> intentionally barring foreign talent to artificially inflate wages for domestic workers undermines U.S. competitiveness

Sure, but the Americans here don't really care about American competitiveness - they care about their inflated wages! The biggest thing they fear is that American wages will become more in line with the rest of the world.

And to be fair, the American tech industry is still doing pretty well in spite of the enormous wages. Probably because America is such a friendly environment for startups.