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History of MEXICOs Revolutions

Recurring Cycles of Revolution From Pre-Colonial imes to o!ay "tatism #"tate Ca$italism % Central Planning& versus 'nti-"tatism #Private Ca$italism % Provincial Rig(ts& versus 'ctive-"tatism #Mi)e! "tate an! Private Ca$italism *it( Partial Central Planning&

By Olga Mag!alena +a,in-'n!rei

Co$yrig(te! -./-0 +a,in


Recurring Cycles of Revolution From Pre-Colonial imes to o!ay "tatism ("tate Ca$italism % Central Planning) versus 'nti-"tatism #Private Ca$italism *it(out 1ational Planning&

, p. 2

versus 'ctive-"tatism #Mi)e! "tate an! Private Ca$italism *it( Partial "tate Planning& By

2ames 30 3il4ie
(UCLA Professor of History)

Acknowledgment to 5r0 Miguel Rivera-R6os


(Professor of Economics, Universidad acional Aut!noma de "#$ico) for %is on&going e$tensive criti'ues and de(ate a(out t%e organi)ation and contents of t%is work* 3OR7I18 5R'F for Comments9 Corrections9 E!iting9 an! '!!itions *(ic( *e *ill fin! to :e necessary in our Class +ectures an! 5iscussions + ,--., ,--/, ,--0, ,-1-, ,-11, ,-1, (y 2ames 3* 3ilkie

" ' I"M 5EFI1E5 ;"tatism; occurs anyw%ere w%en t%e 4tate Central 5overnment controls a (ig 6art (usually over 7-8 and in some cases all) of t%e national economy (59P)* Leaders w%o follow statist 6olicies claim to o6erate in t%e name of t%e :6eo6le;* <%eoretically individuals are more im6ortant t%an t%e 4tate (ut t%e reverse is true* 4tatism is accom6anied (y full or ma=or control of 6olitics and society (not easily 'uantified), resulting in 6redatory dictators%i6 making decisions t%roug% 6artial or full Central Planning* Police, military, legislators, and =udicial officials follow orders*
<%e masses are e$6ected to take orders from t%eir su6reme leader and %is regional and local (osses, doing so wit%out argument* 5overnment may (e (ased on "tate Ca$italism9 as in today>s C%ina and ?ussia* As6ects of 4tatism include@ control of tariffs to :6rotect; t%e national economy, 6ermissions to favorite 6ersons or la(or unions (sindicatos) to mono$oli,e com6anies t%at 6roduce energy (oil, electricity), news6a6ers, television, and tele6%one systems, maintain all 6ersons under surveillance, etc*

4tatist systems tend to develo6 One-Party 5emocracies or Official Parties to =ustify (often t%roug% fraudulent elections andAor t%e 6urc%asing of votes) for t%e 6ur6ose of remaining in :6ermanent : control of t%e 5overnment* CO1 E1 "

I0 CB CEP<4, 9ECD D<DB 4, "EEDCB CA4E, CLA?DCDCA<DB 4 (P* 1-) II0 CFCLE4 (P* G1)

, p. 3

/0 "tatist ',tec Con<uest an! 8overnment $rior to /=-/ -0 "tatist "$anis( Con<uest #/=/>-/=-/& an! 8overnment after /=-/

?0 Faile! 'nti-"tate Revolutions #/@/.-/@-.& seeking Dnde6endence from 46ain 4. Statist Independence from Spain, 1821-1824, to Maintain Status Q =0 C(aotic 'nti-"tatism versus "tatism9 /@-=-/@==* Dncludes "anta 'nna>s 1/H/

territorial losses and 1/7G restoration of 4tate control over all lan!s an! su:soil rig(ts
A0 'ctive-"tate +egal Revolution9 /@=A-/@AA9 esta:lis(e! :y Benito 2uCre, D0 "tatist Revolution un!er Ma)imilian #/@AE-/@AD& interru6ts 2uIre) Active 4tate @0 'ctive-"tate Revolution un!er 2uCre, an! "e:astiCn +er!o #/@AD-/@DA) >0 ?D4E BC 4<A<D4< ?EJBLU<DB U 9E? PB?CD?DB 9KAL, 1/.M&1011 >a (e 'ctive "tateF 56a, #/@DA-/@@/& >: "tatism un!er Presi!ent 56a, #/@@--/>//& and t%e CientNfico 5rou6 >c <wo Oey BooksFranciscoI. Madero(1908) and AndrsMolinaEnrquez(1909) /.0 CHAB<DC A <D&4<A<D4< ?EJBLU<DB , 1011&101M (P* GH) //0 AC<DJE&4<A<E ?EJBLU<DB (101.&10MH)@ ?D4E BC : E3 CLA44; //a Political #/>/D-/>?E&9 es6ecially under Presidents B(reg!n, Calles9 Portes-8il //: "ocial #/>?E-/>E.&F Presi!ent +C,aro CCr!enas, w%o confronts t%e 3orld 5reat 9e6ression D, 10,0&10H//c Economic #/>E.s-/>=.s&F Presidents Avila&Camac%o, 'lemCn9 ?ui) Cortines //! Balance! #/>=@-/>AE&F Presi!ent +G$e,-Mateos //-a /-: /-c

4<A<E&CAPD<ALD4" P 9D?<F 3A?, 10M7&10/, (P* 1-,)


8ustavo 5ia,-Or!a, #/>AE-/>D.& Initiates 'ut(oritarian "tatism +uis Ec(everria-'lvare, #/>D.-/>DA& initiates Economic "tatism 2osH +G$e, Portillo #/>DA-/>@-&9 Petro-"tatism In!er t(e 8o! Presi!ent

/?* 4HDC< <B AC<DJE&4<A<D4", 10/G&& (P* 1,0) /?a Carlos "alinas #/>@?-/>@@ an! />@@-/>>E&9 *(o lays :asis for ? *(o follo*F /?: Ernesto Je!illo #/>>E--...&9 w%o turns over 6ower from t%e P?D to t%e PA

, p. 4

/?c /?! /?!0/ /?!0/?!0?

Kicente Fo) #-...--..A&9 w%o defeats t%e one&6arty system (ut not
its (asis in (ureaucracies and goverance of more t%an %alf of t%e G, states

Feli$e Cal!erGn9 -..A--./-9

#P0 /D-&

w%o im6licity calls for 'ctive-"tate $olicy versus +G$e,-O:ra!or, w%o seeks Anarc%y to ?estore t%e 4tatist ?evolution, ,--M&& 5rug raffic4ers9 w%o seek Anarc%y to eutrali)e Police P "ilitary, ,--M&&

Grandes Problemas Nacionales #-..A& % 3orl!s 8reat 5e$ression II9 -..@L

LIST OF MA S A!" FI#$%&S


a'e MA 5 1. Mexico On the World Globe 6 2. Map of Mexico Today !. "ities of Mexico 1#$ %. The &each of Mexico's (ru) "artels* 2++$ a'e FI#$%& # 1. Top World G(,s 2++$ "o-pared to 1$$$ and 1$#$ 61 2. .o/ Many Were 0illed123ost4 in the 5iolent ,hase of Mexico's &e6olution7 6 #% !. (ie)o &i6era and 8rida 0ahlo %. Graph of 9early "han)e in Mexico's G(,* 1#$6:1$#6

1+6 5. Mexico's &eal 8orei)n (ebt* 1$6%:2++# 11# 6. 3uis ;che6err<a has =ust been inau)urated as ,resident by Gusta6o (<a> Orda> 12+ 15 . ;che6err<a's 3e)al &e6olution* 1$ +:1$ 6 #. ?or-an @orlau)* /ho helped teach the /orld to feed itself.

15# $. T/o Alternati6e Methods of MaBin) World ,opulation ,ro=ections* 1$55:2+5+ 15$ 1+. .u-an ,opulation Gro/th* 1$5+:2+5+ 1 5 11. Mexico's G(, &eal Gro/th &ate* 1$#1:2++!

, p. 5

1 12. World G(, "ollapse* 2++#:2++$* &eco6ery for the &ich in 2+1+ 1 # 1!. World Oil ,rices and "apital 8lo/s* 2++1:2++$ 1#% 1%. 0no/n nu-ber of persons Billed in Mexico's (ru) War* 2++6: 2++$ 1# 15. "ont%ly Earnings in "e$ico arco 3ar

1## 16. "alderCn's ,ositi6e and ?e)ati6e (ru) War Scorecard* 2++$ 1$+ 1 . Mexican (ru) "artels and Their "aposD3i6in) and (ead* 2++$ 1$! 1#. Many:,ron)ed "risis Since 2++$ 2+$ 1$. Mexican "rude Oil ,roduction 21+ 2+ Mexico's &eal G(, per capita as ,ercenta)e of E.S. &eal G(, per capita 211 21. Mexican .eads of State Since Fndependence Ma$ / Me)ico on t(e 3orl! 8lo:e

"e$ico is 6%ysically a(out t%e si)e of today>s American 3est t%at was taken from it in t%e "e$ican&American 3ar of 1/H7&1/H/Q4ee C%art 10 in t%e Booklet of Charts assigned for

, p. 6

t%is Course* By total area (/7/,--- s'* miles), Me)ico is t(e /Et( largest nation in t(e *orl!, e$cluding t%e Euro6ean Union (w%ic% is made u6 of ,. inde6endent countries, and e$cluding unin%a(ited de6endent territories* 3it% an 6o6ulation of 111 million, Me)ico is t(e //t( most $o$ulous country* "e$ico is a federation com6rising t%irty&one states and a Cederal 9istrict, Me)ico City, t%e country>s ca6ital, w%ic% %as (ecome in effect t%e G,nd state* 4ince 100H "e$ico %as (een t%e Latin American mem(er of t%e Brgani)ation for Economic Co&o6eration and 9evelo6ment (BEC9)* However, in 2anuary ,-1- C%ile will (ecome t%e second Latin American mem(er, 6rovided t%at its (or w%en) its investment and ta$ 6olicies meet BEC9 standards* (e OEC5 is :ase! in Paris an! its ?. mem:ers must meet first*orl! stan!ar!s to :e invite! an! eligi:le to Moin0 Me)ico is t(e only country to (ave an F ' *it( :ot( 1'F ' #in!ee! it is a mem:er of 1'F '& an! t(e Euro$ean Inion* 4BU?CE@ 9rawn u6on 2ames 3* 3ilkie, ed* Statistical Abstract of Latin America (4ALA Jol* G/, Los Angeles@ UCLA Latin American Center Pu(lications, ,--,) as well as u6on %tt6@AAen*wiki6edia*orgAwikiA"e$ico and %tt6@AA(usinesswit%latinamerica*(logs6ot*comA,--0A1,Ac%ile&is&(ecoming&oecd&mem(er&in*%tml

