The most obvious problem facing Mexico is that its the rich won't pay their fair share of taxes, so there isn't enough money for schooling, law enforcement, agricultural productivity development, and the like. Life is pretty crummy for the tens of millions of poor people, but it's sweet indeed for Mexico's remarkably rich rich people. From the LA Times:
        
  $49 billion is Slim's pickings in Mexico
By Marla Dickerson 
MEXICO CITY — On Thursday, Forbes magazine estimated [Carlos Slim  Helu's] net worth at $49 billion. 
That represented a stunning $19-billion increase from 2006, the biggest one-year  jump in a decade for anyone on the magazine's annual list of the world's richest  people.     
In other words, Senor Slim personally made about as much money last year in Mexico after taxes (such as they are), $19 XXXXXXtra Large, as all the Mexicans in the U.S. sent home to relatives in Mexico.
Microsoft Corp.  co-founder Bill Gates' $56 billion helped him retain the top spot. Investor  Warren Buffett was again runner-up with $52 billion.   …
Although his third-place ranking didn't change from 2006, he increased his  wealth by 63%. That's a growth rate of $2.2 million an hour. 
When Mexicans talk on the phone or use the Internet, they're almost certainly  doing it through a company controlled by Slim, who in 1990 bought control of the  old state-owned telephone company Telefonos de Mexico, or Telmex, and turned it  into a cash machine. … 
The portly Slim has more than tripled his fortune since Forbes published its  2004 list, thanks to a string of acquisitions and the ballooning value of his  telecom holdings. His current net worth is equivalent to nearly 6% of his  nation's gross domestic product, a feat unmatched even by America's robber  barons at the height of their influence. …   
That's the equivalent of $780 billion in America, fourteen times the size of Bill Gates' fortune.
To some Mexicans, the  son of a Lebanese immigrant shopkeeper represents the triumph of hustle over  heredity in a nation where a few dozen families have held sway for generations.  … 
But critics say his purchase of Telmex was a sweetheart deal that merely  replaced a public monopoly with a private one. Studies have shown that Mexicans  pay some of the highest telecom rates in the world, which is undermining the  nation's competitiveness. …
And it's not just telecom that's locked up tight. Of the 10 Mexican billionaires  listed on the latest Forbes list, seven made their fortunes in industries where  there is little competition in Mexico.   
Mexico's problems are severe, yet they are hardly as incomprehensibly insoluble as Iraq's, where we throw $1 or $2 billion per week down the toilet just making things worse. But the idea of America exerting any pressure on Mexico to push it in the direction of meaningful reforms, such as having its billionaires cheat on their taxes a little less, is simply not part of normal public discourse in America.
My published articles are archived at iSteve.com -- Steve Sailer
 
 

 
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