Mexico's democratic institutions are weakened by socioeconomic and ethnic inequality, and by oligopolistic political clan and family structures.
Media freedom and access to information are formally guaranteed, but infringements are common. The media treats political parties fairly.
Civil rights and the rule of law are undermined by rampant corruption, discrimination, use of the military in a policing function, and ineffective courts.
Mexico has a high poverty rate, with many citizens seeking work in the United States. Workers are relatively poorly educated, and women's rate of labor market participation is low.
Market-based policies have helped some top firms become internationally competitive, but have also let oligopolies emerge in some industries.
Tax evasion is widespread, and tax revenue too low. A dangerous proportion of the national budget relies on oil revenues and taxes.
Mexico is a deeply unequal society. Income inequalities are high, regional disparities great, and ethnic and gender discrimination common.
Modern health care is accessible only to a minority of the population.
Relatively well-off women can afford child care, allowing them to work. Poorer women more commonly follow traditional family roles.
The pension system is not financially sustainable, and does not cover workers in the large informal economy.
Organized crime and drug cartels pose a far greater risk to Mexico than do traditional military threats. Drug trafficking is a source of serious violence and corruption.
The military has been tapped to provide internal security functions.
Immigration laws are restrictive and xenophobic. The treatment of immigrants differs substantially according to their wealth and country of origin.
Overurbanization and overpopulation are serious problems, but Mexican policymakers have given environmental policy a high priority.
Research and innovation efforts are traditionally minimal, focusing on large firms while neglecting small businesses.
Elite children receive a good education, but the vast majority of children are poorly educated in badly equipped, inadequately staffed public institutions.