-----

, p. 7

Ma$ - #*as Figure /9 /A.: "$ring -..>& M'P OF MEXICO O5'N

, p. 8

Ma$ ? Cities of Me)ico

SourceG ///.-exonline.co-1-aps1pics1-ap:of:-exico.)if

, p. 9

----Figure / o$ 3orl! 85Ps0O -..> Com$are! to />>> an! />@>


HFn @illions of 2++$ (ollars* E.S. G(, I J1%.! Trillion (ollarsK Mexico G(, I J1.2 Trillion "on6erted at MarBet or Go6ern-ent Official ;xchan)e &ateL 2(() Tri**ion &A?0 #" M WorldJ62.! ;E J1#.$ 1. $SA +14., 2 Napan J%.# , ".F?A J%.2 E, E.S. G(, % Ger-any J!.# do/n 5 8rance J!.+ 6 E0 J2.# do/n Ftaly J2.% do/n 8 -ALIF. +1.8 # &ESSFA J1.# $ Spain J1. 1+ @&APF3 J1.6 G(, 11 "anada J1.5 12 I!"IA + 1.2 note for 1, M&1I-O +1.2 #O of E.S. G(, 14 #%A! L.A. +1.122 1% Australia J1.1 15 ?etherlands J1.+ 1+ do/n # 12 E, 1 2 E, ! % 6 21 ! 5 do/n E, 6 do/n 5 do/n $ do/n do/n E, 1! Me.ico is /120 HSee MexicoL do/n2 11 E, 16 Fn 2++$ I E, $ # 1+ Fn 2++$ I 2$O of E.S. 1 2 11 % Fn 2++$ I 2$O of &anB "han)e 1$)) &anB &A?0 "han)e 1$8) &A?0

1%

do/n 15 do/n

12 1%

, p. 10

16 1 1# 1$ 2+

S. 0O&;A J.$ do/n TurBey J.# E, ,oland J.6 E, Fndonesia J.5 E, @el)iu- J.% do/n

1! 2# 1#

E, 22 E, 2% E, do/n E,

15 26 1$

25 !+

8i)ure 1 H"ontinuedL

59P 5EFI1I IO1F 59P is t%e sum all goo!s an! services $ro!uce! :y resi!ent #!omestic an! foreign& in a nations economy 6lus any 6roduct ta$es and minus any su(sidies not included in t%e value of t%e 6roducts. Dt is calculated wit%out making deductions for de6reciation of manufactured assets or for de6letion and degradation of natural resources* 9ata are in current U*4* dollars* 9ollar figures for 59P are converted from domestic currencies using single year official e$c%ange rates* E)clu!es income from informal economy an! sale of use! goo!sP also e)clu!es $ro!uction an! sale of illegal !rugsLt(ey :een laun!ere! into $ro!uctive categories of t(e legal economy0 59P differs from gross national 6roduct (81P), w%ic% is defined to include all final goods and services 6roduced (y resources owned (y t%at nationRs residents (including foreign residents), w%et%er located in t(e nation or else*(ere* Inclu!es income from remittances sent (ome :y *or4ers a:roa! an! foreign investment $rofits returne! to t(e country0 E)clu!es t(e informal economy9 e0g0 $ro!uction an! sale of illegal !rugs--unless t(ey (ave :een laun!ere! into $ro!uctive categories of t(e legal economy0 Q For Me)ico9 if t(e -..> revenues from $ro!uction an! sale of illegal !rugs *ere inclu!e! in 85P #estimate! at /.R of Me)icos 85P or S//@ :illion www*%avocsco6e*comAme$ico&drug&cartels& money&consists&u6&to&1-&6ercent&of&gd6A )9 t(at *oul! give t(e Me)ico a total 85P of S/9?.. :illion #an! c(ange its ran4 to T/-9 !is$lacing In!ia0 <%is figure is for illegal drug revenues smuggled into "e$ico from sales to -. million I0"0 !rug users0 5E' estimates t(e total cas( smuggle! is S?> :illion0 On *i!es$rea! use of cas(9 see www*nytimes*comA,--0A1,A,MAworldAamericasA,Mlaredo*%tml and (for 6ro(lems calculating "e$ico>s total 59P, see :9oes 59P 9istort "e$ico>s Economic PerformanceS; (100/)@ %tt6@AAwww*=stor*orgA6ssA1-M1,1H (a6id 3uhno/* Wall Street Journal * 12:26:+$*G Quotes for 2++$ the

34OL&SAL& price for one Bilo of cocaine as follo/sG "olo-bia +1,2((K ,ana-a +2,,((K Mexico "ity +8,,((K ?9" +25,(((K %&TAIL price ?9" +8(,(((.

httpG11online./s=.co-1article1S@1+++1%2%+52 %# +%25%6+%5 %61%2!+ !15+66 %%.ht-l QQ 5ross Product of 5ran "e$ico City in ,--7 (not com6ara(le to years %ere) is estimated to %ave made "e$ico City t%e ,7t% largest economy in t%e world, ric%er in t%at year t%an <aiwan and Dran* 4ee@ %tt6@AAen*wiki6edia*orgAwikiA"e$icoTCity

, p. 11

4BU?CE@ Ada6ted (y 2ames 3* 3ilkie from t%e following sources t%at mainly 'uote CDA data@ ,--0@ www*6%otius*comArankingsAeconomyAgd6TofficialTe$c%angeTrateT,--0T-*%tml 1$$$G ///.nation-aster.co-1)raph1ecoR)dp:econo-y:)dpSdateI1$$$ 1$#$G ///.nation-aster.co-1)raph1ecoR)dp:econo-y:)dpSdateI1$#$
?ote that "FA* FM8* and World @anB data are essentially the sa-e for 2++# H8rance* @ra>il* Spain* S/eden differ by one ranB in top 2+L. To co-pare the three series* seeG httpG11en./iBipedia.or)1/iBi13istRofRcountriesRbyRG(,RHno-inal L

"alifornia sourceG httpG11///.ne/s/eeB.co-1id12!25 5 report 2:16:1+ by

H1:26:1+LK and the

///.the)lobeand-ail.co-1report:on:business1co--entary1californias:sorry:state:a:-a=or:threat: to:us1article1%6$!% 1

Gran 3os An)eles H6 countiesG 3.A.* 5entura* Oran)e* San @ernadino* &i6erside* San (ie)oL Gross ,roducts are -y rou)h esti-ate* extrapolatin) fro- such sources as ///.laincresearch.co-1all18orecast2++$.pdf and Abraha- 3o/enthal* Global California: Rising to the Cosmopolitan Challenge (Stanford University Press. !!"# .

CONCEPTS "uc% analysis of "e$ican History since 101- %as involved assessing t%e meaning "e$ico>s :?evolution; (eginning in t%at year, and, if t%ere was a real ?evolution, w%en did end@
The Officia* art6 of t7e %e8o*9tion :1)2)-2(((; clai-s that it Fnstitutionali>ed the Mo6e-ent of 1$1+ to rule Mexico for -ore than decades as the ermanent %e8o*9tion $nder One- art6 "emocrac6, /hich since 1$%6 carries the na-e : %I- artido %e8o*9cionario Instit9ciona*;< and no/ in 2+12* clai-s that in the election Nuly 1st it /ill re'ain t7e residenc6 of Me.ico

Fn 2+++* the ,&F /as 6oted out of the ,residency and replaced /ithout ci6il /ar by the A!- artido Acci=n !aciona* * /hich has launched Mexico's "emocratic %e8o*9tion 9nder >7ic7 residents ?icente Fo. :2(((-2((@; and resident Fe*ipe -a*der=n :2((@-2(12; 7a8e officia**6 reco'niAed t7at t7e residenc6 of Me.ico fina**6 s7ares -onstit9tiona* o>er >it7 t7e -on'ressiona* and B9dicia* Cranc7es of 'o8ernment Hboth of /hich had ser6ed since the dictatorship of ,orfirio (ia>* 1# 6:1$11* -ainly as 2rubber sta-p a)encies4L

, p. 12

%"- artido de *a %e8o*9ci=n "emocrDtica clai-s that the both the ,&F and ,A? stand for Private $onopoly Capitalism in fa6or of the elites and that only by -aBin) a &e6olution to e-po/er State Capitalism can Mexico's people )ain their fare share of the national inco-e :In 2((@ t7e %" missed >innin' Me.icoEs residenc6 C6 (.@F of t7e 8ote;

The

man6 sc7o*ars see t7e Me.ican %e8o*9tion as 7a8in' ended in t7e fo**o>in' 6earsG 1)1) :>7en Hapata and 7is idea of *and reform >ere Ii**ed as ordered C6 resident -arranAa; 1)2( :>7en -arranAa >as assassinated, endin' maJor anarc7ica* 8io*ence ?I&3G 7ttpGKKme.ican7istor6.or'Kre8o*9tion.7tm ;

In contrast to t7e aCo8e c*aims of on-going processes of %e8o*9tion,

1)4( :after Me.icoEs escape from 3or*d "epression /1 t7ro9'7 massi8e distriC9tion of *and into comm9na* farms as >e** as nationa*iAation of t7e forei'n-o>ned rai* and oi* ind9stries C6 resident LDAaro -Drdenas; 1)4(-1)4@-1)52 :>7en Me.ico o8ert*6 s7ifted to Ind9stria* %e8o*9tion and 9rCan de8e*opment Cenefittin' t7e >ea*t76--not t7e masses of comm9na* farmers and common >orIers, as artic9*ated C6 "anie* -osLo-?i**e'as, BesMs Si*8a-4erAo', %am=n Neteta, T7omas NenJamin, etc,; 1)5) :>7en -ar*os F9entes sees t7e %e8o*9tion of 1)1( as 7a8in' died , after ha6in) passed throu)h a)oni>in) 2sta)es of death4 exa-ined in his /orld:fa-ous no6el* %he &eath of 'rtemio Cru( H1$62L* /hich do/nplays Mexico's "o--ercial &e6olution and the rise of Mexico's Middle "lass 1)@8, 1)82, 1))4, 2((( Hyears for /hich (onald .od)es and &oss Gandy i-plicitly

