Mexico

Mexico (population 106,682,500 in 2008, the 11th most populous country in the world; gross domestic product $1.022 trillion in 2007) is a nation in search of itself. Over the last century it has undergone changes which, while fundamental, have not yet enabled it to sustain substantive improvements to the welfare of its population. A federal republic composed of 32 states, its most urgent problems are unemployment, poverty, migration, violence, and public safety. The free market initiatives of the last 25 years have brought about major changes to the country's industry, but have not yet translated into the sort of economic growth rate necessary to reduce unemployment and poverty to more reasonable levels.

In the political arena, changes have been slower and less profound because theoretical democracy has not quite translated to practical democracy. The leadership of the country remains authoritarian in its approach, and many of the old structures remain intact, obstructing the administration of justice and the objective rule of law. Corruption is rampant, deteriorating public confidence in the government both domestically and abroad, where such confidence is necessary to encourage foreign investment in Mexico.

Politics has prevented various factions in government from agreeing on the model of development that Mexico should be following, the shape of its future, and the means of getting there. Political parties have served their constituencies and special interests at the expense of building strategic agreements on the structural transformations necessary to long-term national development. Such agreements would in the long run benefit those same constituencies, by leading to fairer, more efficient government.

Mexico's principal challenge in the 21st century is the need to develop a new social contract that will allow the country to participate competitively in the world economy. Its geographical location is a huge potential benefit because of its extensive border with the United States, the largest market for goods and services in the world. The abundant natural resources, favorable climate, and biodiversity are still virtually untapped compared to the use to which a healthier nation could put them, and the nation's history and culture contribute to its appeal as a tourist destination.

In terms of human capital, Mexico is one of the largest countries in the world, with a population expected to reach 130 million by 2030. A mere generation away, that population will be primarily middle-aged, with extraordinary potential in production, skills, experience, and intellectual capital. The promotion of science, technology, and education today represents an investment in that near future.

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Mexico is one of the world's largest exporters of labor, with 9 percent of its total population working in the United States.

History

Mexico's origins are in the splendor of the Aztec Empire, still an object of fascination to the modern world by dint of its prowess in agriculture, mathematics, science, and the arts. The Spanish conquest of Mexico then put it on the path of a difficult transition toward modernity, the start of its mestizo heritage. In the 19th century, Mexico gained independence, but saw an extensive period of instability and chaos marked by disputes between conservatives and liberals, monarchists and republicans. A long period of wars, invasions, and losses of territory to the United States and Texas marked the national consciousness, and led to the establishment of the Porfiriato regime from 1876 to 1911, a dictatorial regime masquerading as a democracy. Mexico entered the 20th century rife with instability, with the Mexican Revolution of 1910 eventually leading to an adoption of a constitution in 1917, and a firm commitment to modernization.

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