US Dollars Affects Overseas

As articles and news channels continue to publicize America's economic woes, there has been little coverage on the direct effects that our economy has had on foreign neighbors. Sure, everyone knows how the Canadian dollar is now stronger than the American. But few have stopped and realized how bad things have gotten for nations that depend on the US economy. Trade deficits and foreign investments all are good examples of how to study the affect our slow economy has had on other countries, but they do not give a true portrayal of the situation. The most important exporting of US dollars to Latin America and the Caribbean is in the wires being sent back "home" to friends and family by migrant workers here in the states.

It is no secret that a common motivation for many migrant workers is the desire to work in the US and then garner enough money to let them live a "good" life back in their home country. Additionally, many people already living in the US send a portion of their earnings back to their native land, where their family may still be living. This money wiring is similar to charity, yet in many instances the money being sent across borders is the sole means of survival for some people. Even though it is estimated that money sent only adds up no more than 3% of most Latin American countries' GDP (Gross Domestic Product), the money still goes a long way in helping human lives.

But this narrative has changed, since many of the first world nations in the world today are suffering their own economic difficulties. Rising oil prices and worldwide property slumps have led to a stall in the colossus (colossal?) global economy. The drop off in housing and building constructions are the primary cause for the dip in funds being sent to the Americas. Since the majority of migrant workers have found jobs in the construction business, their own wages have been hurt by the lack of business. Due to this, many migrant workers are unable to send back as much money as they could in past, more profitable years. Dealing with a slumping US economy, Mexican migrant workers alone have already dipped in over 100 million dollars in remittances (term referring to money sent overseas back to family in another country). Many economists predict that the amount of money sent back home will only deplete in greater proportions as prices in the US increase.

This problem has hurt Latino migrant workers all across the first world. Spain, the world's second largest contributor of remittances to Latin America, has fallen to a poor construction market and has forced many migrant workers to deduct their money sent back home. As this problem continues to hurt migrant workers and their families across the ocean, a new dilemma has arisen in the migrant worker's plight. In both the US and the EU there has been a rising call to "protect" their nation and regulate the amount of immigrants working abroad. With legislation constantly debated, migrant workers have become under fire by politicians in both America and Europe.

The negative portrayal of the migrant worker has been counter-balanced with a more respectful view of these people and the work they do for "us." Films like Serigo Arau's A Day Without a Mexican and Patricia Riggen's Under the Same Moon have brought more humanity to the migrant worker. More work is needed in order to better display how horrid things have gotten back in the homelands of all these migrant workers. There are abandoned ghost towns all across the valleys of Mexico and the highlands in the Andes. All across Latin America people are not struggling with paying for gas, but rather withering away in near-ancient worlds. Some economists and politicians blame NAFTA and other similar trade agreements for forcing underdeveloped Latin American countries into competing with the juggernauts of the world ( US and Europe). Others blame corruption and the ever growing gap between the elite minority and impoverished majority of most Latin nations. Overall, though, it is a problem that needs to be resolved.

Powerful nations need to feel some sort of responsibility because in the end we all are one global community. Some initiative has been taken by the governments of these struggling countries. Programs have been set up throughout Latin America where the amount of money sent to its inhabitants is then matched through both municipal and federal funds. These funds go towards city infrastructure and public education. Now that these foreign governments have begun their own restitution from poor economic times, it is imperative that migrant workers are allowed to continue their vital part in this restoration of their homeland. Simply put, all these migrant workers want to do is work hard in better paying countries and then send their own money back home, where it can truly cause dramatic change. The poor economy has hurt everyone, migrant or citizen. Despite our country's recent personal burdens, the US economy affects more than just the American people.

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