, p. 13

re6ise 8uentes 2sta)es of death4 concept in their booB %he )nd of the Revolution H2++2L %&A" &1T%A-TG httpG11booBs.)oo)le.co-1booBs7idI8B$NW1%+bN#"SprintsecIfrontco6er 1))4 /hen ,resident Salinas aL chan)ed the "onstitutional reQuire-ent of 1$1 so that land /ould no lon)er ha6e to be distributed to co--unal far-sK bL led Mexico into ?A8TA HE.S.:"anada:Mexico 8ree Trade A)ree-entLK cL isolated the &ebellion in "hiapas by Subco-andante Marcos* as articulated by Michael ". Meyer et al. in The Course of Mexican History :2((O and 2(11; A minorit6 8ie> C6 one sc7o*ar >o ar'9es t7at no %e8o*9tion occ9rred in 1)1( Has articulated by &a-Cn ;. &ui>* /ho sees only a Great Rebellion * /hich existed fro- 1$+5 to 1$2%L Ironica**6, in toda6Es Me.ico a** t7ree maJor po*itica* parties : %I, A!, %"; ar'9e t7at t7e6 are eac7 t7e on*6 standard Cearer of t7e Tr9e Me.ican %e8o*9tion. T>o of t7e parties 7a8e %e8o*9tion as part of t7eir nameG t7e %I and t7e %"< and a** t7ree Case t7eir ideo*o'ies on tacI*in' 9nreso*8ed iss9es from t7e pre- and post-2(t7 cent9r6 %e8o*9tions T7e c9rrent 'enera* ideo*o'6 of Me.icoEs residents since 1)8, Is Cased on frame>orI of Mi.ed State and ri8ate -apita*ism estaC*is7ed C6 resident -ar*os Sa*inas de #ortari :?irt9a* resident 1)82-1)88 and resident 1)88-1))4;, t7e %IEs inte**ect9a* and po*itica* *eader >7o set t7e standard fo**o>ed C6 i; 7is %I s9ccessor in t7e residenc6 of Me.ico :1))4-2(((;< and ii; t7e A!Es t>o residents :2(((-2(12; T7e A! no> in 2(12 c*aims t7at it >i** contin9e in t7e residenc6 C9t %e8o*9tioniAe itse*f to imp*ant -at7o*ic 8a*9es in Me.ico as it mo8es to fa8or ri8ate -apita* more t7an State -apita* >7i*e fina**6 >innin' t7e 3ar Since 2((@ "ec*ared C6 -a*der=n Narcotraficantes , &.tortionists, and Pidnappers, >7o do not >ant a po*itica* %e8o*9tion, C9t rat7er to n9**if6 o*ice and Mi*itar6 o>ers seeIin' to >ipe o9t crimina* acti8it6 t7at contro*s *ife in more t7an 7a*f of Me.icoEs ,2 states

, p. 14

In t7e meantime, t7e

%" :9nti* 1)88 t7e *eft >in' of t7e %I; 7as no> in 2(12 a**ied >it7 t7e T- artido de* TraCaJo :>7ic7 >as fo9nded in 1))( Cased on Maoist idea*s;< T7e T seeIs to s7arp*6 restrict t7e ro*e of ri8ate -apita* as it adopts ne> nationa*iAations of domestic and forei'n monopo*ies to ret9rn in 2(12 to %e8o*9tionar6 State -apita*ism

Alt%oug% eac% of t%e a(ove a66roac%es offer incredi(ly im6ortant information and microanalysis to fles% out our understanding, t%ey all miss t%e larger view t%at, since t%e Pre&Colonial era, "e$ico %as undergone /? maMor Cycles of Revolution to ranging from "tatism to 'nti-"tatism9 eac( one causing maMor u$(eaval in t(e economic con!itions of all social classes an! t(eir $olitical status0 "e$ico faces do)ens of %istorical o(stacles to develo6ment, w%ic% recur as t%e country moves from cycle to cycles* <%e cycles usually involve c%ange in generational attitudes t%at fail to reali)e t%at resolution of 6ro(lems is only %alf&solved (if t%at) even as new generations wants to identify 6ro(lem and 6riorities as t%ey see t%em@ <%ere are t%e do)ens of identified o(stacles t%roug%out t%is 4c%ema as %indering "e$ico>s a(ility to im6rove t%e way "e$ico functions domestically and interacts wit% t%e world* <%e o(stacles 6resented t%roug%out t%e (ook are not all articulated, and readers are welcome to make im6licit o(stacles e$6licit so t%at t%ey can (e added to t%e num(er discussed %ere, sometimes as ,7, ,., ,/, G-, etc* Com6are your own list of o(stacles to t%ose given in t%e 10-0 (ook entitled The Huge National Problems, (y Andr#s "olina EnrN'ue) and to t%ose 6ro(lems now evident now under President Calder!n (,--M&&)*
e

, p. 15

5EFI1I IO1"
(e "tate is t%e system of 6ower t%at %olds t%e :nation&4tate; toget%er* Dn "e$ico it involves central aut%ority (including 6olice and military) t%at since t%e 10t% century delegates some 6ower to 6olitical units in t%e country, now G1 state governments1 and t%e Cederal 9istrict (w%ic% is like t%e 9*C* in t%e U4A)* <%e "e$ican system %as t%ree 6owers (6residency, Congress, and 2udiciary) t%at %ave only since ,--- come to %ave :e'ual; 6owers (as in t%e U4A, w%ic% %as served as t%e general :model; for government)* "e$ico>s 6olitical units %ave t%eir own legislatures and munici6al governments (as in t%e U4A)* Alt%oug% "e$ico>s overall model %as followed t%at of t%e U4A, t%e (ureaucracy follows t%e Crenc% and 46anis% :models,; (ut t%is is c%anging as "e$ico now (egins to im6lement t%e U*4* conce6t of =ustice (:innocent until 6roven guilty,; t%e rig%t to confront accusers, and cross&e$amine witnesses in front of =udgesQsituations t%at did not 6reviously 6revail* <oo, t%e (anking and stock market systems %ave come to mirror t%ose of t%e U4A in order to facilitate flows of ca6ital* Culturally, Mexico has been com are! to "taly# "n both countries the senses of music, art, literature, an! humor ha$e thri$e!, in s ite of often a!$erse con!itions of %uri!ical an! olitico&economic consi!erations' (or
Fn contrast to the national 2State*4 )o6ern-ents at the sub:national le6el are 2statesQ >it7 *o>er-case s.
1

, p. 16

"taly an! the )orl!, Machia$elli !efine! go$ernance by !eceit behin! masks, a rocess !efine! for Mexico an! the *orl! by Octavio Paz as li$ing behin! false faces, )hich he calls +masks', Cycles of a& "tatism #(ig( central government aut(ority& %ave alternated wit% :& 'nti-"tatism #minimal central government aut(ority), and wit% c& (e 'ctive "tate #me!iating :et*een a an! :&0

a& ;"tatism; occurs anyw%ere w%en t%e 4tate Central 5overnment, controlling a (ig 6art of (usually over 7-8 and in some cases all) of t%e national economy (59P), claims to o6erate in t%e name of t%e :6eo6le; to im6rove t%e standard of living* 4tatism is accom6anied (y full control of 6olitics and society (not easily 'uantified), resulting in 6redatory dictators%i6 making decision t%roug% 6artial or full Central Planning* <%eoretically individuals more im6ortant t%an t%e 4tate (ut t%e reverse is true* <%e masses are e$6ected to follow orders of t%eir su6reme leader and %is regional and local (osses, doing so wit%out argument* 5overnment may (e (ased on "tate Ca$italismLsee (elow* Politically 4tatism is associated to a long lasting dictators%i6 and :one& 6arty democracy; to :=ustify; control of 6ower, t%us reducing Congress and t%e 2udiciary to a role of :ru((er&stam6ing; t%e :6residents; wis%es*

Aut%oritariansm rules, as in t%e following t%ree cases@

, p. 17

(e recor! for an Official Partys $resi!ency is (el! :y Me)ico@ w%ic% D> years (im6licitly (eginning in 10,1, w%en 6eace was restored to ena(le t%e re(uilding of a destroyed nation)* E$6licitly, %owever, "e$ico>s Bfficial Party lasted D/ years from t%e time it was esta(lis%ed in 10,0 t%roug% ,--- w%en it was voted out of 6ower* <%e Bfficial Party (egan as t%e P1R (founded "arc% 10,0, Parti!o 1acional Revolucionario), w%ic% (ecame t%e PRM ("arc% />?@, Parti!o !e la RevoluciGn Me)icana), and was reorgani)ed as t%e PRI (2anuary />EA9 Parti!o Revolucionario Institucional)* <%e P?D (now t%e Cormer Bfficial Party), %as %ig% %o6es of regaining t%e 6residency in ,-1,, (ut wit%out t%e %o6e t%at it can again (e t%e Bfficial Party (ecause t%e 2udicial Power and <%e Legislative Power %ave gained co&e'ual status wit% t%e Presidential Power* (Under t%e Bfficial Party, =udges and legislators followed t%e 6residents orders*) <%e secon! longest $erio! of one&6arty rule was t%e I""R, w%ic% lasted (im6licitly, wit% :elections; and internal 6arty 6urges) DE years* from :101.; to 1001* E$6licitly,, t%e ?ussian Communist %eld 6ower for AD years (10,H& 1001)* <%e t(ir! longest $erio! of rule is %eld (y C(inaLits :Communist; Party %as ruled for A/ years #since />E>&9 *it( no en! in sig(t0
2

E$6licitly t%e U44? was not esta(lis%ed until 10,H, (ut it was a fiction* <%e Union of 4oviet 4ocialist ?e6u(lics was an administrative arm of "oscowQt%e idea t%at it was a Union of ?e6u(lics was a myt%, (ut it did gain "oscow G votes in t%e United ations 5eneral Assem(ly w%en it came into e$istence in 10HM&&?oosevelt and C%urc%ill acce6ted t%e U44?, 4oviet Ukraine, and 4oviet Byelorussia as founding and voting mem(ers so t%at 4talin wit%drew %is demand for a total of 1M votes* 4ee %tt6@AAwww*fff*orgAfreedomA-007(*as6

, p. 18

:& 'nti-"tatism is a 6olitical movement aimed to (reak t%e mono6oly of inefficient and omni6resent Centrally Planne! "tate* Anti&4tatists %o6e to give t%e 6rimary role to t%e 6rivate sector, es6ecially (y selling state-o*ne! enter$rises to $rivate in!ivi!uals an! esta:lis(ing an!Uor restoring free mar4et economy* Anti&4tatists seek to assure t%at former state agencies (suc% as airlines, 6orts, railways, manufacturing industries, tele6%one system), w%ic% %ave already (een sold in "e$ico , remain in 6rivate %ands* Anti&4tatism can lead to t%e anarc%y caused (y greed for 6ower (as in t%e case of 3all 4treet (ringing down t%e 3orld Economy, ,--/&& )* <o (reak t%e 6ower structure of t%e old U44? after t%e im6losion of t%e U44? in 1001, ?ussia 6rivati)ed (ig 6arts of its oil industry (suc% as Fukos Bil), (ut after Putin came to 6ower in ,---, %e renationali)ed some it (including Fukos in ,--M)*G c& 'ctive "tatism sees t%e role of t%e 4tate Central 5overnment as a mediating one* <%e Active 4tate serves to (ridge 4tatism and Anti&4tatism (y ado6ting from (ot% to i& own $u:lic utilities (suc% as t%e energy sector) w%ic% t%eoretically will (e o6erated efficientlyU
!

