Mexican Immigration and Trade

1
Mexican Immigration and Trade

• By Grisel Barragan

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Proposal

• Will try to propose a solution to two current
  issues the US has with Mexico,
• Trade- Agricultural subsidies
• Immigration

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Main Topics

• How agricultural subsidies are causing an
  increase of Mexican immigration in the US
• Farm subsidies benefit rich farmers in the US
  sometimes significantly more than the poor
  farmers.
• Will talk about the affects of NAFTA and how, for
  example, the price of corn has fallen more than
  70 percent since NAFTA took effect, reducing
  incomes of about 15 million Mexicans that depend
  on corn to survive.
• Latin America loses 8.3 billion each year
  because of these subsidies
• In my solution Will try to reduce, if not
  eliminate the negative affect the subsidies have
  on Mexican farmers
• -Stabilizing price and offsetting the negative
  consequences of rapidly falling prices, while
  working with supply management of goods.

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Some Benefits of Immigration for the US
-

• Mexican labor force is 8 of the nations
  workforce from 10 now living in the United
  States
• Mexican workers are filling needed jobs in new
  geographic areas
• Sales and receipts for Mexican owned firms
  totaled 96.7 billion in 2002
• 700,000 businesses owned by people of Mexican
  origin

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Some Benefits of Immigration for Mexico

• 50 of Mexicos population of 103 million live
  below the poverty line (they survive on less than
  2/day)
• Minimum wage in Mexico is under 4/day vs
  5.15/hr in US. Coming to the US means a lot more
  money.
• The money these immigrants earned added up to 20
  billion being sent back home to their families in
  2005.

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Where to make money to improve Mexicos economy

• Oil Reserves
• It has less than 10 years worth of oil reserves
  at current production levels.
• As of January, 2006, Mexicos proven reserves are
  at only 12.9 gigabarrels (compared to about 20
  gigabarrels for the US oil reserves)
• The new budget, since Mexico has little debt
• Mexico's net domestic debt rose 11 percent to
  92.3 billion net foreign debt rose 2.3 percent
  to 78.9 billion
• Mexico's foreign debt equals 11.1 percent of the
  country's gross domestic product, its lowest in
  32 years.
• Mexican owned businesses
• Retirement homes in Mexico
• 1 million American retirees live in Mexico
• Taxes on a 150,000 house by Lake Chapala run
  about 60 a year, and the same house would cost
  at least 300,000 in Washington.

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How to improve immigrants lives within the US

• Low-cost Housing developments for largely
  Hispanic populated cities with legislative
  control to make it easier to create these
  organizations.
• Better loans or opportunities for starting a
  business
• Better education opportunities
• Adjust requirements to achieve green cards,
  citizenship, and temporary visas
• Publicize processes for obtaining documents
• Decrease the price
• Remove fear when filing for documents by removing
  the possibility of being deported if rejected

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References

• http//en.wikipedia.org/wiki/Oil_reservesMexico
• http//www.bloomberg.com/apps/news?pid10000086si
  da8hsDFKcqejQreferlatin_america
• http//www.sfgate.com/cgi-bin/article.cgi?f/c/a/2
  006/10/15/ING93LLOUG1.DTL
• http//www.newsmax.com/archives/articles/2001/2/5/
  162004.shtml