at an early time so that small and minority firms can make plans to bid on such projects or develop joint bids.
13.Hold public officials accountable to meet utilization goals.
MINNESOTA LAWS IN PLACE RELATIVE TO THE ABOVE POLICY PROPOSALS
1.Set aside a percentage of public procurement dollars for small and minority businesses.
MINNESOTA STATUTES ALLOWS 25 PERCENT OF STATE PROCUREMENT TO BE DEDICATED FOR SMALL BUSINESSES.
16C.16. Subdivision 1. Small business procurements. (a) The commissioner shall for each fiscal year ensure that small businesses receive at least 25 percent of the value of anticipated total state procurement of goods and services, including printing and construction….
..(b) The commissioner must solicit and encourage Minnesota small businesses to submit
responses or bids when the commissioner is entering into master contracts. If cost-effective, when entering into a master contract, the commissioner must attempt to negotiate contract terms that allow agencies the option of purchasing from small businesses, particularly small businesses that are geographically proximate to the entity making the purchase.
Subd. 3. Professional or technical procurements. Every state agency must for each fiscal
year designate for awarding to small businesses at least 25 percent of the value of anticipated
procurements of that agency for professional or technical services.
TARGETED BUSINESS
Subd. 4. Targeted group purchasing. The commissioner shall establish a program for purchasing goods and services from targeted group businesses, as designated in subdivision 5. The purpose of the program is to remedy the effects of past discrimination against members of targeted groups. In furtherance of this purpose, the commissioner shall attempt to ensure that purchases from targeted group businesses reflect a fair and equitable representation of all
the state's purchasing.
2.Set goals for utilization of small and minority businesses in public contracts.
MINNESOTA STATUTES ALLOWS GOALS FOR THE UTILIZATION OF SMALL AND MINORITY BUSINESSES IN PUBLIC CONTRACTS. THEY MAY BE AWARDED UP TO SIX PERCENT PREFERENCE IN THE BID. BIDS COULD BE DESIGNATED EXCLUSIVELY FOR SMALL OR MINORITY BUSINESSES IF 3 SUCH BUSINESSES ARE LIKELY TO BID
Subd. 6. Purchasing methods. (a) The commissioner may award up to a six percent preference in the amount bid for specified goods or services to small targeted group businesses.
(b) The commissioner may designate a purchase of goods or services for award only to small businesses or small targeted group businesses if the commissioner determines that at least three small businesses or small targeted group businesses are likely to bid.
(c) The commissioner, as a condition of awarding a construction contract or approving a contract for professional or technical services, may set goals that require the prime contractor to subcontract a portion of the contract to small businesses or small targeted group businesses.
3.Provide technical assistance for small and minority businesses bidding on public contracts
4.Provide a simple central certification for small and minority businesses in the state across all entities at the federal, state and local level.
5.Break up large contracts into smaller ones that is within the capacity of small and minority businesses to bid on.
MINNESOTA STATUTES ALLOW FOR LARGE BIDS TO BE BROKEN INTO SMALLER BIDS TO ENABLE SMALL BUSINESSES TO PARTICIPATE.
16C.16. Subdivision 1. Small business procurements. (a) ….The commissioner shall divide the procurements so designated into contract award units of economically feasible production runs in order to facilitate offers or bids from small businesses.
6.Assistance for small bidders who cannot compete with large firms which get special rates on large orders from suppliers.
7.Assistance with bonding and insurance requirements,
8.Quick payments for services done.
9.Reduce onerous paperwork needed to do business with the government
10.Set up mentoring programs, joint bidding and other programs to grow small and minority businesses.
11.Provide easy access to RFPs and documents needed for the development of bids.
12.Provide information on upcoming projects at an early time so that small and minority firms can make plans to bid on such projects or develop joint bids.
13.Hold public officials and contractors accountable to meet utilization goals.
MINNESOTA LAW ALLOWS PENALTIES TO BE IMPOSED ON CONTRACTORS WHO DO NOT MEET STATE GOALS FOR SMALL AND MINORITY BUSINESS UTILIZATION.
Subd. 6. Purchasing methods. (c)…The commissioner may establish financial incentives for prime contractors who exceed the goals for use of small business or small targeted group business subcontractors and financial penalties for prime contractors who fail to meet goals under this paragraph.