:9uring t%e later years of t%e 4oviet Union, falling oil 6rices, 6artly caused (y U*4* e$%ortations of 4audi Ara(ia to increase oil 6roduction, diminis%ed t%e 4oviet ca6acity to finance its economy and em6ireV* Fears later, during 6rivati)ation in t%e 100-s, a new grou6 of oligarc%s, unfamiliar wit% t%e industry and disinclined to invest, were suddenly in t%e 6osition of controlling ?ussia>s oil com6anies* 3it% declining 6roduction and low 6rices for oil, t%e ?ussian economy went into stee6 decline* Dncreases in ?ussian oil 6roduction, and wit% it ?ussia>s economic recovery, coincided wit% rising oil 6rices (eginning in "arc%, 1000*; 4ee www*wilsoncenter*orgAinde$*cfmS
to6icTidW1H,HPfuseactionWto6ics*eventTsummaryPeventTidWH-/1G,

, p. 19

ii& su66ort an efficient and 6roductive $rivate sector as well as encourage =oint ventures (etween t%e state #$u:lic sector& an! $rivate sectors ((e t%ey domestic or foreign)* 5overnment will (e limited to t%e :asic services for citi,ens (suc% as 6olice and fire 6rotection, education, social safety net, 6ostal service, etc*) 6rovided t%at t%ey increase t%e well (eing of t%e 6o6ulation* iii& intervene in a national economy to rectify 6ro(lems of t%e free market* <%is 6rocess was :validated> (y t%e t%eories of Britis% economist 2o(n Maynar! 7eynes (1//G& 10HM), w%o in t%e 10G-s advocated t%at governments intervene via fiscal and monetary measures to mitigate t%e adverse effects of (oom and (ust economic recessions and t%e serious, on&going 3orld 5reat 9e6ression D, w%ic% (egan in 10,0* His ideas are t%e (asis for w%at is known as Oeynesian economy t%eory* 7eynes overt(re* t(e ol!er i!eas of neoclassical economic t(eory t(at claime! free mar4ets *oul! automatically a!Must (for e$am6le, (y 6roviding :full; em6loyment as long as workers fle$i(ly ada6ted to t%e need to reduce t%eir wage demands in times of economic crisis* :Collowing t%e out(reak of 3orld 3ar DD, )rote Time Maga-ine in 1000, OeynesRs ideas concerning economic 6olicy were ado6ted (y leading 3estern economies* 5uring t(e />=.s an! />A.s9 t(e success of 7eynesian economics *as so resoun!ing t(at almost all ca$italist governments a!o$te! its $olicy

, p. 20

recommen!ations0H Time concluded t%at Oeynes :radical idea t%at governments s%ould s6end money t%ey donRt %ave may %ave saved ca6italism*X 7eynesVs influence *ane! in t(e />D.s, 6artly as a result of e$cessive government regulation t%at %ad (egun to afflict t%e Anglo&American economies (y t%e end of t%e 10M-s, and 6artly due to criti'ues from suc% economists as Milton Frie!man (101,&,--M) w%o, from %is (ase at t%e University of C%icago, argued governments could not well regulate t%e (usiness cycle t%roug% fiscal 6olicy* But, t%e advent of t%e world financial crisis in ,--/ %as caused a return to Oeynesian economics t%at %as 6rovided t%e t%eoretical under6inning for t%e 6lans of suc% world leaders as President B(ama and U*O* Prime "inister 5ordon Brown as t%ey seek too timidly to 6revent 3orld 5reat 9e6ression DD, t%roug% w%at D %as called t%e :Active&4tate*; (e conce$t of 'ctive "tate *as first $resente! in my />AD :oo4 The Mexican Revolution: Federal Expenditure and Social han!e Since "#"$ #2ames 30 3il4ie9 Berkeley@ University of California Press, first edition 10M.U second edition 10.- and in t%e revised and enlarged editions in 46anis% (eginning in 10./@ %a Revoluci&n Mexicana '"#"$("#)*+: Gasto Federal , ambio Social
("#$ico, 9*C*@ Condo de Cultura Econ!mica, 10./)*

%tt6@AAwww*6rofme$*orgAme$icoandt%eworldAvolume/A1winter-GA-Ginde$1*%tm Bn de(ate a(out my conce6t of t%e Active 4tate, see "iguel ?ivera&?Nos, :La Posrevoluci!n "e$icana y la Estimaci!n de 2ames 3ilkie del Cam(io 4ocial@ La revisi!n de un de(ate,X .conom/a "nforma (U A", Ymero G1H, Ce(* de ,--G), 66*
HH&7,U also@

Bn Oeynes, and t%e article from t%is 'uote any many ideas for t%is summary of Oeynesianism are drawn, see %tt6@AAen*wiki6edia*orgAwikiA2o%nT"aynardTOeynes (9eem(er 10, ,--0)*

, p. 21

www*6rofme$*orgAme$icoandt%eworldAvolume.AHfall-,A6osrevolucionTme$icana* %tml Cor furt%er analysis of t%e Active 4tate, see my X4i$ Ddeological P%ases in "e$icoRs RPermanent ?evolutionR 4ince 101-X, in 2ames 3* 3ilkie, ed*, Society an! .conomy in Mexico (Los Angeles@ UCLA Latin American Center Pu(lications* 100-)* Bot% Active 4tatism and 4tatism will use differing degrees of "tate Ca$italism (as in "e$ico, 10.-&10/,, w%en 6residents decided to s%ift from 'ctive "tatism to "tatism, nationali)ing ever more amounts of domestic and foreign 6rivate ca6ital on t%e t%eory t%at t%e 4tate %as : o eed to 4%are; 6rofits wit% t%e 6rivate sector), or (e (ased on t%e idea t%at t%e 4tate (e ownerA controller of almost all ca6ital (as in t%e 4tate Ca6italism of Communist ?ussia and C%ina u6 to 10/0)* 4tate Ca6italism may involve t%e s%aring (etween t%e 4tate and an emerging 6rivate sector control of money and 6rofits, as in ?ussia and C%ina since 10/0, and in "e$ico (etween 10G/ and 10M0 as well as since 10/, w%en "tatism gave way to t%e 'ctive "tate* (Dn C%ina and ?ussia today t%e 4tate s%are is well over M-8 of 59P, com6ared to t%e U*4* s%are of a(out HG8, and "e$ico s%are of a(out ,.8* 4tatist (and some Active 4tatist, as in "e$ico) systems tend to develo6 One-Party 5emocracies or Official Parties to =ustify (often t%roug% fraudulent elections andAor t%e 6urc%asing of votes) to kee6ing t%e 5overnment in :6ermanent 6ower*;

, p. 22

Bn t%e one %and t%e develo6ment 6rocess re'uires a strong legal system and a(ility to redress citi)en com6laintsU on t%e ot%er %and, to successfully do so re'uires an Active 4tate to mediate (etween aut%oritarianism and anarc%y* 3%en develo6ment fails, a vicious circle takes 6lace@ 4tatism in counteracted (y Anti&4tatism forces* <%is vicious circle is (roken w%en t%e Active 4tate emerges*

<HE "EEDCA CA4E D 3B?L9 CB <EE<


"e$ico %as %ad a strong %istory of government "tatist Centralism dating (ack to its foundations under t%e Cro*n of "$ain, 1710&1/,1, a %istory reinforced (y Porfirio 56a, (1/.M&1/0/)* (ree $resi!ents #/>A=-

/>@-& soug(t to im$lant "tatism an! "tate Ca$italism9 re!ucing an! severely limiting t(e role of t(e $rivate sector* But Anti&4tatists %o6e to give t%e 6rimary role to t%e 6rivate sector, es6ecially (y selling state&owned enter6rises (suc% as PetrGleos Me)icanos and t%e %uge "tate Electrical Com$anies)* <%ey seek to assure t%at former state agencies (suc% as airlines, 6orts, railways, manufacturing industries, tele6%one system), w%ic% %ave already (een sold, remain in 6rivate %ands* 4tatist Bfficial Parties (in "e$ico, Cu(a, Jene)uela, ?ussia, C%ina, etc*) s6eciali)e in esta(lis%ing :Pu(lic Com6anies; run wit% few e$ce6tions very inefficiently@

, p. 23

Pu:lic Com$anies in "e$ico %ave meant government-o*ne! entities9 a meaning t%at Anti&4tatists %ave (een trying to overcome since 10/G to give it t%e meaning used (y t%e (iggest stock market in t%e worldQ t%at of t%e U4A* -n Mexico .public/ means in !eneral terms .b, and 0or the !overnment1 2hich1 via a van!uard o0 politicians and .diputados

de partido/ '2ho

represent political parties1 not citizens+ and 2ho administer a00airs on behal0 o0 the people3/ Mexico4s hamber o0 5eputies has 6$$ members elected 0or 7(,ear terms1 7$$ are directl, elected and 8$$ are elected accordin! to the proportion o0 the votes 2on b, their part,3 These 8$$ are not elected but named b, their political part,3 5iputados de Partido do not campai!n 0or popular votes1 but do campai!n 2ithin their political to be named to represent their political part, in on!ress3 9ence the sa,in!: .Mexico is !overned b, a .parti(docrac,/1 not a democrac,3 'Proportional votin! 2as instituted in Mexico in the earl, "#*$s and has been expanded over time3+ Thus1 Mexican citizens hold parti(docrac, in lo2 esteem3 Parti( docrac, is a ma:or obstacle that prevents chan!e in Mexico1 2hich has not been able to ;eep up 2ith the e00ective chan!es in such countries as <razil =Mexico4s rival 0or leadership in %atin >merica and the ?orld3

