|Back to Index|
U.S. - Mexican Border: Trade
Tim Brown revises Jaqui White's border zone to include the whole trading area on both sides of the border. He says:
Based on that definition, my estimate is 22 million, not 15 million. In 1996, estimated purchases within the US part of that region by Mexican border shoppers were from $22 to 24 billion/billion, and sustained about 1 million US jobs. Which leads to point TWO: In twelve month in ending in mid-1998, according to US Government figures, there were 198 million/million legal crossings from Mexico into the US, and most were shopping trips. These shoppers paid an average of 7.5% sales tax on their purchases, which means that to coffers of US cities, counties and states received a tax windfall of about $2 billion/billion in taxes from people to whom they provide almost no services. It is important to control illegal immigration, and to reduce if possible the estimated $250 million a year US local governments spend on them. But we should not do so in a way that could kill this golden goose. After all, an 800% per year profit isn't bad!
My comment: Yes.That would cook the region's goose. (Can someone please tell me the origin of that expression?). But Tim says nothing about the businesses on the other side of the border. How much do Americans spend there? A few months ago, Mexican gas station owners were angry because Mexicans were going to Texas to fill her up.
Ronald Hilton - 09/23/99