A recently completed study of African immigrant markets found that among all groups surveyed, Muslim African immigrants identified most strongly with the American dream.
When asked their opinion on the statement, “America is a land of freedom, opportunity and possibilities for a better life,” 75 percent of Muslim African immigrants strongly agreed with that statement compared to 70 percent of all African immigrants surveyed. Among Somali Muslim immigrants the percentage who strongly agreed was even higher – 79 percent.
African immigrants were less likely to report experiencing racism against them in America. Only about a third of those surveyed strongly agreed that they experienced racism against them in America. The percentage was even lower for Muslim African immigrants and even lower for Somali Muslims.
The study also found a unique Islamic segment of the African immigrant consumer market.
The national study was conducted by New American Dimensions of Los Angeles and commissioned by the US African Chamber of Commerce. David Morse of New American Dimensions and Dr. Bruce Corrie of Concordia University-St. Paul were co-authors. The study focused on African immigrants in Minnesota, Washington DC, New York and California. The study can be found at http://www.ethnictrends.info/pdfs/African_Immigrant_Presentation(2).pdf . A video of the study can be found at http://newamericandimensions.com . For more details on the study please contact Martin Mohammed (userad@aol.com), David Morse (david@newamericandimensions.com) or Dr. Bruce Corrie (corrie@csp.edu).
State of Minority Businesses in the Economic Downturn in Minnesota, 2009 – “Glimmers of Hope”
Saint Paul, MN:
The 2009 survey results on the State of ALANA Businesses 2009 was presented at a packed town hall meeting focusing on the Economic Recovery Act at St. Paul College attended by senior policy leaders such as Congresswoman McCollum, Mayor Coleman of St. Paul and DEED Commissioner McElroy and others.
“The key insight from the 2009 survey is that we can see “Glimmers of Hope” in the experiences of ALANA (African Latino Asian and Native American) businesses as they weather the economic downturn,” said Dr. Bruce Corrie, Dean, College of Business and Organizational Leadership at Concordia University-St. Paul.
The online survey was sent to over 500 businesses and had an 11 percent response rate or 64 firms. These firms reflected a wide range of industries whose sales ranged from $10,000 to $20 million.
Among the key findings of the survey:
• 40 percent of the firms expected to increase employment in 2009. 24 percent reported reduction in employment in 2008.
• 56 percent expected sales in 2009 to be average or above average while 44 percent expected sales to be below average.
• Strategies used during the economic downturn included the following –
o Finding a core stable financial base to weather the storm
o Increased networking for new sources of revenue
o Analyzing the customer base to find important market segments.
o Analyzing the product base to find out products whose demand increases during the downturn.
o Experimenting with innovative ideas and new products.
Survey results can be found at www.ethnictrends.info. The survey follows a similar survey in 2008. For more information contact Bruce Corrie – 651 641 8226 or corrie@csp.edu
It is unfortunate that our elected officials have reached an impasse over the budget and not non elected bureaucrats get to decide the future of Minnesota.
We as citizens need to take charge of this process - How?
Citizens should host a political summit in every county. The Secretary of State's office has the infrastructure and capacity to implement these town hall meetings through their voting and election infrastructure.
The major elements of the budget proposals of the legislature should be summarized. Governor Pawlenty's proposals should be summarized. Citizens could vote on three options:
Accept the legislative proposals
Accept the Governor's proposals
Ask both the Governor and the Legislature to reach a compromise
Elected officials should follow the citizens recommendations. If they do not they have lost the popular mandate and should resign.
I cannot believe that we in Minnesota are presented with a "default" option to resolve the serious issues of the future of Minnesota - especially in a time when so many Minnesotans are hurting because of the economy.
If you agree with the above write your comment below and we will work to implement this vision.
I welcome the visit of the President of Liberia to Minnesota. Here is some information on the economic contributions of Liberians to Minnesota.
Though a small community Liberians in the United States and Minnesota have a significant impact on the national and local economy. This report will document the multidimensional economic contributions of Liberians in Minnesota and the nation. The local analysis in Minnesota can help estimate the national economic contributions of this community to the nation.
Consumer Capital
Liberians in the United States have a buying power of over a billion dollars. This is equivalent to two times the GDP of Liberia in 2005.
