Please explain this to me?

Question

Why is Mexico still struggling so much?

Mexican illegal aliens send millions (maybe billions) of dollars to their families back in Mexico.

Some of them work in the US for awhile to save up money and then go back to Mexico.

So why does it seem like they aren't getting any wealthier?

Answer 1

Mexico is a failed state (to quote John McCain). Everything from Pemex to the Social Security, the State Electricity Monopoly, the State Water Monopoly and all of the pension funds for those entities are long since bankrupt, or virtually so. To an approximation, the only people doing well are the private monopolies which run (e.g.) the cement industry, the TV industry, the telephone system, the (medical) drug supply system and the union leaders.

Of course, the narcos are also doing very well since the police system doesn't work either. In fact, a high percentage of the narco ARE policemen.

The unions have a stranglehold on the employment system and the political parties have a stranglehold on everything else. Why is a complex question which there is not time for here.

Nobody is doing anything to improve the situation since they are all to busy improving their own situation and buying houses in San Diego, Miami, Houston, Dallas or Madrid. And, almost everyone can be bought.

The only good thing about the "remesas" being sent from the US to Mexican families is that they flow through the banking system directly to the families so and the government can't find a way to get their hands on any of it.

Of course, the government tries from time to time since there is such a lot of money flowing, but so far, fortunately, without success.

With a non-system like that, how can the country get any wealthier? In fact, with the current political outlook, there are harder times ahead. Maybe the times will be hard enough for the realization of what has to be done to sink in. There are no mysteries since you can read editorials daily which define the problem and the solutions. But, words do not substitute for actions.

Answer 2

Well, that's because an infusion of money with no constraints on growth amounts to dividing your billion dollars into infinity....net result is 0.0001 etc. Up until not too long ago, Mexico had a real population growth problem. Runaway growth is a global problem,
there's been an addition of almost 3 billion people since the 1960's, and forecasts for the future estimate some 9 billion by 2040, 34 years from now. When they say 'developing countries', they really aren't kidding. Of course, places like India, which has a billion people, are still developing, too, but there comes a point when development hits the 'wall' of feasibility, and available resources, economic shortfalls, and so forth. When you get to that point, eventually what you get is widespread poverty, and people do desperate things to escape poverty. But, until there's better global accords on dealing with runaway growth, which is what illegal immigration is one symptom of, there'll continue to be big problems. The best defense against all of it is to build more schools, so that people get more knowledge about the various aspects and contributing factors of all of this.

Answer 3

They send 16 million a year. Most of the money they make remains in the US economy as they spend it to feed and clothe and shelter themselves and their family in the US. Most of the money goes back into American-owned businesses who provide the things they need.

16 million is useful and could in fact be used to jumpstart the economy over there, but only if done properly. Unfortunately the Mexican government has the same grasp of economics as the Republicans. All tax cuts go to the rich, but they still have expenses and so more and more is taken from the poor. This is making the rich richer, and the poor poorer. If on the other hand, they'd tax the rich more and cut taxes to the poor; it might be possible to restart the education level and give them a real chance to fix the economy. All the resources are available in Mexico, except skilled workers. Fix the education and you get that also and you could fix it. But they still believe in the trickle-down system that gave Americans the recession of the both Bush's terms in office (Father and Son).

Answer 4

Like many countries (most countries) and specially Latin American Countries, they are inundated with corruption and organized crime/guerrillas. Mexico is rich in natural resources, a beautiful country with great people (I have been there many times and NOT Cancun which in the US they THINK that is Mexico).

Unfortunately, you see the problem in Southern Mexico with Communist guerrillas and the Northen part of Mexico is like the old west in the 1800s in the US where not even the army will dare to go in. In addition, Mexican in the US send back a lot of money to their families in Mexico (like you point out) but you know people (most of them) the more you get the more you spend.

Don't blame illegal aliens, do not get mad at most of them. They are good and hard working people. Get mad at the Mexican government for their MASSIVE corruption. Did you see the last elections? What a joke, how embarrassing for the Mexican people!

Answer 5

The concept of saving money for the future is almost unheard of in Mexico. They only live for today, not for tomorrow and forget about yesterday. As long as this concept remains in place, Mexico will never progress as a country, no matter how many billions are sent from abroad.

Answer 6

1. Corruption - nothing happens without a bribe.

2. Socialism - there isn't a real market economy. Poor people in the US often become rich. There are barriers in Mexico that prevent people like Howard Schultz (Starbucks) from growing a business.

3. Institutionalized racism - There are Mexicans of European hertitage and those of Indian hertitage.

Answer 7

because they are paying bills too like you without benefits,and to help you a little check the international news about the free trade agreement that the usa wants to activate in the latino countries and check the history about who raisen the economy of the usa in the worst moment of the usa economy(the big depression)?i can understand your anger but the citizens lack of history and actual information specially international,somebody control the info into the usa so the citizens do not complain to the politicians.

Answer 8

Rich and poor is universal. The answer is human nature. there certain people that i not equipped to be money smart and will remain poor, irregardless of income. How many lotto winners were able to keep their riches? 10%.

Answer 9

Most of Mexico is very uneducated and have been for thousands of years, they don't know how to change and the bad guys feed on the insecurities of the children and their parents.

Answer 10

They know what theyre doing, they plan on taking over America by numbers. Dont let them trick you into thinking that theyre dumb. They smile in your face but turn around and laugh at our naive azz's. I see this as a threat, I think we should arm up and out of Iraq and handle the corrupt Mexican government. Assassinate their president and so on and so forth.