MEXICO

In what areas does Mexico
have a relative need for
or strong capacity for reform?
Key findings: Status
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Blue line represents country’s status performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 29, Mexico's status performance is poor. Deep socioeconomic cleavages and weak democratic institutions have yet to be effectively addressed.
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OECD spread
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.
Key findings: Management
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Blue line represents country’s management performance on a scale from 1 (lowest) to 10 (best). White line is OECD average. Grey area shows variation within OECD. Click category titles for criteria performance and key findings.
At rank 22, Mexico's management performance is below average. Although the government has demonstrated acumen in institutional learning, policy formulation and implementation lack vigor.
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OECD spread
Strategic planning, often well-informed by academic research, is well-developed at the national level, though less so at the level of state governments.

The President's Office and the Ministry of Finance coordinate government activities and communication. RIAs are common, but often of low quality.

Links between government and corporative organizations are strong, but generally exploited to win policy support rather than for genuine consultation.
President Vicente Fox, the first non-PRI president elected in 70 years, had trouble persuading Congress to pass important bills.

Only 71.6 of Fox's envisaged bills were adopted. The second chamber rejected nearly half his actual proposals. Fox's successor has been more successful.

The Supreme Court wields strong veto powers, particularly with regard to subnational governments.
Policy recommendations by organizations such as the IMF, the World Bank, the Inter-American Development Bank and the OECD have strongly influenced Mexico’s recent reforms.

The country frequently participates in multilateral initiatives, and has sometimes been able to imprint its own priorities on the international agenda.
Mexico’s government has been open to international best-practice ideas. It participates in international forums where issues of governance and organization are discussed.

Incoming governments tend to reconfigure the prevailing institutional arrangements at least in part.
A relatively small percentage of Mexican citizens are well-informed on government policies. Clergy, media figures and public intellectuals shape public opinions.

The legislature can demand executive information, but has little real oversight power. Political parties generally offer coherent and plausible policies.

Associations focus on lobbying rather than on technical policy input.
Governments in charge
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SGI 09 review period (January 2005 to March 2007) is outlined in black.

Shown are: Prime minister or president, type of government, and ruling parties. Asterisks indicate national parliamentary or presidential elections.
Contributors
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Country scores and texts were produced by the country coordinator, based on comprehensive assessments by three country experts. For the individual experts’ reports, see download page.
 
Country coordinator
PD Dr. Martin Thunert
Heidelberg Center for American Studies, University of Heidelberg

Country experts
Prof. Dr. Ulises Béltran
Centro de Investigacion y Docencias Economicas/ Col. Lomas de Santa Fe

Prof. Dr. George Philip
London School of Economics

Dr. Jörg Faust
German Development Institute, Bonn