Introduction
I have chosen to write about the economic, social, and political evolution of Mexico in the post-World War II period. Mexico covers almost two million square kilometers and is the 14th largest country in the world. It is the 11th most populated country with 109 million people. Mexico is the 12th largest economy in the world in GDP with a strong association with its’ North American Free Trade Agreement partners. Mexico is one of the countries that is making impressive advances but is still facing many problems economically, socially, and politically.
Economics of Mexico
Being within 300 years of the Spanish colony, Mexico was a cheap source of raw material and a commodity market of the goods for Spain. Such policy has enriched a very small number of the Mexican elite consisted of Spaniards and creoles (Mexicans of Spanish origin) but interfered with economic development. The economy was based basically on the cultivation of corn, bean, the Chilean red pepper, and the cultivation of large horned livestock for internal consumption, on the extraction of silver and other minerals raw material, and also the cultivation of tobacco on export. It is a strong degree depend on the use of work of the local population consisted in basic from the Indians (after metises). Wars for independence (1810-1821) and the instability which has followed them have ruined the country and have braked the investment process. In the end, 19-century Dictator Porfirio Dias (rules in 1876-1910) used the prodigal financial stimulus to involve foreign investors who haв started the development of oil fields of Mexico and had constructed railways, highway, port constructions, cable lines, and systems of electric mains. It has caused rough economic development and growth of the middle class which was indignant with granting to foreigners of more favorable conditions. As the volume of manufacture of coffee, a clap, a sugar cane, and the Mexican hemp increased due to the reduction of natural agriculture, the majority of peasants have suffered, as the grounds belonged to their community, had been borrowed by private landowners, and they have been compelled to work on plantations which specialized on the cultivation of export cultures, or altogether to leave the ground (Lustig Nora,1998).
The new government has undertaken active actions on the “mexicanization” of the economy. In the 1930th president, Lasaro Cardenas has nationalized railways of the country, expropriated 17 foreign companies which supervised a petroleum industry, and has carried out large land reform. During the Second World War, the government has started the creation of the domestic industry for the replacement of import (ICI) – this concept has widely extended on all western hemispheres as a result of the Great Depression. This strategy was under the construction of the creation of protectionist barriers to the encouragement of “arising domestic industries” which could make the goods that earlier were bought abroad. Tax privileges, loans concerned to other stimuli of development of business with low interests, the cheap electric power, obedient trade-union movement and construction of an extensive network highway and railways, the airports and constructions of communication. Such policy of the government has caused an “economic miracle” which was shown in high rates of economic growth. The situation in the economy of Mexico at the beginning of 1970th began to improve owing to the opening of “Petroleum Mexicanos” (“Pemex”), the state oil company. The emergency loans given by the USA and the international financial organizations, accompanied by the sharp depreciation of the peso and a policy of strict economy, have rescued the country from bankruptcy.
Having convinced, that carrying out of policy of encouragement of domestic production with the purpose of replacement of import will constrain the development of the country, president Miguel de la Urtado (1982-1988) has started the reform directed on elimination of protectionist barriers. The foreign loans aspired to receive Madrid, to involve modern technologies, to encourage the oil export and to struggle with inflation, and also promoted membership of Mexico in GATT. In 1988 the conclusion of the agreement on free trade between the USA and Canada evoked a similar agreement for Mexico. The negotiations continued more of year, have led to the creation of the North-American agreement on free trade (NAFTA) which have been approved by the Congress of the USA in November 1993 and has allowed to distribute conditions of free trade not only on industrial but also and to the agricultural goods; household, transport, bank and investment services; And such kinds of intellectual property, as copyrights, trademarks, and the software for computers(Lustig Nora,1998).
