Economy
Economically, Mexico is emerging from a ‘rock bottom’ situation. After the signing of the North American Free-Trade Agreement (NAFTA) 1993, nearly 10 million farmers were left bankrupt (The Economist). This because cheap food stuff was imported into Mexico from other neighboring countries making farmers in northern Mexico unable to continues with farming.
Experts further assert that the economy worsened during the financial crisis suffered the United States, the biggest trading partner of Mexico. Recession in United State’s economy reduced exports from Mexico by about 25%. This decline in exports pushed the economy of the country into deep recession. Mexicans also seem not to be sure about their own economy. In a recent opinion, the citizens do not envisage an improved economic state in the near future. The situation is made worse by currency wars currently taking root in world trade today. The peso is a rapidly appreciating against the dollar. This puts Mexican products at a poor competitive state against other imports from countries such as Canada and China.
Conversely, a major economic project called the “Interpuerto” is underway in the North of Mexico. The project is meant to be a customs clearance center for goods going into the US market . The new clearing center utilizes an interjection of two rail lines and motorways. This will avert the time wasted in long queues at the border. Such a project is critical for the recovery of the country’s economy as it greatly relies on exports to its giant northern neighbor. However, exports to the north may not be an appropriate solution as China’s imports into the United States has swamped all kinds of markets of finished goods.
Works Cited
The Economist. Bringing NAFTA back home. 28 Oct 2010. Accessed 28 Nov 2011 <http://www.economist.com/node/17361528>.
Politics
Recently the entire 44,000 unionized staff of the country’s electrical sector was fired by the President Mr. Calderon. This is just but one of the many repressive acts that Mexico’s political class has subjected its people to. Such an act has created political tension that does not support the growth and development of the state. Poor remuneration of workers in government agencies and criminalization of industrial action has aided in making most of the youth demoralized in their own country ending up in drug gangs.
Experts argue Mexico’s political decay began in the stolen election of 1988. In this election the incumbent president Carlos Salinas did not honor the rules of democracy and perpetrated a series of massive electoral rigging. Afterwards, the unpopular presidents proceed to sign a trade deal that does not go well and renders tens of millions of Mexicans poor. The situation kept deteriorating such that by the end of the millennium, economic inequalities was so wide with the poverty gap at its highest in the country’s history.
In order to reverse the trend that was socially undermining the people, two powerful political movements emerged. One of these political fronts brought together a coalition of people-led movements that produced one candidate who would face off with president Calderon in the 2006 election. The candidate Andres Manuel Lopez Obrador was seen as a more liberal candidate who’d take on the powerful class of Mexican politics.
The second emergence from the political oppression was the trade unions and the civil society movements. These groups looked to protect the public social security system that was undermining the citizenry. All these efforts again seemed to be in vain as the President Calderon was accused of massive voter rigging and clinched the presidency.
Works Cited
Petras, James. Political Repression and the Rise of Mexico's Narco-State. July 30, 2010, accessed November 29, 2011
<http://globalresearch.ca/index.php?context=va&aid=20361>
Security
When president Salinas signed the North American Free-Trade Agreement (NAFTA) 1993, nearly 10 million farmers were left bankrupt, especially those in the north of the country. Poverty in this part of the country created a huge economic vacuum. It was at this time that drug lords took hold of the northern states in Mexico. The situation has since degenerated to near total failure gaining the description of Narco-state.
Mexico has suffered one of the longest civil wars caused by drug cartels that seem to blackmail those in leadership. The President has often reiterated his governments’ commitment to fighting drug lords. However, every year, the death toll from drug related violence has hit new records. Chihuahua State bordering Texas is one of the most famous hot spots in this security decay. In the year 2010, its city recorded nearly 3000 deaths from drug related violence making it as dangerous as places such as Mogadishu and Baghdad. Kidnappings are also reported throughout the country to supplement declined sales since the United States Government tightened its border with Mexico.
Recently on November 11, 2011, a helicopter carrying the interior minister, Mr. Francisco Blake Mora crashed outside Mexico City . The minister recently appointed in July was leading Mexico’s fight against gang wars and organized crime. Though the real cause of the crash is not known it is quite coincidental for leading government officials fighting the drug war to be frequently involved in fatal accidents. Such lack of a stable secure environment is doing great damage to Mexico’s economy.
Works cited
The Economist. Shifting sands: The drug war’s fifth year throws up new trends, for better and worse. 26 Nov, 2011. Accessed 29 Nov 2011
<http://www.economist.com/node/21540289>
Health Care System
On a brighter note, Mexico’s economy has made marvelous improvements over the last few years. About six year, nearly half the country did not have medical insurance cover and as a consequence the Congress took bold steps to pass the Health Care for all Mexicans Bill. Before the scheme, Mexicans were charged a fee to receive basic medical care and would be required to buy drugs from privately run pharmacies. The bill envisaged that by September 2011, nearly 51 million citizens would be covered under the new government medical scheme.
In this new plan, the government intended to cure leukemia in children, provide drug for HIV patients, and cataract operation for the elderly including extensive treatment of breast cancer for women. The program has reported some success. As of early 2011, several hospitals under the medical insurance scheme provided care for women free of charge. New facilities and hospital at municipality level had been constructed to provide free medical care.
While experts might argue that the government is not doing enough to provide the universal health care it promised, it also arguable that with such a constrained budget of just $ 12 billion, it is very difficult to cover nearly 120 million citizens. Regional hospital are doing all they can to provide health care for it citizens. Pregnant women are provided with free and there are no charges for delivery in public hospitals. Nearly 80% registered HIV patients receive drugs from government hospitals for free. This is remarkable improvement in the country’s health care system. However, with better monetary commitment, the health care system has more room for improvement.
Works Cited
Malkin, Elisabeth. Mexico’s Universal Health Care Is Work in Progress. 29 Jan 2011. 29 Nov 2011 <http://www.nytimes.com/2011/01/30/world/americas/30mexico.html?_r=1&pagewanted=all>.
