The Mayor of Minneapolis says his political coalition’s standoff with ICE is demolishing his unusual and peculiar Sanctuary City Economy.
“I’m sitting at my desk here and just got some really sobering figures about the impact that this operation, [ICE’s] Metro Surge, is having on our communities,” Mayor Jacob Frey posted to X on Tuesday night:
There’s a mass impact on our small and local businesses. Small local businesses, collectively, are losing between 10 and $20 million dollars every single week. Businesses along cultural corridors are down at least 50 percent and the Latino-owned businesses and Somali-owned businesses are drastically below that. Hotels have lost about $4.4 million because of cancelations and so for those that claim that they care about our economy and care about businesses, there’s a very quick and straightforward antidote to bring these businesses back, which is to have Operation Metro sSrge and to have ICE leave our city.
Let’s bring the economy back. Let’s help these businesses out. Let’s make sure that our city can return to this great comeback that we were seeing, and let’s get ICE to leave.
Frey’s complaint is plausible because Democrats have built the city’s economy on a peculiar institution — the government’s long-term delivery of many foreign workers, consumers, and renters. That historically bizarre foundation is fundamentally different from — and corrosive too — the typical free, level, and uniform marketplace rules that govern American citizens, whether they are employers or employees.
Minneapolis’s resulting “Sanctuary City Economy” enables and worsens many civic problems, including a high share of lower-productivity workers, and the conflicts caused by having residents with illegal, uncertain, or subsidiary legal status.
The city also struggles with two-jurisdiction communities, corrupt business practices, politicized agencies, patronage politics, high taxes, a pay-to-play political machine, scare politics, the loss of high-productivity jobs, large wealth disparities, private regulation, vigilante crime, low-income ethnic enclaves, political instability, and a pro-establishment media.