In Minnesota Liberian buying power is an estimated $157 million dollars which is almost as large as the 2007-08 Liberian National Budget of $199 million dollars.
Worker Capital
Nationally and in Minnesota, Liberians have a higher labor force participation rates – 74 percent (nationally and locally).
Liberian workers are concentrated in the health care sector – nationally and locally with 45 percent locally and 36 percent nationally in that sector. Almost 4000 Liberians work in the health care sector in Minnesota.
Fiscal Capital
At the national level, Liberians pay an estimated 441 million dollars in personal taxes, almost equal to the GDP of Liberia.
In Minnesota, Liberians pay an estimated 24 million dollars in state taxes and 22 million dollars in federal taxes.
Entrepreneurial Capital
We do not have good data on Liberian businesses in Minnesota. However if we look at the growth in Black owned businesses in Brooklyn Park, the home of many African and Liberian immigrants we find that Black owned businesses grew over 100 percent during the period 1997-2002 from 205 to 437 and revenue of these firms grew over 70 percent during the same period, according to the Survey of Business Owners, 2002.
Global Capital
Exports to Liberia from the US was 75 million dollars in 2007
Liberia is an important source for Rubber imports to the US.
Minnesota with exports to Liberia of 1.2 million dollars in 2007 was the 15th largest trading partner of the US with Liberia.
Between 2002 and 2007 – trade between Liberia and Minnesota rose 1479 percent or over 14 times.
Economic Impact
Liberian workers are a small but significant part of the Minnesotan economy. According to the EMSI model the employment of Liberian workers helped create over 12,000 jobs and increase overall earnings by 492 million dollars. This earnings increase is almost the size of the GDP of Liberia.
Liberian workers have a powerful impact on the health care sector of Minnesota. According to the EMSI model, if the slightly over 3000 Liberian workers were to leave the local economy this would impact 7000 other workers in Minnesota and create a further earnings loss of over 300 million dollars in Minnesota.
Conclusion
Liberians in Minnesota and the nation are a small and significant part of the local and national economy. They influence the local and national economy in many ways – as consumers, workers, entrepreneurs, global and cultural capital. It is all the more important that the issue of the TPS of some Liberians expiring be given due policy consideration as a sudden labor shortage in a critical sector of the economy (health care) can have a significant on the economy of Minnesota.
I ran a simulation of the economic impact of over 145,000 Black workers in Minnesota. The model estimated that these workers helped increase earnings of other workers in Minnesota to the tune of almost 10 billion dollars. Black Capital makes Minnesota wealthier.
I used the EMSI model which is an input-output model used by economists to give us a snapshot of economic impacts. The model has its own limitations but nevertheless helps us gauge broad economic impacts.
For more information and data on the ethnic economy in Minnesota and the nation see www.ethnictrends.info.
Bruce P. Corrie, PhD
Given the importance of ALANA (African Latino Asian and Native American) businesses to the local economy it is important to know how they are faring in the current economic climate. To get a sense of their status during this period of economic decline a quick survey was conducted in the following manner: From a database of over 3000 minority firms, 140 were randomly selected from a wide range of sectors. A total of 52 telephone calls were made with 24 responses from 16 sectors of the economy. Half of these calls were to firms randomly selected from the list of firms. Others were called to ensure representation of a wide range of industries.
Respondents were asked if their sales in the previous year were less than average, average or below average. They were also asked about their expected sales in the coming year and whether they had to downsize and about their plans to expand in the future. In addition leaders serving ALANA entrepreneurs were also surveyed for their assessment of the situation. The ALANA business owners reflected a wide range of sizes – both large successful multimillion dollar businesses to small businesses.
From these surveys we can construct the following ALANA Business Sentiment Index – with the value of 1 being “Boom” and the value of 3 being “Gloom”. The index is a simple average of the responses of the two questions on business sales in the past year and expected sales in the future.
An index of 2.3 out of 3 reflected more of “gloom” than optimism. However there were interesting facts behind those businesses doing well.
Firms in the survey reflected the following sectors of the economy: construction, specialty construction, manufacturing, IT services, janitorial services, real estate, restaurants, grocery stores, HVAC, translation services, commercial painting, commercial printing, ethnic media, insurance, business referrals and legal services.
