Migrant Workers & Produce Prices
If the cost of farm labor rose by 40% due to illegal immigrants being deported, how much more would the average U.S. family pay per year for fresh fruits and vegetables?
Correct Answer
A 2017 study by the Giannini Foundation of Agricultural Economics at the University of California found that if the cost of farm labor rose by 40% due to less migrant labor, the average U.S. family would pay an extra $21 per year for fresh fruits and vegetables. Adjusting for food inflation since then, this is $27. Per the study, “There is little relationship between farm wages and consumer prices for fresh fruits and vegetables for three major reasons. First, Americans do not spend much on fresh fruits and vegetables, an average of $530 a year per household in 2015. Second, farmers receive only a third of what consumers pay for produce, about $165 per household per year. Third, farm labor costs are usually less than a third of farmer revenue, about $55 per household per year.” Such deportations would also raise the wages of low-income American farm workers by 40% and level the playing field for law-abiding farmers who refuse to hire illegal immigrants.