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The Mexican Economy. Jorge G. Gonzalez Trinity University. Recent Economic and Political Events. U.S. slow growth and financial upheaval Domestic sources of growth Calderón’s victories in Congress Pension Reform Fiscal Reform Oil reform and AMLO Mexico – U.S. relationship.
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The Mexican Economy Jorge G. Gonzalez Trinity University
Recent Economic and Political Events • U.S. slow growth and financial upheaval • Domestic sources of growth • Calderón’s victories in Congress • Pension Reform • Fiscal Reform • Oil reform and AMLO • Mexico – U.S. relationship
The Mexican Economy • North American business cycle
Industrial Production Index(January 2000 = 100) Source: Banco de México and FED www.banxico.org.mx; www.federalreserve.gov
The Mexican Economy • North American business cycle • GDP growth
Real GDP% yearly change Source: INEGI www.inegi.gob.mx
The Mexican Economy • North American business cycle • GDP growth • Foreign direct investment
Foreign Direct InvestmentBillions of Dollars DEM + NAFTA Source: Banco de México www.banxico.org.mx
The Mexican Economy • North American business cycle • GDP growth • Foreign direct investment • Super Peso and foreign sector
Exchange RatePesos per U.S. Dollar Source: Banco de México www.banxico.org.mx
Exchange RatePesos per U.S. Dollar Source: Banco de México www.banxico.org.mx
Inflation Differential vs. Exchange Rate 321 Inflation 225 Exchange Rate Source: Banco de México www.banxico.org.mx
Merchandise TradeBillions of Dollars Imports Exports Source: Banco de México www.banxico.org.mx
Merchandise ExportsAnnual Growth Rate Europe U.S. Source: Banco de México www.banxico.org.mx
Merchandise ImportsAnnual Growth Rate Europe U.S. Source: Banco de México www.banxico.org.mx
Family RemittancesBillions of Dollars Source: Banco de México www.banxico.org.mx
Family RemittancesBillions of Dollars Source: Banco de México www.banxico.org.mx
The Mexican Economy • North American business cycle • GDP growth • Foreign direct investment • Super Peso and foreign sector • Disciplined fiscal policy
Government BalanceBalance / GDP Source: SHCP www.shcp.gob.mx
The Mexican Economy • North American business cycle • GDP growth • Foreign direct investment • Super Peso and foreign sector • Disciplined fiscal policy • Price stability
Inflation Source: Banco de México www.banxico.org.mx
The Mexican Economy • North American business cycle • GDP growth • Foreign direct investment • Super Peso and foreign sector • Disciplined fiscal policy • Price stability
Agenda for President Calderón • War on poverty • Rule of law • Energy sector and labor laws • Domestic antitrust and competition • Mexico – U.S. relationship
The Mexican Economy www.trinity.edu/jgonzal1 jorge.gonzalez@trinity.edu