tag:blogger.com,1999:blog-4900303239154048192.post7859948872729840487..comments2024-03-06T06:34:42.881-05:00Comments on EconoSpeak: The Mexican Recession and Fiscal PolicyUnknownnoreply@blogger.comBlogger1125tag:blogger.com,1999:blog-4900303239154048192.post-86026797327652555082008-12-30T13:03:00.000-05:002008-12-30T13:03:00.000-05:00For much too long the proceeds of oil sales have b...For much too long the proceeds of oil sales have been misapplied by the Mexican government. And the land problem in Mexico is even more of an issue. Only the Mexican people can cure the problems of Mexico. NAFTA made the situation worse.<BR/><BR/>NAFTA ushered in the financial weenies of Wall Street that were behind the consolidation if the small subsistence farms in Mexico. The resulting unemployment was akin to the effects of the "Dust Bowl" in the USA in the 1930's. There was a mass "illegal" migration to the north resulting in injury to the middle class and the peasantry of both nations. The "good" that was to come from the trade deal was far outweighed by the bad.<BR/><BR/>Henry George fundamentalism may be better applied in Mexico than in the United States. Land Value Taxation along with extraction fees (oil) and lots of outright redistribution are probably the best way to cure the poverty of Mexico and the poverty in most of the nations south of the United States. An increased redistribution of economic rent is the best macro answer in most every case. The proposition knows no context. Even in a rentier society such as Saudi Arabia the blind redistribution makes the people individually accountable for their prosperity as opposed to the State or Church.TheTruckerhttps://www.blogger.com/profile/10346127768102862741noreply@blogger.com