, p. 24

Parti(docrac, shields Mexicos hamber o0 5eputies 0rom bein! accountable to voters3 -n @3S3 politics1 .public/ means the broad !eneral non(!overnmental populace 2hich monitors and ma;e demands upon the !overnment that is accountable to voters3 The @3S3 public holds !overnment accountable in direct election o0 candidates3 <%e word :6u(lic; in t%e U4A also includes Pu:lic Com$anies t(at are o*ne! :y s(are(ol!ers w%o (uy and sell in t%e stock markets (as com6ared to :Private Com6anies;, w%ic% do not sell stock (ecause t%ey re6resent families or small grou6s w%o do not want to fragment t%eir control)*
Curt%er, in t%e U4A, t%e (road general 6u(lic tends to dislike :t%e government,; w%ic% is seen (as in most countries) to (e (ureaucratic, wasteful of time and money, inefficient, and %eartless, not to mention rigid (as in t%e <4A rules announced t%e day after C%ristmas ,--0 t%at during t%e last %our of a flig%t into t%e U4A, air 6assengers get no water or ?$, (a(ies get no (ottled milk, no toilet for anyone even wit% diarr%ea or kidney 6ro(lems, no com6uter, no D6od, no (ooks, no film in t%e ca(ins, etc*)* 3%y %as t%is cra)y :torture; of air 6assengers (y <4A (een necessaryS Z<%e answer involves t%e attem6t to :cover u6; t%e U*4* government failure to catc% t%e would&(e crotc( :om:er9= Imar Carouk A(dulmutalla(* Bmar was not fully searc%ed as %e (oarded t%e 6lane in igeria nor w%en %e c%anged 6lanes in Amsterdam* (U*4* aut%orities %ad failed to connect t%e dots@ Umar>s fat%er %ad denounced %im multi6le times at t%e U*4* Em(assy and in meetings wit% t%e CDA in igeria as a dangerous "uslim, Umar %ad (een denied a visa to return via England, %e (oarded %is flig%ts from igeria to 9etroit wit%out luggage, 6aid [,,/G1 cash for %is ticket,M and %e c%ose a seat over t%e wing w%ere %e sat over t%e 6lanes> fuel tanks to 6osition %is PE< (om( so t%at it could cause multi6le e$6losions)* Curt%er, U*4* intelligence seems to %ave forgotten t%at (om(ers may not seek to (low u6 a flig%t during t%e last %our, (ut anytime&&t%e would&(e s(oe :om:er Ric(ar! Rei! on 9ecem(er ,,, ,--1, %ad %idden t%e %ig%ly e$6losive PE< in %is s%oes, a 6lace w%ic% was not re6eated (y Umar, ?eid did not try to lig%t %is s%oes during t%e last %our of %is flig%t (ut over t%e Atlantic two %ours after leaving Paris* o wonder U*4* citi)ens tend to (elieve t%at government agencies are not staffed wit% officials w%o lack common sense* Because of t%e 6o6ular tendency to see U*4* (ureaucracy as %o6elessly %el6less (as in t%e case of t%e :crotc% (om(er;, a(ove), even t%e rare U*4* government owners%i6 of efficient 6u(lic utilities is now wrongly ignored@ <%e most famous e$am6le of a successful 6u(lic utility owned (y t%e U*4* government is
5

Umar concealed %is :6ackaged (om(; as a 6rivate (ody&6art %idden, :naturally,; in %is crotc% Qsome o(servers 6referr to call %im t%e :6enis (om(er;, suc% a (om( not s%owing u6 on t%e new full&(ody $&ray mac%ines installed at U*4* air6orts in ,-1-* 6 SeeG ///.nairaland.co-1ni)eria1topic:! !51%.+.ht-l

, p. 25

t%at of t%e ennessee Kalley 'ut(ority # K', w%ic% covers M states (eyond <ennessee)* <JA was created in 10GG (y C9? to develo6 flood control and electrical energy as well as =o(s during t%e 9e6ression (10,0&10H1)* <%e <JA used its 6rofits in t%e 6u(lic interest w%ile kee6ing consumer rates low* <JA originally 6rovided for river navigation rules and t%e (uilding of dams as well as t%e generation and distri(ution of all electricity in its region, w%ere it %eld mono6oly* <o survive t%e 6ressure on Congress to sell <JA to t%e 6rivate sector, in 1000 a com6romise was reac%ed t%at 6ermits t%e 6rivate com6anies to serve as t%e local distri(utors of <JA 6roduced electrical 6ower* <JA is t%e nation>s largest 6u(lic 6ower com6any* <%roug% 17/ locally owned distri(utors, <JA 6rovides 6ower to a(out /*. million residents of t%e <ennessee Jalley* Beginning in t%e early 10/-s, U*4* President ?onald ?eagan, U*O* Prime "inister Margaret (atc(er, and Bolivian Presi!ent K6ctor Pa,-Estenssoro*. set out to dismantle 4tatism (and its Central Planning) t%at %ad (een 6romoted in ric% and 6oor countries (y "ar$ist&oriented leaders and academics w%o argued t%at "arket Ca6italism %ad failed* By 10/0 it was clear 4tate Ca6italism %aving (een seen to %ave failed to im6rove life for t%e masses, and t%e Cold 3ar fell along wit% t%e millions of %ammer (lows t%at literally smas%ed into 6ieces t%e Berlin 3all and t%e myt% of t%e U44?, t%us o6ening Eastern Euro6e and ?ussia to consumerism in w%ic% t%e :workers; could demand a tele6%one, a fa$ mac%ine, an auto, and (etter food and %ousing as t%ey won t%e 6ossi(ility of moving u6 to t%e middle class* C%ina followed in t%e 100- (y linking %is future to 6roducing for U*4* consumers, w%o were %el6ed (y C%ina>s investments in U*4* <reasury (onds t%at were turned into and e$6ansion of U*4* credit markets, ena(ling millions of 6ersons to (uy %omes as well Fn Spanish:speaBin) countries* -ost persons ha6e t/o last na-es* father's na-e first and -other's na-e second. Thus* 2 ortes-#i* is 76p7enated 7ere :as at IC+' %e'istrar;, and to sho/ /hich na-e pre6ails in co--on use* F underline it. So-e are Bno/n by first na-e* e.). Cuauhtmoc -Drdenas So*=rAano* /hich F put in italics* /ho is also Bno/n in the Mexican press and here as --S.

, p. 26

as C%ina>s ine$6ensive 6roducts* 3orld consumers would also (uy in t%e free market w%at %ad (een 6ro%i(ited (y Central Planning as wasteful 6roducts* Dndeed, muc% of w%at C%ina launc%ed into t%e e$6anding free markets of t%e world %as (een c%ea6 :=unk; including contaminated goods, foods, and medicines* Consumers said@ :Buy, (uy, (uyV* And consumers did (uy, as did industrialists and financiers, t(us !riving u$ t(e $rice of ra* materials an! interest rates until consumers coul! neit(er :uy *(at factories $ro!uce! aroun! t(e *orl! nor re$ay t(e loans ta4en out to :uy , for e$am6le, autos, %omes, com6uters, educational degrees, and vacations* <%e 6ro(lem of re6ayment of loans simultaneously arose for nations and t%eir (anks t%at %ad i) invested in t%e U*4* markets as well andAor ii) followed t%e U*4* :model; of com(ining into 6ackages so&called Collateri,e! 5e:t O:ligations #C5Os&, w%ic% mi$ed many good mortgages and (ad loans su66osedly to make :safe; investments for resale to (uyers suc% as retirement systems worldwide), t%e resale of original loans (eing used to grant more credit to (orrowers (y suc% countries as England and t%e ordic ations* Buyers of C9Bs suddenly reali)ed t%at t%e 6ackages included good loans an! (ad loans (t%at %ad (een mi$ed su66osedlyl to reduce risk even as t%ey e$6anded credit (y reselling t%e (unc%ed loans), and t%at t%e no(ody knew %ow many loans were good in eac% 6ackage* Bnce a growing 6ercentage of loans could not (e re6aid, t%e value of C9Bs colla6sed, along wit% t%e world economy* <%e world su(&6rime mortgage crisis (,--.&& ) %as taken at least S? trillion out of t%e U*4* economy (y t%e end of ,--0* Curt%er t%e Bus%&C%eney duo (,--1&,--0) took out S/0= trillion out of t%e American economy to :6acify@ and :re(uild; Dra' and Afg%anistan* \F%>S9 FOR?>R5# Anot%er S/0= trillion will (e needed to carry out B(ama>s surge in Afg%anistan and to 6ay for t%e long&term medical care of U*4* troo6s cri66led 6%ysically and mentally in

, p. 27

t%ose conflicts* These losses threaten /hat is left of the -iddle class after the @ush:"heney financial debacle.T <%e resulting U*4* and world financial crisis (,--/&& ) effectively resulted in t%e

U*4* :(ailout; of domestic an! foreign banks t%roug% low or no interest :gifts; to t%em wit% out any conditionsQas is discussed (elow* <oo, Bus% (ailed out and t%e insurance giant AD5, w%ic% owing to a lack of any real regulation or :real; insurance %ad 6ut toget%er t%e %ig%&risk C9Bs (w%ic% did not contain all :good mortgages; t%at AD5 %ad advertised) and sold t%em in 1G- countries around t%e world* Unfortunately t%e mortgages %ad originally sold (een at low&interest :teaser; rates to millions in t%e U4A w%o eventually could not make t%eir mont%ly 6ayments, t%us (ecoming a ma=or contri(utor to t%e free)ing&u6 of t%e worldwide financial system and causing a credit crisis everyw%ere* (U*4* (anks are too often not sure w%o owns t%e (ad mortgages t%at t%ey sold as 6art of C9Bs to investors around t%e world, %ence making foreclosure on %omes difficult and sometimes im6ossi(le andAor resale a 6ro(lem*) Lamenta(ly, t%en, Presidents Bus% and B(ama did not esta(lis% any conditions t%at (anks re&loan government (ailout money worldwide to citi)ens in need of credit to (uy <Js, autos, (uy %omes (and refinance e$isting %ig%&interest %ome mortgages)* <%e (anks not only refuse to loan (ut %ave suddenly reduced t%e lines of credit 6reviously a66roved for users of credit cardsQeffectively ruining t%e credit of millions w%ose CDCB credit score falls as t%ey :a66ear; to %ave :ma$ed out; t%eir credit lines and a(ility to (orrow, t%us 6reventing %ouse%olds and (usinesses to com6lete t%e (uy& 6roduce&sell cycle, wit%out w%ic% com6anies continue to layoff workers* "oreover, t%e (anks %ave raised interest rates for late 6ayment of credit cards to a 6enalty rate of G78

, p. 28

AP? or more* (<%ere is now t%e 6ossi(ility to o6t out of cards w%en t%e interest rates rise, (ut t%ose w%o do so may %ave t%eir mont%ly 6ayments dou(led*)