For more details see the full report on www.ethnictrends.info
RNC Visitors and Delegates – Experience the World in Saint Paul
A Warm Welcome from the World Cultural Heritage District where you will experience the world in Saint Paul in the University Avenue area near the State Capitol.
The attached map will give you some places where you can experience the dynamic potential of ethnic capital in Minnesota – a 12 billion dollar economy. You can also find the map online at http://ethnictrends.info/pdfs/WCHD%20Welcome.pdf.
If you want to know more about the area – call one of the Cultural Ambassadors listed on the map and they will be glad to help you.
·Egg rolls and Hmong Sausage at Food Smart Deli for a late morning snack
·Stroll over to the Hmong Market on Como and Marian
·Get your nails done, hair braided or buy ethnic groceries at the many stores on University Avenue
·Lunch – you choose the continent – Asia, Latin America or Africa – there is a restaurant to match on the Avenue or try Vietnamese sandwiches at Saigon or Trung Nam.
·Relax at the Rondo Library and read about local history there or walk over to the Center for Hmong Art and Talent to hear about their latest Hmong fashion show.
·Catch the latest show at the African American theater – Penumbra
·Dinner – eat with the locals – soup at Pho Ca Do, appetizers at the trendy Ngon, dinner at the elegant Mai Village (ask the owner to show you the Vietnamese Museum on the top floor), desert and drinks at the many restaurants on Selby Avenue.
Enjoy your visit to the World Cultural Heritage District and come back soon!
An Article in the Indian Express sent to me by Kingshuk Mukherjee documents the contributions of temporary workers from India to the US Social Security Fund....see below...
Over $1 billion of contributions to the US Social Security Fund are made annually by an estimated 80,000 “detached workers” from India working on consultancy and onsite assignments — each one has to contribute at the rate of 15% of basic salary. However, when they return to India, these contributions are forfeited as the minimum period to qualify for pension benefits in the US is 10 years (the same is true of India as well)... http://www.indianexpress.com/story/332763.html
Ethnic Capital: Liberians in the United States and Minnesota
Bruce P. Corrie, PhD
Dean, College of Business, Concordia University
corrie@csp.edu
Daniel Johnson,
Research Assistant, Concordia University
Though a small community Liberians in the United States and Minnesota have a significant impact on the national and local economy. This report will document the multidimensional economic contributions of Liberians in Minnesota and the nation. The local analysis in Minnesota can help estimate the national economic contributions of this community to the nation.
·Liberian workers are a small but significant part of the Minnesotan economy. According to the EMSI model the employment of Liberian workers helped create over 12,000 jobs and increase overall earnings by 492 million dollars. This earnings increase is almost the size of the GDP of Liberia.
Liberians in the United States have a buying power of over a billion dollars. This is equivalent to two times the GDP of Liberia in 2005.
In Minnesota Liberian buying power is an estimated $157 million dollars which is almost as large as the 2007-08 Liberian National Budget of $199 million dollars.
Liberian workers are concentrated in the health care sector – nationally and locally with 45 percent locally and 36 percent nationally in that sector. Almost 4000 Liberians work in the health care sector in Minnesota.
Liberian workers have a powerful impact on the health care sector of Minnesota. According to the EMSI model, if the slightly over 3000 Liberian workers were to leave the local economy this would impact 7000 other workers in Minnesota and create a further earnings loss of over 300 million dollars in Minnesota.
At the national level, Liberians pay an estimated 441 million dollars in personaltaxes, almost equal to the GDP of Liberia.
In Minnesota, Liberians pay an estimated 24 million dollars in state taxes and 22 million dollars in federal taxes.
Minnesota with exports to Liberia of 1.2 million dollars in 2007 was the 15th largest trading partner of the US with Liberia.
Between 2002 and 2007 – trade between Liberia and Minnesota rose 1479 percent or over 14 times.
Conclusion
Liberians in Minnesota and the nation are a small and significant part of the local and national economy. They influence the local and national economy in many ways – as consumers, workers, entrepreneurs, global and cultural capital. It is all the more important that the issue of the TPS of some Liberians expiring be given due policy consideration as a sudden labor shortage in a critical sector of the economy (health care) can have a significant on the economy of Minnesota.
Minnesota is among the top 10 states in the nation for the number of African immigrants.
