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Mexico’s Coming Collapse


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May 31, 2005
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Mexico’s Coming Collapse
By: Alan Caruba
RightConservative.com 05-30-05

I received an email recently from a 55-year-old, unemployed American who had been to 14 States looking for work. He couldn’t find any, he said, because “I am not a Mexican.”

Despite a desire to work, he could not compete with the cheap wages Mexican illegals will take. They do so because wages in Mexico continue to leave a vast portion of that nation’s population in poverty, forced to live on $3 to $4 dollars per person a day.

According to data from the CIA, 40% of the Mexican population lives below the poverty line. The current population is estimated to be 106,202,900 people and the labor force is estimated to be 34.73 million. Despite being rich in natural resources, the Mexican economy is highly dependent on the US economy. We buy 84% of all Mexican exports, compared to Canada that buys a mere 1.8%. “Per capita income is one-fourth that of the US; income distribution remains highly unequal.” That’s a diplomatic way of saying a handful of Mexican elites own most of everything.

There are a lot of reasons advanced to explain why the Bush administration will do nothing to stop the flow of illegals across our southern border, the vast bulk of whom are Mexicans, but the one I had not heard until I received the email was that Mexico would collapse without the money sent back by the Mexicans, legal and illegal, among us. When you look at the economic data, it is the one explanation that begins to make sense.

Ignoring the financial and social impact that millions of illegal Mexican workers are having on America may well be the US government’s way of avoiding a tsunami of even more Mexicans crossing over in the wake of an economic disaster, the collapse of the Mexican economy.

The most dramatic change that the 1994 North American Free Trade Agreement has had is the way it has emptied out whole sections of Mexico as its former citizens head north. People don’t do this because they have a choice. Mexico is not creating new jobs. It is, instead, sending its people here to take over all kinds of jobs that unemployed Americans no longer can get.

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