Donald Trump recently sent a memo to The Washington Post outlining how he plans to compel the Mexican government to pay for the border wall between the United States and Mexico. In part, Trump plans to use the possibility of blocking the flow of funds, also known as remittances, sent from individuals to Mexico as leverage to pressure the Mexican government to pay for the border wall. I suspect that many Mexican migrants that illegally reside in America support their families this way. According to the memo, Trump estimates that $24 billion in remittances are sent to Mexico from Mexican nationals working in the United States every year. Trump’s memo claims the majority comes from unauthorized workers. Let’s assume that it is accurate.
Trump’s proposal raises several questions. While it is certainly possible to prevent electronic transfers through banks, credit unions, and wire transmissions, what will stop individuals from moving cash to Mexico? The average amount of money sent to Mexico per transaction is $300.60 according to the Central Bank of Mexico. Anyone could easily mail this amount inside a standard envelope. The U.S. Postal Service would have to search every package addressed to Mexico.
Perhaps the most obvious problem with Trump’s plan is that it conflicts with his earlier proposal to deport 11 million undocumented immigrants. Trump cannot have it both ways, especially not in that order. He cannot threaten to prevent unauthorized Mexican immigrants in the U.S. from sending money home to Mexico after deporting all of them.
Ironically, immigrants who are in the United States illegally would have to stay for Trump’s plan to work. Interestingly, permanent citizenship for undocumented immigrants could increase tax revenues by $2.2 billion a year according to the Institute on Taxation and Economic Policy, a non-profit, non-partisan think tank. Trump routinely talks about his ability to make shrewd business deals. His plan to make the Mexican government pay for a border wall does not appear to be a display of that talent.
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