(is rec4less :e(avior :y I0"0 :an4s (as severely !amage! Me)icos e)$orts to t(e I"'9 w%ic% coincided wit% t%e -..@ s*ine-flu crisis cause! :y t(e I0"0 transnational com$any "mit(fiel! Farms9 and t%is in turn caused t%e tourist in!ustry to colla$se* At t%e same time, tourism %ad already (een im6acted (y t%e rise of 4i!na$$ings in Me)ico and t%e collateral loss of life caused (y t(e 5rug 3ar :et*een cartels in Me)ico an! t(eir :attle *it( t(e Me)ican military see4ing to :rea4 t(eir rising $o*er #-..A-&, as we will see (elow*

<%us, since taking office in early ,--0, President B(ama %as moved t%e U4A from Anti&4tatism (w%ic% %ad (een esta(lis%ed for ?e6u(lican (y Presidents (y ?onald ?eagan in words if not actions) to t%e current Active 4tatism needed to save t%e Private Ca6italism of 3all 4treet from its e$cessive greed* Presidents Bus% and B(ama say t%at t%ey neit%er moved toward 4tatism nor 4tate Ca6italism*/ Under t%e latter, t%e 4tate does not esta(lis% socialism (ut ca6italism directed (y t%e 4tate* Presidents Bus%, B(ama and t%e U*4* Cederal ?eserve %ave s6ent, lent, and invested in (anks and com6anies more t%an [, trillion dollars since ,--/, certainly t%e work of Active 4tatists*
@ob (a6is et al.* 2After the @ailout* Washin)ton's the @ossG ESA* Fnc.D The State of "aptialis-*4 Wall Street Journal * 12:!+:+$* httpG11online./s=.co-1article1S@1261$55156% !+6 65.ht-l7 -odIWSNRhpR-ostpopRread
#

, p. 29

4tatist Bfficial Parties tend to sei)e land from 6rivate owners, e*g*, to esta(lis% :6u(licly&owned farms;@ 4talin and "ao esta(lis%ed Collective (4tate) Carms (often in t%e guise of :coo6eratives ownedAmanaged (y individual workers;U Hugo C%Ive) %as esta(lis%ed state&run farms as well as :community&controlled coo6eratives,; w%ic% are controlled (y t%e government t%roug% su(sidies* In Me)ico9 t%e idea of t%e rural land owned (y communities in t%e form of EMi!os #Communal Farms& %as dominated t%inking since time immemorial* :E=idos; e$isted in different forms in Pre&Colonial "e$ico and ew 46ain as well as 46ain* E=idos traditionally were not controlled (y individuals (ut (y t%e local Community Council, w%ic% would set 6art of t%e land aside for eac% of two activities@ a& common use of a small 6art of t%e E=ido (y all families for meetings, ceremonies, education, and community decisions a(out :& %ow farming and ranc%ing are take 6lace, according to one of t%e following two o6tions@ i& collective (y t%e community, or ii& :individual; use of communal land worked assigned as 6lots assigned (y t%e Community Council to eac% family, w%ic% can (e reassigned to ot%er 6lots if t%e Council so decides*

, p. 30

As we see (elow, President +C,aro CCr!enas (10GH&10H-) 6referred t%at E=idos (e worked (y t%e E=ido mem(ers as a grou6 in : Collectively-O$erate! EMi!os;, (ut President Plutarco El6as Calles 6referred t%at E=idos (e worked in :In!ivi!ual Family-O$erate! EMi!os; (as did President Benito 2uCre, (aut%or of t%e Constitution of 1/7.) and President Carlos "alinas !e 8ortari (10/G&100H)* Bot% 2uCre, an! "alinas c%anged "e$ico>s laws (y c%anging t%e Constitutions of t%eir time to grant individual title to eac% EMi!atario (farmer on an E=ido) so t%at could %ave t%e o6tion to sell, rent, or work t%eir land coo6eratively wit% 6rivate and land %olders* 3it(out title to t(eir lan!s9 eMi!atarios can not $ut u$ t(eir lan! for collateral to o:tain loans9 rent9 or sell t(eir lan!s9 all illegal if t(e community councils retain t(eir tra!itional control0 (us9 eMi!os an! eMi!atrios cannot :uy on cre!it tractors9 truc4s9 an! cars or :orro* to invest in canals to c(annel *ater an! silos to store t(eir grains0 "ilos are im6ortant store cro6s after %arvest (w%en sale 6rices are low) and storage allows t%e farmers to wait for 6rices to rise in winter* Bt%erwise it is t%e 6rivate mi!!lemen w%o (uys t%eir cro6s c%ea6ly and %as t%e credit to (uild silos and store t%e cro6s until market s%ortages lead to %ig%er market 6rices, at least until t%e ne$t e=ido cro6 %arvests drive sales 6rices down (ecause of t%e new :sudden; glut of agricultural commodities* ]

, p. 31

E=idatarios %ave long asked@ 3%y is it t%at t%e middlemen, w%o (uy from us c%ea6ly, make all t%e money (ecause t%ey %ave silos and we do notS 3e sell w%en 6rices are low to t%e middlemen w%o wait to sell :our; cro6s w%en 6rices are %ig%* 2uCre, an! "alinas use! t(eir terms in t(e $resi!ency to try to :rea4 t(e $o*er of EMi!os9 *(ic( t(ey !eeme! to :e living in a communistic ty$e of su:sistence farming9 $ulveri,ing t(e lan!Qarguing (correctly) t%at 6o6ulation growt% is infinite w%ile availa(le land is finite* <%ey saw t%e need to integrate E=idatarios into t%e national economy as 6roducers and consumers, t%us encouraging innovation in 6oor rural areas ot%erwise de6endent u6on credit from t%e central governmentQcredit always too little and too late, if even arriving* <%ese matters related to land owners%i6 in "e$ico %ave generated (ree +egal +an! Reforms-- in t(is case reform meaning Revolution in *(ic( t(e masses see t(eir life turne! u$si!e !o*n as eac( Reform eventually reac(es t(em0 Dn "e$ico (and in many develo6ing countries) t%ese :?evolutions; in land tenure %ave (een seen in 6ositive terms (y elites and folk w%en eac% (enefitedQseen in negative terms (y t%ose w%o did not :(enefit*; Usually elites and folk did not (enefit simultaneously* Revolution is defined differently (y t%e general 6u(lics of "e$ico and t%e U4A* "e$icans, living in a :6artially develo6ed; nation, %ave

, p. 32

tended to see c%ange coming t%roug% RevolutionP Americans0tend to see c%ange coming t%roug% evolution0 <%us, "e$icans tend to view Political ?evolution as involving long&term traumatic u6%eaval to attain economic and social c%ange, (ut most Americans tend to view Political ?evolutions as (eing only involving s%ort&term u6%eavals t%at can t%en enter into long&term evolutionary social and economic c%ange* But w%at is :Evolution;S As early as 10G. t%e "nternational .ncyclo e!ia of Social Science carried articles 6ositing t%at ?evolution and Evolution are two sides of t%e same :coin;, evolution (eing caused (y s6ontaneous :"utation; (t%e (iological term for :?evolution;)* Dn recent times, t%e revolution in 6lant and %uman genetics %as (een a(le to cause controlled :"utations; (always t%e goal of t%ose undertaking 'uick, s%ort&term 6olitical revolutions)* <%us orman Borlaug, w%o s6ent over fifty years cross&(reeding 6lants in "e$ico to create t%e Cirst and 4econd :5reen ?evolutions; for t%e world, su66orts t%e develo6ment of The ESA is the only nation in the /orld /ith 2A-erica4 in its na-e* hence the use here of the ter-s 2A-erica4 and A-ericans4. HSo-e 3atin A-ericans feel that they too are 2A-ericans4 because they li6e in "entral and South A-erica* but that usa)e is irrele6ant to ho/ the /orld is di6ided into nations. Fn Mexico Hpart of ?orth A-ericaL* the ESA )enerally is called HerroneouslyL 2?orth A-erica*4 as if "anada does not exist. Fndeed* in this epoch of the ?orth A-erican 8ree Trade Area H?A8TAL* Mexicans* "anadians* and A-ericans are all 2?ortea-ericanos4 li6in) under the fra-e/orB for econo-ics relations for trade and finance Hincludin) international treaties that )o6ern banBin)* in6est-ent* and taxesL.
$

, p. 33

5"Bs (genetically modified organisms) as doing efficiently w%at %e 6reviously %ad to do inefficiently (y transferring w%ole gene 6ools rat%er t%an s6ecific ones*19 A researc%ers into mani6ulation of genes to cause "utations t%at can reverse disease, re(uild lost nerves, tendons, and lim(s as well as immediately save lives, %ave s%ow t%at "utations may take centuries, decades, mont%s, and now made to occur wit% immediate s6ontaneity*11 Dronically, Americans do use suc% terms as :Dndustrial ?evolution; and :Dnformation ?evolution;, t%e former taking a century from 1.7- to 1/7-* <%e Dnformation is often only t%oug%t of as %aving occurred t%roug% t%e Dnternet since t%e 10.-s, (ut t%is is only t%e 4econd Dnformation ?evolution* <%e Cirst occurred during t%e s6read in t%e 10t% century of 6ostal and telegra6% services as well as railroad communication all of w%ic% %ave (een com6lemented (y suc% ,-t% century contri(utions suc% as co6ying and fa$ mac%ines, Cede$Aovernig%t mail and t%e tele6%one (radio and land line 6%ones as well as t%e cell 6%one revolution now swee6ing t%e world*) Parts of t%ese ?evolutions took long 6eriods to (e successfulU t%e Dnternet
1+

4ee 1orman E0 Borlaug (w%o won t%e 10.- o(el Pri)e for %aving made t%e Cirst 5reen Agricultural ?evolution 6ossi(le), :4cience vs* Hysteria; (*all Street 0ournal, 2anuary ,,, ,--G), for an e$am6le of %is re(uttal to some grou6s w%o argue against :Fran4enstein 8MO Foo!s;Qa conce6t t%at Borlaug sees as trying to make 6ersons %ysterical and fearful* 4ee@ %tt6@AAonline*ws=*comAarticleA-,,4B1-HG10.71.,H.1/M7/H,--*%tml
11

Cor new analysis of %ow a s6ontaneous "utation created t%e gene for colon cancer in one family coming to t%e ew 3orld in t%e 1MG-s (t%e gene t%en s6reading to t%e world), see <%omas H* "aug% DD, :Early U*4* family 6assed down gene (lamed for many colon cancer cases,; Los Angeles Times, 1&7&,--/, www*latimes*comAnewsAscienceAla&sci&colon7=an-7,1,,,.-/7G*story

, p. 34

?evolution only decades, and t%e cell 6%one %as lea6&frogged to (ecome a Cast&<rack ?evolution since ,---*1, "e$icans go (eyond t%e a(ove to use :?evolution; (roadly to cover t%e recurring a(ru6t c%ange in direction of 6olitical, economic, and social 6olicy, as is seen in t%is 4c%ema*