African Immigrant buying power in the USA is an estimated 45 billion dollars (in relative terms – will be the 6th largest African economy). African Immigrant Capital in Minnesota is also significant – for example buying power of the Somalis is an estimated 216 million dollars, Ethiopians 203 million dollars, Nigerians 71 million dollars, Kenyan 167 million dollars, Liberians 142 million dollars and smaller communities like the Cameroonian community have an estimated buying power of 6 million dollars.
African immigrants, as compared to other immigrants, tend to be younger, have higher educational attainment and have a greater participation in the workforce.
This data was released by Dr. Bruce Corrie, Professor of Economics and Director of the Strategic Business Design Institute, ConcordiaUniversity, at the 4th Annual Midwest Multicultural Marketing Conference in Saint Paul, MN. For more data on African Immigrant Capital please see http://www.ethnictrends.info/AfricanImmigrantCapital.html
A new study on the economic contributions of African immigrants from Liberia will be released shortly. Contact: corrie@csp.eduTel: 651 641 8226
A new study documenting the economic contributions of Mexican Americans in Minnesota was released on March 3, 2008 at the Minnesota Meeting in Minneapolis.
The study addresses a critical weakness of immigration research and policy that has a very narrow definition of economic contribution with its focus mainly on taxes and government spending.
The study offers a comprehensive picture of the economic contributions of immigrants by focusing on immigrants as consumers, workers, human capital, entrepreneur, tax payers, global capital, cultural capital and political capital. Within this perspective the study finds that Mexican Americans have made very significant economic contribution to the state of Minnesota – much more than has been acknowledged in the policy debate on immigration.
The study also points to a flaw in the existing debate on immigration of not incorporating the realities of our market system into the framing of immigration policy. Further there may be no contingency plans developed at the state or national level to address the impact to the local and national economy if large scale labor shortages occur should we implement proposed immigration policies such as mass deportations. The study can be found at http://www.ethnictrends.info/mexammn.html.
Illegal-Immigrant Loans
Have Been Solid Bets;
Threats Are Looming
By MIRIAM JORDANOctober 9, 2007; Page C1 WSJ
This WSJ provides some estimates of the housing market of undocumented workers...below are some excerpts from the interesting article...
The housing market for ITIN homes is estimated at $85 billion. But it estimates that the niche market has generated only $2 billion in loans overall because relatively few banks offer them.
The mortgages represent a fraction of the $2.8 trillion mortgage market. But they are a bright spot in today's gloomy mortgage industry.
For loans more than 90 days in arrears, ITIN mortgages have a delinquency rate of about 0.5%, according to independent estimates. That compares with 1% for prime mortgages and 9.3% for subprime mortgages extended to those with spotty credit histories.
....ITIN-mortgage applicants are largely blue-collar, illegal-immigrant workers with only modest incomes. But they undergo more scrutiny -- and provide more documentation -- than candidates for stated-income mortgages and other subprime loans, for example. Most banks also ask applicants to show they have been filing taxes -- with an ITIN -- for at least two years.
Despite the high-yield potential of ITIN mortgages, the majority of players in the ITIN-mortgage segment are small banks rather than large national institutions. Concern over the controversy that can erupt over serving the illegal-immigrant community is widely regarded as preventing big banks interested in the Hispanic market from joining the fray.
Today's WSJ (Miriam Jordan) has a story of Somalis immigrants in Louisville Kentucky. The city for various reasons including an aging population has adopted a welcoming approach to immigrants. The city's Mayor Jerry Abramson calls them "internationals" and presents "international awards" to individuals, organizations and companies working to integrate the immigrants in their community.
"It's not that the city has a 'Let's go and find immigrants' approach," says Randy Capps, a senior research associate at the independent Urban Institute in Washington, D.C. "It hopes that by being a welcoming place, more immigrants will want to settle there."
Louisville has not actively gone out and recruited immigrants but some of them found their way here through the refugee allocation process.
From 1990-2004 - the foreign born population has jumped 388 % in the city. 80 languages are spoken in their schools.
