policy considers lowering the costs of trade between the U.S. and Mexico, which should, in turn, increase wages in Mexico. We simulate a 25 percent reduction in trade costs between Mexico and the U.S. We estimate that migration flows between Mexico and the United States would fall by more than that caused by the Secure Fence Act. Unlike the Secure Fence Act, however, reducing trade costs substantially benefits U.S. workers –raising college educated U.S. workers’ welfare by an equivalent of $80.59 in annual income and less educated U.S. workers’ welfare by an equivalent of $58.67 in annual income.