The Misleading Notion of Arizona SB 1070

By Karl Reiner 

In previous years, as controls along the U.S.-Mexico border were continually tightened on the east and west sides of Arizona, the state paid scant attention to the changing conditions along the border.  Perhaps it was assumed that the drug transporters, human traffickers and economic refugees would ignore the logistical possibilities the state offered as an alternative crossing point. Unfortunately for Arizona, they did not.  The improved border security on opposite sides of the state funneled the lucrative illegal border crossing traffic into Arizona.

Although border security and immigration control are federal responsibilities, the state legislature has decided to act, even if the action has damaging consequences.  Arizona, which is teetering on the brink of insolvency, now has a tough new law making local police agencies responsible for enforcing federal immigration laws.  How the police with their frozen or shrinking budgets will handle the additional work is yet to be resolved.

In passing SB 1070, the legislature demonstrated to the fretful voters that the state was capable of doing something about the illegal immigration problem.  When the governor put her signature to the bill on April 23, the state bounded into the national headlines.  The bill was such a shock to the rest of the country that it is rekindling the national immigration debate.  Seeing a golden opportunity, comedians jumped on the subject.  Arizona may be on the way to becoming the laughing stock of the Union.

Other more serious reactions were quick in coming, including numerous calls to boycott the state and a flurry of law suits.  Mexico, the state’s largest foreign trading partner, promptly issued a warning to its citizens to avoid traveling to Arizona. Between 38 and 60 percent of the sales tax revenue coming into the coffers of southern Arizona municipalities comes from the purchases made by Mexican nationals.  These revenues will take a big hit if the Mexican shoppers decide to stay home or take their business to New Mexico, Texas or California.

Arizona’s exports to Mexico amount to approximately $4.5 billion per year.  If Mexican business buyers start looking for alternate suppliers outside of Arizona, the state’s unemployment rate is not going to be helped one bit.  Ironically, the legislature’s action may shift Mexican business to states with tighter federal border controls, but with local lawmakers smart enough to know when to leave matters alone.

The U.S. Border Patrol is apprehending over 540,000 illegal border crossers in the Tucson Sector per year.  Approximately 95% are from Mexico, most of the remaining 5% come from Central and South America.  It is obvious that the problem of illegal entry on the southern border is primarily a Mexican and Central American one.

The United States shares a nearly 2,000 mile border with Mexico. It is the only developed country in the world sharing a long border with a developing country that has lower living standards.  Given the insipid economic performance of Mexico and its Central American neighbors over the last 30 years, large numbers of people want to move to where there is opportunity.  Some research estimates show that over 20 million Mexican citizens would be willing to head north if given the opportunity.

Improved border security can provide temporary relief. The French had their Maginot Line; the Communists had the Berlin Wall. After a time, defensive wall schemes tend fail, so we should not put all our hopes in sealing the border.  Mexico and its neighbors are going to have to be jolted into improving their economic performance.  Growing the economy is the only solution that will bring rising living standards over the long-term. As economies grow, living standards rise, the need to migrate diminishes and the volume of trade increases. Expansion in the Mexican and Central American economies would bring benefits to Arizona’s businesses.

The Arizona Legislature should consider the matter. Since the state is determined to enter the dominion of federal policing, it should also get involved in pushing economic reform.  The federal government has ignored problems for far too long in Mexico and Central America.  By doing so, it has helped foster the current flow of illegal border crossers seeking work in the U.S.