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EVOLUTION OF MEXICO’S ECONOMY A UNG, APPLE AND FELDBERG PRODUCTION Mexican - United States Relations During the Cold War period Mexico seemed to almost always be against the US. The United States has “a bigger fish to fry elsewhere”. President Bush strengthened the MexicoUS relations together with President Fox. In 1999 Mexico became the U.S. second most important trading partner following Canada. In 2001 Bush and Fox establish “warm” relationship. The United States holds more than 60% of Mexico’s foreign investments. Under Fox, Mexico’s economy incr eased in 2004 by 4.4%. Current Challenges Between Mexico and the U.S. Trade issues: NAFTA Border Issues Drug Traficant Issues Political and Human Rights Issues Neo-Liberalism It is a label for economic liberalism that describes government policies aiming to promote free competition among businesses. •It is based on individualism, consumerism, concentration of capital and centralization of power. Consider… Neo-liberalism is based on individualism, consumerism, concentration of capital and centralization Of power. Who is the government representing? *Hint: $$$$$ Fact: “In 1997 the riches t one-fifth of the world’s population owned an astounding 85% of the world’s wealth.” Free trade zones an d Maquiladoras (factories that produce for export) under the Border Industrialization Progra. Consider In relation to jobs, the relevant question is not "Why aren't they happy to have jobs?" But rather "Why are these only jobs available ?” and "What are the policies that created this situation in the first place ?" SAPs The IMF assembled a "rescue" package of loans accompanied by a large number of conditions, called "conditionalities" or Structural Adjustment Programs. These conditions included measures to open the economy to foreign corporations, eliminate trade barriers, restrict access to credit, and cut social spending. What is NAFTA? NAFTA(the North American Free Trade Agreement) is an agreement between Canada, the US, and Mexico that took effect on January 1, 1994, designed to increase the scope for the free flow trade and investment among these three countries. It includes measures for the elimination of tariffs and nontariff barriers to trade, as well as many more specific provisions concerning the conduct of trade and investment that reduce the scope for government intervention in managing trade. The Desired Effect The problems Agriculture & Rural Crisis (Yellow Corn vs White Corn) No broad economical benefits (the Peso Crash, 4$) The Ecological Impact Human Rights? Mexico and the wto Agriculture (Quantitative Restrictions) Biopiracy & GMO (WTO or MEA?) Forests Tourism Videos http://www.youtube.com/watch?v=2ticH7r2rGw&mode=related&search= http://www.youtube.com/watch?v=sBskbZ9Pl6A&NR http://www.youtube.com/watch?v=QprVEErUGBw&mode=related&search= http://www.youtube.com/watch?v=19px_rCVHMw&mode=related&search= Thanks, UNG, SIDRA and SHARON © ☺