A debate has recently emerged regarding the issue of raising Mexico’s minimum wage. Proponents call attention to the fact that the minimum wage is much lower than other countries in Latin America. Others fear an increase in the minimum wage would spark inflation and warn that this debate is used as a distraction from the real issue of increasing productivity.
On August 11, 2014, President Peña Nieto signed into law the 21 component parts of a comprehensive energy reform. Eight months after introducing constitutional amendments to radically transform Mexico’s hydrocarbon and electricity sectors, private investors and Petróleos Mexicanos (PEMEX) can leave the starting gate. Read the latest article by Diana Negroponte, a member of Mexico Institute's Advisory Council
The Mexico Institute charts the course of the energy reform beginning in 2012, when Enrique Peña Nieto, then-Candidate for the Mexican Presidency, made the commitment to reform the energy sector by 2015. The end goal of this reform is to make the energy industry more competitive and to drive Mexico’s economic growth
On Monday August 11, Mexican President Enrique Peña Nieto enacted the secondary legislation of the energy reform, composed of 9 new laws and amendments to 12 existing ones. With this action, a new chapter in the economic development of Mexico begins in which the private sector will be allowed to invest in various areas related to the exploration for and exploitation of natural resources such as oil and gas.
Read two articles and a timeline about Mexico's Energy Reform. First, a piece written by Jesús Reyes Heroles on energy reform and democracy. Second, Pedro Valenzuela and Duncan Wood assess the energy reform and its process following the enactment of the secondary legislation.
Despite its technical complexity and the political differences associated with the energy reform, the process that has been carried out to materialize it is unprecedented in Mexico. The constitutional reform, absolutely necessary to detonate real and profound change, achieved its goal, but it unfortunately left pending the “pulling out” of Pemex and the Federal Electricity Commission (CFE) from the Expenditure Budget of the Federation (PEF), which would have taken away the regulatory and normative straightjacket that represents a competitive disadvantage.
Mexico Ascendant: How to Grow Cross-Border Trade, is one of several conferences in The Economist’s "Trade Horizons" series and will examine how US companies can best leverage the $507 billion import-export market with Mexico.
President Barack Obama has said that the huge number of unaccompanied children who are coming to the United States from Central America represents an urgent humanitarian situation. He is right; the suffering of tens of thousands of children is unthinkable. The humanitarian crisis that President Obama refers to is, however, only the tip of the iceberg of what has been happening in this corridor of intense migration - Central America (Guatemala, Honduras and El Salvador), Mexico and the United States - over the past two decades.
"It is important to note that adding more boots on the ground would do little or nothing to stem the flow of children across the border. The real solutions lie in addressing the push factors in the source countries," writes Christopher Wilson and Eric Olson.
Director Jane Harman discusses the escalating violence between Israel and the Palestinians and the immigration crisis on CBS News' Talk of the Nation with Gerald Seib, Danielle Pletka, and Nia-Malika Henderson.