C+'RIFIC' IO1 /0 Dn t%is course we seek to find t%e .invisible patterns/ t%at %el6 us to understand visi:le (istory9 *(ic( is foun! t(roug( inter!isci$linary analysis of economics9 $olitics9 sociologyUant(ro$ology9 religion9 military (istory9 $syc(o(istory9 fol4lore #follo*erlore&9 Elitelore #lea!erlore&9 etc0 (us9 *e see4 to !iscover invisi:le $atterns :y e)amining t(e same $eo$le an! events over-an!-over again from !ifferent angles an! vantage $oints in time0 <%is 4c%ema offers a +inear Overvie* to 6ut t%e lectures into conte$t* 4ome lectures are Linear and some are 1onlinear (Curvilinear)0 (is overvie* is not com$lete :ut rat(er suggestive of some of t(e t(emes t(at are !evelo$e! in t(is course0 (us9 *e (ave (ere a frame*or4 from *(ic( to !elve into multi$le issues t(at are not ta4en u$ (ere0 Because t(e em$(asis (ere is on $olitics an! socio-economic matters9 analysis may seem more negative t(an if Me)icos ric( culture *ere t(e focus0 -0 +ast 1ames of $ersons in +atin 'merica an! ot(er $arts of t(e *orl! usually com:ine t(e fat(ers last name an! t(e mot(ers last name9 t(us Kicente +om:ar!o- ole!ano (y$(enate! (ere an! :y t(e IC+' registrar so as not to confuse t(e fat(ers last name as a mi!!le name& officially gives t(e fat(ers name first an! t(e mot(ers name secon!9 :ut eac( $erson may c(oose eit(er last name for common usage0 Kicente is often calle! +om:ar!o :ut not ole!ano0

12

See httpG11in6entors.about.co-1library1/eeBly1aa+ +#$$.ht-

, p. 35

II0 CNC+E"F "CHEME =0. FOR '1'+NJI18 NPE" OF " ' I"M (Like any sc%eme, t%ere are e$ce6tions to t%e following styli)ation* Dn eac% 6eriod new 6ro(lems and o(stacles to develo6ment were identified in t%eir own time (ut eit%er ignored or only 6artly resolved, often (ecause t%ey were only 6artly resolved and (ecause new generations did not follow t%roug% on t%e :old; w%en new ones were (eing identified* <%us, "e$ico continues to face a series of accumulating, misunderstood andAor 6artially :resolved; 6ro(lems and o(stacles t%at are :rediscovered; again and again* <%is outline offers t%e framework into w%ic% lectures will fit many %istorical as6ects and 6ersons not listed %ere*)1G

HE CNC+E"

/0 "tatist ',tec Con<uest an! 8overnment $rior to /=-/ * Dn

a%ua times,

t%e A)tecs set u6 a system w%erein <HE leader ruled wit%out any 'uestions and certainly wit%out any democracy* But, communities %ad local caci'ues ((osses) to carry out orders and also moderate demands andAor inflict t%e caci'ues own demands* Po6ulation of Central "e$ico reac%ed ,7 million (y 1710, a total not reac%ed again until early 107-* (9ata on 6o6ulation given %ere re6resent estimates, de6ending on sam6ling (y different agencies e$ce6t for censuses w%ic% are sometimes more inclusive, and vary (y met%ods, including 6eriods of years, seasons of year, and 6o6ulation livingAworking in t%e U4A&&often many millions since 101-)*1H
8or alternati6e chronolo)ies* see www*indiana*eduA^=a%Ame$icoAma6stime*%tml and www*cidac*orgAvnmAli(roscidacAunder&)edilloAa6endi$&a*P9*C* 1% 8or exa-ple* Meyer:Sher-an:(eeds su))est that the total /as !+ -illion* /hich /as not
1!

, p. 36

(All 6o6ulation data 6resented %ere are from@ 2ames 3ilkie, Booklet of Charts on Mexican HistoryU 2ames 3ilkie, ed* Statistical Abstract of Latin America 1SALA2, Jol* G/, <a(le 71G (,--,)U and U* * 6o6ulation series* Com6are t%e 6receding to researc% (y ?o(ert "cCaa, w%o e$amines differing views of 6o6ulation statistics for "e$ico and delves into data (y raceAet%nicity and (y region* 17 )

-0 "tatist "$anis( Con<uest #/=/>-/=-/& an! 8overnment after /=-/* 9uring t%e Colonial Period (17,1&1/,1), t%e 46anis% su(stituted t%eir 4tatist 4ystem on to6 of t%e defunct system of :A)tec 4tatism,; and t%e 46anis% did so under a series of Jiceroys, w%o ruled as t%e :alter ego; of t%e far away Oing of 46ain* ew 46ain administered for t%e 46anis% 4tate all land (and everyt%ing under t%e surface) as well as all economic 6roduction, (ut granted rig%ts and licenses to a favored view to e$6loit t%ose rig%ts* Local officers moderated demands made (y t%e Crown and Jiceroys (y 6romising to o(ey wit%out com6lying (:B(ede)co 6ero no cum6lo;), and t%e latter often inflicted demands of t%eir own* <own Councils e$isted (ut (in contrast to t%e 1G American

reached a)ain until early 1$55* accordin) to series in WilBie* ed. S'*'* Table 51%. 15 ?o(ert "acaa, :<%e Peo6ling of "e$ico from Brigins to ?evolution \in 101-_; (100.), www*%ist*umn*eduA^rmccaaAm$6o6revAcam(ridgG*%tm

, p. 37

Colonies), t%e Councils were not democratic and did not re6resent or allow citi)en in6ut (eyond t%e key elite* Po6ulation disastrous decline caused (y introduction of Euro6ean diseases, wars, and :enslavement; of muc% of t%e Dndigenous 6o6ulation saw t%e total fall to 1. million (y 17G, and to 1*1 million in 1M-/Qt%e low 6oint*1M <%e 6o6ulation t%en regained im6etus to reac% M*1 million (y 1/1-*

?0 Faile! 'nti-"tate Revolutions #/@/.-/@-.&9 *(ic( soug(t In!e$en!ence from "$ain0 Dnde6endence was defeated (y t%e 46aniards living in "e$ico w%o successfully saved t%emselves from %aving t%eir 6ro6erty and wealt% sei)ed in t%e anti&46anis% fervor* Alt%oug% t%e 46aniards (w%o dominated 6olitics, economics, and society) tem6orarily :won,; t%ey %ad to live in a decade of c%aotic years*

H* "tatist In!e$en!ence from "$ain9 /@-/-/@-E to Maintain "tatus Wuo0 Dnde6endence was ac%ieved from 46ain in 1/,1 w%en conservatives, w%o %ad foug%t against inde6endence from 46ain (1/1- to 1/,-), turned in favor of Dnde6endence to save t%e 4tatist system, w%ic% was under attack in 46ain itself* 3%en a6oleon D %ad taken control of 46ain and 6laced %is elder (rot%er

2ose6% Bona6arte on t%at country>s t%rone (1/-/&1/1G), as %is armies 6assed t%roug% to invade Portugal, t%e 46anis% town councils of 46ain and t%e ew

3orld finally %ad gained real im6ortance w%en, ironically, t%ey %ad refused to
16

Dn i(id, "aCaa estimates t%at t%e 6o6ulation fell only as low as H to 7 million*

, p. 38

6ledge allegiance to a Crenc% king* By 1/1, t%e town councils of 46ain %ad formulated a new Anti&4tatist Constitution, and w%en t%ey soug%t to im6lement it in 1/,1, t%e 46aniards in "e$ico (w%o also controlled Central America) reali)ed t%at t%ey t%emselves %ad to declare Dnde6endence from 46ain in order to save t%eir 6ower (ased on 4tatism* <%e 6o6ulation of "e$ico in 1/,G stood at M*/ million*1.

=0 C(aotic 'nti-"tatism versus "tatism9 /@-=-/@==* Period is c%aracteri)ed (y@ Anti&4tatists seeking 9ecentrali)ation of 6ower to t%e Provinces $ersus 4tatists in "e$ico City seeking Centrali)ation of 6ower in t%e ca6ital city* Bot% grou6s successfully drove most of t%e educated and tec%nically skilled 46aniards out of "e$ico, leaving it (y 1/,0 wit%out t%e e$6ertise necessary to kee6 t%e country as a functioning economic system* <%e result effectively (roug%t a(out c%aos as t%e 4tatist system colla6sed in continuing on&going (attles (etween generals w%o soug%t to (ecome t%e a6oleon of "e$ico, eac% attem6ting wit%out success to install a a6oleonic

4tatist system of a %ig%ly centrali)ed government, w%ic% seemed stronger t%an it turned out to (e in fact*
[FLASH TO 19th-Century FRANCE,1/ about which Miche !ur"in#ie write$ that "ro% 1&'( ) to 19(*, France +a$$e, throu-h no e$$ than "our ,i""erent
1 1#

Dn i(id, t%e estimate is t%at 6o6ulation was a(out M million* Crederick Brown tells t%is story of t%at tumultuous era in (or the Soul of (rance (,--0)* %tt6@AAonline*ws=*comAarticleA4B1---1H,H-7,.H/.-H-0HG-H7.7-,01HG.,,H-G/7,*%tml

, p. 39

con$titution$. three ,yna$tie$ /the 0ourbon$, the Or 1an$ an, the 0ona+arte$2. two re+ub ic$. three re3o ution$ /1&'(, 1&4& an, 1&5(2. one cou+ that wor#e, /Loui$-Na+o eon 0ona+arte6$ in 1&*12 an, two that were either %ere y atte%+te, /in 1&552 or "anta$i7e, /in 1&&92. two ci3i war$ /the 8une cri$i$ in 1&4& an, the Co%%une in 1&512. one ,i$a$trou$ ,e"eat to a na$cent !er%any /1&5(2 that e, to the %o%entary occu+ation o" %ore than one-thir, o" the country. two %a9or "inancia $can,a $, in 1&5' an, 1&9:, that $we+t away %o$t u++er- an, %i,, e-c a$$ $a3in-$. an,, "ina y, a turno"-the-century 9u,icia $can,a ) that +ro%+te, a "ar-reachin- aw in 19(* %an,atin- the $e+aration o" church an, $tate;<

