Economic Scene: Making Mexico Pay for Border Wall: Ideas Abound, and So Do Obstacles


Mr. Trump, of course, has also talked about taking the United States out of the global trade accord. But that might seem a bit too drastic just to get Mexico to pay perhaps $20 billion for a wall. It is likely to impose enormous costs on the American and world economies, opening the door for a free-for-all trade war. But if the president did it anyway, the people paying the 20 percent tariff would not be Mexicans, but American consumers. That 2017 Ford Fusion built in Hermosillo, Mexico? It would no longer cost $22,610. It would cost $27,132.

Blocking Money Transfers

So what about the other ideas? The big one Mr. Trump mentioned early on is remittances. Mexico receives about $25 billion a year from Mexicans living abroad, mostly in the United States, in myriad transfers of a few hundred dollars apiece channeled primarily through services…


Read the full article from the Source…

Leave a Reply

Your email address will not be published. Required fields are marked *