For data on immigrants and minorities please visit http://ethnictrends.info
The WSJ September 15 documents some interesting facts on the Hispanic Vote:
Hispanics make up 8 percent of the electorate and are projected to become 20% of the electorate by 2020
48 % of Hispanic voters are foreign born up from 18 % in 1988
Hispanics may decide elections in the following states: New Mexico, Arizona, Florida, Nevada, Colorado
According the the WSJ, "Latinos are proven swing voters, and Republican energies would be better employed trying to win them over instead of trying to capitalize on ethnic polarization to win GOP primaries."
visit http://www.ethnictrends.info for data on ethnic markets
Results of U.S. Housing Slump Are Felt
On Both Sides of Border With Mexico
By KRIS HUDSON and ANA CAMPOY
August 29, 2007; Page A8, Wall Street Journal
The Mexican central bank estimates that money transfers into the country have risen 0.6% so far this year, compared with a robust 15% increase last year and 21% the year prior. Money transfers from the U.S. are estimated by economic-analysis firm Global Insight Inc. to account for 5% of Mexico's consumer spending.
Money transfers from the U.S. are estimated by economic-analysis firm Global Insight Inc. to account for 5% of Mexico's consumer spending.
WalMex racked up $18.3 billion in sales last year, accounting for nearly a quarter of the retailer's international sales and ranking it as Wal-Mart's second-largest international division behind its Asda unit in the United Kingdom.
An estimated 9% of Wal-Mart's U.S. shoppers were Hispanic in 2005, up from 6% in 1997, according to ACNielsen.
There is considerable debate about the Point System proposal for immigration reform. The Migration Policy Institute website http://www.migrationpolicy.org/news/2007_05_18.php does a good job in giving a global perspective on the issue. Who are the winners and losers?
Winners - Immigrants with skills, English abilities and education
Losers - Immigrants with low skills, poor English abilities and poor education
Employers might not like this proposal as it takes away their control of the process, ie, who they want to employ and puts the decisions in a centralized system.
People with extended families might not like this proposal because the preference for families, primarily nuclear families are embedded in the point system and do not have a separate category like the present system.
People who want a bigger say in who gets into this country will like this system because it puts a premium on skills and other criteria deemed important.
One thing we have to watch out for is that we do not get boxed into a rigid system. The Toronto Star reported that the point system brought high skilled people to Canada but could not get them jobs. Many high skilled immigrants are thus under employed. Consequently Ontario is pushing for a system where they could bring in more workers more fine tuned to the current needs of the region.
Ultimately this is the question of the American identity - should we have an open immigrant system like the days of old or should we control it according to some value system or the capacity of our economy to absorb the immigrants?
This is not an easy answer - but one way or the other we need comprehensive immigration reform that is open, flexible, fits in with the traditions of this country and considers the capacity of the country to present meaningful opportunities to the immigrants searching for a better life.
Bruce P. Corrie, PhD
corrie@csp.edu
Latest Census data show many Minnesota Cities and Counties benefited from Immigration.
Among the Metropolitan areas facing negative internal migration and being positively impacted by net interntational immigration are the MSP metro area and the Grand Forks - Fargo Metro Area.
Among the Micropolitan areas facing negative internal migration rates and being positively impacted by net international migration are: Albert Lea, Austin, Fairmont, Marshall, New Ulm, Wahpeton, Willmar, Winnona and Worthington.
To see the data please visit http://ethnictrends.info/Market%20Research.html
Bruce P. Corrie, PhD
Professor of Economics
Concordia University-St. Paul
corrie@csp.edu
Latest Census data show that Austin lost 1241 people due to internal migration during the period 2000 and 2006.
However international immigration increased Austin's population by 640.
Latest Census data reveals that cities all across the United States are benefiting from the inflow of immigrants to compensate population decline due to natural reasons as well as migration to other cities.
In the case of Austin, the net addition to Austin's population during the same period due to natural reasons, ie, birth and deaths was 796. Net migration out of Austin was 601. Net international immigration was 640.
For more information please see the Census Report: http://www.census.gov/population/www/estimates/CBSA-est2006-comp-chg.html
Today's WSJ reported that illegal workers in the United States are required to pay taxes and are given an ITIN number. I found a testimony of IRS Commissioner Everson to the House Ways and Means committee where he provides more details around the WSJ article. He thinks that most of these payments are from the undocumented workers (see link above).
Today's WSJ gave an example of a tax filing of Pablo Espinoza a welder earning $42,000 and an illegal worker.
