Mexico had previously just received $27 billion in remittance, which is the most its ever gotten. Remittance is the money sent from people in the U.S. to Mexico and it is the biggest source of foreign revenue for Mexico. However, President Trump has recently been threatening to tax remittances in order to pay for the wall. If he goes through with this, it will make it very hard for other Mexicans in the U.S. to send money back home to their families. Though nothing has been confirmed or denied about the tax being taken into action, it has been hinted quite a few times by Trump.
I definitely do not think this tax is necessary in any sort of way. All it will seem to do is increase the poverty level in Mexico. This will practically be like taking two steps backward, since Mexico's poverty level has just decreased. Trump knows (or hopefully does know) how important the remittances are to the welfare of the people of Mexico. And I think this tax might be for more than just a wall. But I'm curious to see how this will be handled. And I hope it will play out in favor of the people.
Source: http://money.cnn.com/2017/03/20/news/economy/mexico-remittances-trump/index.html
It's especially scary because this threatens the lives of many people in Mexico, and if Trump knows this, he really just does not care for anyone else.
ReplyDelete--Anna Czyzewski
Wow, I wasn't aware so much money was being sent back to Mexico. Hopefully more jobs will be created in Mexico in the future to help them as well.
ReplyDelete