Does Mexican Trade Matter? / by kevin murray

The United States is bound by two big countries, Mexico and Canada.  Even though Canada's square footage is approximately the same as the United States, its' population pales in comparison though, with Canada's total population of approximately 34 million peoples, is less than California at 37 million.  While Mexico is the 14th largest country in the world, it is far smaller than the United States in both land size and population.  Mexico has about 110 million residents as compared to the United States which has over 313 million residents.


The most meaningful difference between these three countries though is per capita income.  Whereas Canada's per capita income is slightly ahead of the United States, Mexico trails far behind both countries at a mere $10,059 per capita, as compared to the United States per capita income of $51,704.  It is this huge income disparity between our countries and also the fact that within Mexico there is a massive underclass that barely makes enough to live on that creates the desire for the better opportunities that the USA provides.


I do believe that it is fair to say that most Mexicans would prefer to remain within Mexico if they could find the opportunity to make adequate and consistent wages to support themselves and their families.    Mexico currently has a minimum day wage in which in the highest paid out of the three zones, that minimum is about 65 pesos a day which equates to a mere $5 per day.   These low wages and Mexico's proximity to the United States, makes Mexico the ideal place for American companies to utilize for manufacturing.


America should make it part of their national policy to trade with and to work in conjunction with Mexico as much as possible.  A stronger Mexico makes for a stronger America and with America being the largest nation by far in gross national product, we have an obligation to see that our closest neighbor is able to benefit from our size, our power, our money, and our example.


For instance, Mexico should be our #1 import choice for items that because of their size or other reasons are expensive and time-consuming to transport.  Mexico offers the advantages of proximity, cost, and time savings.  Additionally, while working with Mexico to produce finished-goods, because of our respective locations, Mexico will be more likely to use USA items in the creation of the finished products because of our proximity to Mexico which helps our overall trade imbalance.


The United States trades all throughout the world but it is Mexico that the United States should take a special interest in.  It is right next door to us with easily accessible roadways into America, a willing labor force that can be trained and utilized, a population that is underemployed, and desirous of employment.  If Americans are so concerned about keeping Mexicans out of the United States, we need only take the steps to give them opportunities within their own country that will mutually benefit both nations.