Still, before the new president has started the execution of the promises, he has collided with a situation of economic recession. The trading deficiency, a huge external duty, and an increase in monetary weight have led to the depreciation of the peso. At the end of December 1994, there were promulgated the plans on the restriction of growth of salaries, reduction of the State expenditure, and expansion of participation of the private capital in the economy of Mexico. President Clinton has developed a program of output from the crisis at the beginning of 1995; nevertheless, a gross national product within this year was promptly reduced to 6,2 % on a background of a rise in prices on 52 %. A tough policy of the Mexican President has improved the condition of the economy, in the end, 1996, having put in pawn a basis for its growth in 1997 (a gain of 4,8 %) and 1998 (4,5 %). The period of improvement of the Mexican economy proceeded not for long, and soon the prices for oil have started to fall.
The total internal product (gross national product) of Mexico in 1997 – the general release of commodity output and the rendered services – has made 402,5 billion dollars or 4184 dollars per capita. In 1997 industry the sphere of services and trade – 65,3 %, a rural and fish facilities – 6,1 % has made 28,3 % of gross national product. The gain of the volume of manufacture of the Mexican economy annually made in 1995 – 6,2%, in 1996 – 5,1 %, 1997 – 7 %, in 1998 – 5,3 % (Cabeza De Baca Gilbert, 1982).
In 1997 in agriculture 22 % working people have been employed in agriculture, it gave 6,1 % of gross national product whereas in 1950 in it 58 % working have been employed, and it has given 22,5 % of gross national product. The greatest part of the manufacture is concentrated in private commodity farms, the grounds processable on traditional Mexican system of landed property according to which the ground is the collective property of a country community.
Wheat, rice, barley, maize are the major agricultural crops. Fruit and vegetables, especially tomatoes belong to other important export cultures, oranges, mango, and bananas. Coffee in 1990 has given 1,4 % of export receipts. Cultivation of large horned livestock in Mexico is concentrated in the northern-central region which exports the big number of goals of horned livestock to the USA. The output of animal industries corresponds to the internal needs of the country for beef, pork, fresh milk, a bird, and eggs, but dry milk is imported.
Social Problems
In 1998 in Mexico almost 38 million people were in able-bodied age, from them almost 5 % did not work and 35 more % worked the incomplete working day. The problem of the device for work stimulates huge population shift in city Mexico City, capitals of staffs and in the USA. By estimations, the number of people which in 1990th years migrated in searches of work has made 14 million people. In Mexico practically there are no foreign workers, except for state Chiapas wherein agriculture seasonal workers from Guatemala work. In the 1970 and 1980th years refugees from the countries of Central America where there were civil wars, searched for a permanent jobs in Chiapas and other areas of Mexico. At the end of 1990th years app. 22 % of the able-bodied population of Mexico were employed in agriculture, 19 % – in the industry, 13 % – in trade, 7 % – in construction, and the others – in the sphere of services.
From the times of revolution in 1910 and especially since 1930th the government carried out a policy of “mexicanization” to the modernize economy according to national interests. Some larger lands that belonged to foreigners have been divided into parts and distributed among landless peasants, hundreds of industrial enterprises have been nationalized also. To carry out the policy “mexicanization” the government has accepted a number of laws and adjusting certificates that have defined the type of property admissible in various industries. State ownership became manufacture of the electric power, operation of railways, radio communications and cable communication, and also the oil and petrochemical industry. Broadcasting, motor transport, and the wood industry should belong to Mexicans completely.
By 1980 years the government-owned or supervised 2/3 of national manufactures; possessed powers depending on a situation to cancel or strengthen restrictions on the foreign capital; skillfully used various financial stimuli or barriers, import licenses, protectionist tariffs, and the control over the prices for articles of prime necessity (the basic foodstuff, gasoline, telecommunication, water, the electric power).