"Last year, $1,464.88 in Social Security and $342.60 in Medicare were deducted from Mr. Espinoza's wages. His wife paid several hundred dollars in Social Security and Medicare, too. In addition, $3,508 in federal taxes was withheld from their combined salaries. Mrs. Castillo figures they will get a $3,462 refund from the IRS, putting their total federal tax bill at $46."
Note while he can get a refund - he is a net contributor to Social Security and Medicare.
In his testimony to Congress - IRS Commissioner Everson was making a case for comprehensive reform.
WSJ reference
http://online.wsj.com/article/SB117564081607858869.html?mod=hps_us_editors_picks
Minnesota Governor Announces Trade Mission to India in October, 2007
31 January 2007
Saint Paul, MN: Governor Tim Pawlenty has announced that he will lead a delegation of Minnesota business executives on a trade mission to India in October to explore trade and investment opportunities and make inroads with key Indian and U.S. business organizations.
“Strong economic growth is unleashing a wave of demand in India. From consumer goods to professional services, high-tech to health care, machinery to processed foods – the prospects are abundant,” Governor Pawlenty said. “It’s important that we make these connections firsthand.”
The 30-member delegation will travel to New Delhi, Bangalore, and Mumbai October 20-27, 2007 for a series of market and industry presentations, networking events, roundtable discussions and one-on-one business events with potential Indian customers, distributors and partners.
India’s gross domestic product grew an average 7 percent per year between 1994 and 2004 and recently has tracked at nearly 9 percent. U.S. manufactured exports to India reached $6.8 billion in 2005, an increase of 111 percent since 2000. Minnesota’s manufactured exports to India grew 208 percent to $85 million over the same period.
Promising sectors include computers and electronics, machinery, medical products, biotechnology, and food processing.In addition, Indian companies have ambitious plans for expanding and diversifying manufacturing activities, particularly in the automobile, auto parts, metals, chemicals, pharmaceuticals and electronics industries, creating opportunities for Minnesota suppliers.
At a press conference announcing the trade mission, Governor Pawlenty acknowledged the role that the local Asian Indian community played in the development of the trade mission to India. “I want to acknowledge local Asian Indian leaders present, my Chief Information Officer Gopal Khanna, State Senator Satveer Chaudhary, leading entrepreneur Mahendra Nath and Professsor Bruce Corrie of ConcordiaUniversity,” Governor Pawlenty said.
The local Asian Indian community applauded the decision to lead a trade mission to India. A group of Asian Indian leaders and community members proposed a plan for a trade mission to India at the request of the Governor two years ago.
Minnesota is among the top ten states in the US in the rate of growth of exports to India. Between 2000 and 2005 exports grew over 200 percent.
For more information relating to the Asian Indian community please contact Dr. Bruce Corrie, Professor of Economics at ConcordiaUniversity at 651 641 8226 or corrie@csp.edu.
For more information on the Governor Pawlenty’s Trade Mission please contact the individuals below:
Contact Tony Lorusso, Executive Director, Minnesota Trade Office
Bruce P. Corrie, PhD
A recent study evaluates the the impact of Proposition 209, the California Civil Rights Initiative, in 1996 which ended programs to provide greater access and use of minority firms in public projects.
In 2006, the Discrimination Research Center (DRC) issued a report on the impact of Proposition 209, the California Civil Rights Initiative that ended race-conscious goals and affirmative action programs on minority businesses.
Major findings of the report were:
Only a third of the certified MBEs in California’s transportation construction industry are in business now.
Existing MBEs reported a greater than 50 percent reduction of total awards and contracts from Caltrans.
MBEs reported that the aspects of the federal race conscious efforts such good faith efforts by prime contractors and pre-bidding conferences were less helpful after 1996.
Among the surviving firms, African American and minority female owned firms were the most negatively impacted.
The surviving MBEs could not have initially succeeded or maintained their success without the incentives that helped provided them equal access to bids.
http://drcenter.org/studies/free_to_compete_06.pdf
......visit www.ethnictrends.info for data on the ethnic markets....
Abraham Lincoln had an answer to the great American immigration question: Who is the true immigrant? Do people coming from Asia, Latin America and Africa have the same qualities as the Founding Fathers?