Politics of Mexico
Mexico is a federal republic. The operating constitution is accepted on February, 5th, 1917. The head of the state and the government is the president who has selected the population by direct ballot for 6 years, without the right of re-election to the following term. The president appoints the maximum civil servants, governors of staff, and Federal district solves all the important questions of internal and foreign policy and is the commander-in-chief armed forces. The president starts discharge of duties on December, 1st in a year of its election. It concludes international contracts and makes the major state decisions. The supreme body of legislature is the parliament. It refers to as the National Congress and consists of two chambers: the senate selected by the population for 6 years (two senators from each staff and Federal district) and the Chamber of Deputies elected by the population for 3 years. The Suffrage the citizens who have reached 18-years age possess all. The government consists of the president, ministers, the general public prosecutor, and heads of 4 departments. Members of both chambers cannot be re-elected directly for the following term. Concerning the legislation of chamber are equal in rights and consequently for the statement of the bill the consent of both chambers is required. The president has the right to put a veto the bill accepted by the national congress. But the veto can be overcome by two-thirds of the voices of the National Congress. In breaks between sessions of the National Congress, the Constant commission in the structure of 29 members operates. From them, 15 are deputies, and 14 – the senators appointed by corresponding chambers at the last session before dissolution. Members of parliament cannot be re-elected directly for the following term (KesslerTimothy P.,1999).
Each state has the constitution and the unicameral Congress (Legislative assembly) selected on 2 or 4 years, agencies led by the governor and courts. Local self-government institutions are municipalities which members are selected by the population for 2 years. Governors of the states are selected direct vote for the period of 6 years and cannot be re-elected. The chapter of the capital federal district, since 1997, also is selected direct vote of the population. Till 1997 it was appointed the president of the country. The judicial system is headed by the Supreme Court which members are appointed the president for life and affirm the senate. There are also 6 district courts, 6 incorporated courts, and 47 regional. The Supreme Court of staff appoints judges of the first instance and municipal courts. Last years have been sated by a lot of political and economic events in the life of Mexico. So in 2000, the most important political event became the presidential elections of the country. As a result of the intense political strike by the president, there was a candidate from the Party of national action of Century Fox. Thus, with the election of the candidate from the opposition party, the 71-years stage of management with the country revolutionary-institutional parties have come to the end as the president of Mexico. Mexico has powerful enough armed forces which total 180 thousand soldiers. Besides in a reserve the person is totaled 300 thousand more. In 1999 the military budget made 2,4 billion US dollars.
Conclusion
Mexico conducts active enough foreign policy, consists of a lot the international and regional organizations. In particular in the economic and social advice of the United Nations, in UNESCO, FAO, the SQUANDERER, and other specialized establishments of the United Nations actively works. It is necessary to note, that the foreign policy of Mexico is traditionally directed on strengthening of political and economic independence of the country and is based on principles of self-determination of people, non-interference to internal affairs, on the peace decision of conflicts, legal equality of the states, mutually advantageous international cooperation. The approach of Mexico to the basic problems of modern international life has as a whole constructive character. It traditionally adheres to principles of peaceful disposition, calls for general disarmament, and supports the statement of principles of peaceful co-existence that promotes the protection of its national interests and consolidation of the international authority of the country. The country supports the activation of activity of the international forums concerning disarmament, for utter annihilation of the nuclear weapon, and for acceptance of urgent steps in this area.
Works cited
Cabeza De Baca Gilbert (1982), Good Life: New Mexico Traditions and Food , Fabiola Museum of New Mexico Press; 2nd ed edition.
Camp Roderic Ai (2006), Politics in Mexico: The Democratic Consolidation Oxford University Press, USA; 5 edition.
Gilbert M. Joseph (2002), The Mexico Reader: History, Culture, Politics (The Latin America Readers), Duke University Press.
Kessler Timothy P. (1999), Global Capital and National Politics: Reforming Mexico’s Financial System (Kindle Edition), Praeger Paperback.
Lustig Nora (1998), Mexico: The Remaking of an Economy, Brookings Institution Press; 2 edition.
Shaiken Harley (1989), Mexico in the Global Economy: High Technology and Work.
Organization in Export Industries (Monograph Series), University of California, San Diego, Center.