In a speech on July 10, 1858, Lincoln talked about the Founding Fathers:
“We find a race of men living in that day whom we claim as our fathers and grandfathers; they were iron men, they fought for the principle that they were contending for; and we understood that by what they then did it has followed that the degree of prosperity that we now enjoy has come to us.”
He goes on to pose the question whether the newer immigrants from Europe were connected to the Founding Fathers. He said if we were to look for a connection by blood we would not find a connection.
However - here is where they will find the connection:
"..but when they look through that old Declaration of Independence they find that those old men say that 'We hold these truths to be self-evident, that all men are created equal,' and then they feel that that moralsentiment taught in that day evidences their relation to those men, that it is the father of all moralprinciple in them, and that they have a right to claim it as through they were blood of the blood, and flesh of the men who wrote that Declaration, (loud and long continued applause) and so they are.
That is the electric cord in that Declaration that links the hearts of patriotic and liberty-loving men together, that will link those patriotic hearts as long as the love of freedom exists in the minds of men throughout the world. [Applause.]
President Abraham Lincoln, speech on July 10, 1858.
So new immigrants to America if anyone doubts your authenticity and links to the Founding Fathers - let them raise the issue with President Abraham Lincoln when they see him next. You could also give them a copy of the Declaration . Note Lincoln's only criteria was the moral sentiment that is contained in the Declaration.....
An article in the Wall Street Journal by Peggy Noonan pointed out this speech of Lincoln which I found and excerpted above. See Below for the larger excerpt of the speech as well as an excerpt of the Declaration.
We are now a mighty nation, we are thirty — or about thirty millions of people, and we own and inhabit about one-fifteenth part of the dry land of the whole earth. We run our memory back over the pages of history for about eighty-two years and we discover that we were then a very small people in point of numbers, vastly inferior to what we are now, with a vastly less extent of country, — with vastly less of everything we deem desirable among men, — we look upon the change as exceedingly advantageous to us and to our prosperity, and we fix upon something that happened away back, as in some way or other being connected with this rise of prosperity. We find a race of men living in that day whom we claim as our fathers and grandfathers; they were iron men, they fought for the principle that they were contending for; and we understood that by what they then did it has followed that the degree of prosperity that we now enjoy has come to us. We hold this annual celebration to remind ourselves of all the good done in this process of time of how it was done and who did it, and how we are historically connected with it; and we go from these meetings in better humor with ourselves — we feel more attached the one to the other, and more firmly bound to the country we inhabit. In every way we are better than men in the age and race, and country in which we live for these celebrations. But after we have done all this we have not yet reached the whole. There is something else connected with it. We have besides these men-descended by blood from our ancestors — among us perhaps half our people who are not descendants at all of these men, they are men who have come from Europe — German, Irish, French and Scandinavian — men that have come from Europe themselves, or whose ancestors have come hither and settled here, finding themselves our equals in all things. If they look back through this history to trace their connection with those days by blood, they find they have none, they cannot carry themselves back into that glorious epoch and make themselves feel that they are part of us, but when they look through that old Declaration of Independence they find that those old men say that 'We hold these truths to be self-evident, that all men are created equal,' and then they feel that that moral sentiment taught in that day evidences their relation to those men, that it is the father of all moral principle in them, and that they have a right to claim it as through they were blood of the blood, and flesh of the men who wrote that Declaration, (loud and long continued applause) and so they are. That is the electric cord in that Declaration that links the hearts of patriotic and liberty-loving men together, that will link those patriotic hearts as long as the love of freedom exists in the minds of men throughout the world. [Applause.]
http://www.mrlincolnandfreedom.org/inside.asp?ID=19&subjectID=2
Excerpts of the Declaration of Independence as found in www.archives.gov
The Declaration of Independence: A Transcription
IN CONGRESS, July 4, 1776.
The unanimous Declaration of the thirteen united States of America,
When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the Laws of Nature and of Nature's God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation.
We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.--That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, --That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness. Prudence, indeed, will dictate that Governments long established should not be changed for light and transient causes; and accordingly all experience hath shewn, that mankind are more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed. But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security.--Such has been the patient sufferance of these Colonies; and such is now the necessity which constrains them to alter their former Systems of Government. The history of the present King of Great Britain is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States. To prove this, let Facts be submitted to a candid world.