Ho6es to sto6 anarc%y (y im6osing order were das%ed (y two facts a) t%e new ?e6u(lic of "e$ico assumed all t%e de(ts of ew 46ain and t%e country

started out in unsta(le 6overtyU and () t%e Presidency c%anged %ands GM times (etween 1/GG and 1/77, t%e average term lasting a(out .*7 mont%s* <o survive, Presidents %ad to re&im6ose im6ort ta$es t%at %ad (een a(andoned at Dnde6endence, esta(lis% sales ta$es, and sell mono6olies to t%e 6rivate sector (as t%e Crown %ad done)* Dm6ort ta$es caused t%e e$6ansion of smuggling and (ri(ery, sales ta$es were circumvented, and mono6olies could not generate 6rofits to s%are wit% t%e government in t%e form of income ta$es* <%is struggle was es6ecially influenced (y 4tatist Antonio L!6e) de "anta 'nna, w%o occu6ied t%e Presidency eleven times (etween 1/GG and 1/77* As a general of t%e army, %e %ad led "e$ican troo6s (a) to victory at <am6ico in 1/,0 w%ere %e defeated 46ain>s attem6t to force "e$ico (ack into colonial statusU and (() to defeat in t%e 3ar wit% <e$as (1/G7&1/GM)*

, p. 40

"anta 'nna restore! "tate $o*er over all lan!s an! su:soil rig(ts in /@=?9 (ut lost %alf of "e$ico in %is war wit% t%e U4A, 1/H7&1/H/* He was in and out of 6ower so often during %is ,, years a ma=or influence in "e$ico t%at %e could not esta(lis% any long&term sta(ility or Central 5overnment Power* evert%eless, 4anta Anna>s ?ecentrali)ation of land rig%ts under t%e 6ower of "e$ico City marks t%e@ First of (ree +egalF
/>

+an! Reforms* "anta 'nnas First +egal

+an! Reform *oul! $rovi!e t(e maMor rationale for regulation of lan! in t(e Constitution of /@=D an! t(e re-inter$retation of t(at Constitution of /@=D :y t(e !ictator Porfirio 56a,0 Porfirio transferre! ?-R of Me)icos lan! surface into (uge (acien!as0 (e "econ! +egal +an! Reform *oul! ta4e $lace *it( t(e *riting of t(e Constitution of />/D9 *(ic( reiterate! "anta 'nnas argument t(at t(e "tate controls all lan! rig(ts #inclu!ing t(ose a:ove an! :elo* groun!& an! clarifie! t(e lan! regulations as a!o$te! :y 2uCre, in t(e Constitution of /@=D to $revent t(e rise of ne* (acien!as--2uCre, (a! faile! to outla* t(e rise of ne* (acien!as to re$lace t(e ones (e :ro4e u$0 (e Constitution of

/>/D re<uire! !istri:ution of lan! to communities9 not in!ivi!uals0 +an! collectively (el! cannot :e $ut u$ for collateral to o:tain loans9 t(us *as
1$

4ee ?osario Jaro Berra, %a Re0orma >!raria en MAxico 5esde "B67: Sus Tres iclos %e!ales3 (5uadala=ara, Los `ngeles, "#$ico@ Universidad de 5uadala=ara, UCLA Program on "e$ico, P?BC"EE, 2uan Pa(los Editor, ,--,)* Pr!logo de 2ames 3* 3ilkie* +egal c(anges may not :e fully carrie! out all9 :ut t(ey $rovi!e t(e frame*or4 of governance t(at creates rural insecurity a:out *(o o*ns *(at9 t(us !iscouraging investment in infrastructure9 irrigation9 etc0

, p. 41

!e$en!ent for cre!it on t(e government9 *(ic( (a! little or no money for agricultural cre!it0 (e (ir! +egal +an! Reform *oul! ta4e $lace in />>-9 *(en "alinas *on revision of t(e Constitution of />/D to $rovi!e for granting o*ners(i$ of title to t(e lan! currently :eing *or4e! :y a family9 t(us en!ing com$lete control over t(e lan! t(at (a! :een (el! :y Community Councils0 Furt(er9 t(is ne* la* state! t(at alt(oug( lan! !istri:ution to EMi!os coul! continue9 it !i! not re<uire it0

A0 'ctive-"tate +egal Revolution9 /@=A-/@AA9 esta(lis%ed (y Benito 2uCre, and %is C%ief "inister 4e(astiIn +er!o de <e=ada was undertaken to develo6 t%e ?eform Laws t%at were t%en written into t%e Constitution of 1/7.* Here are t%e 6rovisions of t%e Constitution of 1/7.@ & esta(lis% civil 6ower to take registration of (irt%, marriage, and deat% from t%e C%urc% (including taking over t%e C%urc%>s %os6itals and or6%anages, (ut wit%out t%e funds to do so, led to t%e closure of many and %ealt%Asocial disaster for t%e 6oor), & esta(lis% a sound market economy (ased on weig%ts and measures consistent t%roug%out "e$ico, & (reak u6 t%e Dndigenous Communal Farms #EMi!os9 many (el! trust :y t(e C(urc(& as well as large (acien!asUlatifun!ia controlled (y t%e

, p. 42

C%urc% and a(sentee 6rivate&land owners) to distri(ute it to 4mall& and "edium&4i)e Pro6erty Bwners*

LatifundiaAHaciendas are defined as (a) %uge estates larger t%an ,,7-- acres or (() estates not used :6roductively;Qt%at is not used at all, es6ecially 6rior to t%e mid&twentiet% century* Pro(lems not foreseen (y t%e 2uIre) Land Laws@ Productivity re'uires t%e normal 6ractice of letting land :rest; in order to 6revent de6letion of soil %ealt% and to recover from %eavy use or failure to rotate cro6s* Bften if is difficult to know if land is not (eing used or :resting;* "any 6ersons see suc% land (eing :wasted; unless it is divided and distri(uted to t%e 6oor, failing to understand t%at t%e conse'uence tends to create minifundia*

Minifun!ia are undersi)ed 6lots of land t%at (arely 6rovide su(sistence agriculture and largely force in%a(itants to e$ist outside t%e marker economy* <%ey are farmed continually (ecause, if t%e land is allowed to :rest;, t%e occu6ants, cannot survive* <%e met%od of farming is slas( an! :urn agriculture, cutting and (urning of forests or woodlands to create fields for agriculture or 6asture for livestock* <%e (urning ruins t%e root structure and eventually renders soils inca6a(le of furt%er yields

, p. 43

Qsometimes for generations* 4las% and (urn :farming; %as caused soil erosion for centuries in "e$ico, wasting t%e land* Because fertili)ers are 6ro%i(itively e$6ensive, vegeta(les are too often grown in :nig%t soil; (%uman manure, w%ic% tends to cause dangerous intestinal infections unless t%e vegeta(les are well cooked*)

"mall (ol!ings may also engage in slas( an! :urn agriculture (ecause %oldings %ave (een too small to take advantage of c%ange in tec%nology suc% t%e advent of tractors as well as 6lant nutritionQeit%er organic or inorganic*,-

2uIre) effectively (roke t%e 6ower of t%e C%urc% and 6rivate %aciendas ((ot% (ased on latifundia or %uge areas of land t%oug%t to (e underused ,1), (ut t%e inadvertent result t%at %e ac%ieved was to (egin t%e 6ulveri)ation of t%e land, t%us creating minifundia (land %oldings too small to contri(ute to t%e market economy t%at %e so wanted)* <%e 6o6ulation of "e$ico in 1/7. stood at /*, million*

2+

4ince t%e 10.-s a de(ate %as emerged w%ic% favors use of :6lant nutrition; (a 6ositive term) and not :fertili)ers;* However t%e latter term includes c%emical ty6es (w%ic% are needed (ut too often used wit%out 6ro6er caution) and organic fertili)ers (w%ic% are e$6ensive)* 4ee %tt6@AAen*wiki6edia*orgAwikiAPlantTnutrition and %tt6@AAen*wiki6edia*orgAwikiACertili)era?isksTofTfertili)erTuse
21

Alt%oug% :underused; land may only (e lying fallow to let it rest (constant use will damage soil fertility) muc% land was not even used (y some %aciendas* <%e 'uestion always %as (een w%et%er or not land us underused or not used*

, p. 44

D0 "tatist Revolution un!er Ma)imilian #/@AE-/@AD& (acked (y Crenc% <roo6s, w%o sei)ed "e$ico City (1/MH&1/M.)* Em6eror Ma)imilian von Ha6s(urg, invited (y Cat%olics and ot%er anti&2uIre) grou6s, came from Euro6e to re& esta(lis% "e$ico as a monarc%y & t%e idea (eing to :end; c%aos and esta(lis% 5overnment aut%ority over t%e entire country* "a$imilian tried to im6lement t%e role of civil 6ower (ut accom6lis%ed little to esta(lis% order in t%e countryside and develo6 t%e national infrastructure* 2uCre, central government :ecomes a government in internal e)ile9 moving from state to state in t(e fig(t to regain central $o*erZin /@AD 2uCre, forces ca$ture an! e)ecute Ma)imilian0

@0 'ctive-"tate Revolution un!er 2uCre, an! +er!o #/@AD-/@DA ), seeks to im6lement as well as to continue 6rograms esta(lis%ed in t%e M t% Period, a(ove* <%ese 6residents also ado6t some measures to give t%e 4tate a more active role for t%e nation, still seeking to esta(lis% standard weig%ts and measures and a real 6ostal system for t%e entire country* (<o t%is day, t%e "e$ican 6ostal system is considered unrelia(le and corru6tQro((ing any mail t%at looks valua(le*) <%e railway linking Jeracru) and "e$ico City was finally com6leted in 1/.,* Dt took ?= years from ince$tion in 1/H. to overcome t%e difficult terrain of mountain ranges, dee6 gorges, driving rain, and disease t%at killed many %undreds of nameless workers*

>0 (e Rise of "tatism un!er Presi!ent Porfirio 56a, #/@DA-/>//&*

, p. 45

<%e 6o6ulation of "e$ico grew from 1- million in 1/.0 to 1G*M million in 10--*

>a0 From t(e 'ctive "tate to "tatism un!er 56a, #/@DA-/@@-&0 A rut%less Political 5ictators(i$ was esta(lis%ed (y Porfirio 56a, to favor t%e develo6ment of "e$ico as a %uge enter6rise loosely (ased on following t%e :model; of t%e Barons w%o were accumulating %uge fortunes in t%e U4A* (<%at t%e U*4* Barons were (ecoming known as :?o((er Barons; was disregarded (y 9Na), w%o saw t%em as w%at "e$ico neededQ:Ca6tains of Dndustry;*) C%aos was gradually ended w%en criminals were de6uti)ed as 6olice, w%o agreed to limit t%eir corru6tion* He was famous for %as motto@ Acce6t :6an o 6alo; ((read or t%e clu(, in Englis%@ :t%e carrot or t%e stick;), enforcement of w%ic% was aided (y t%e e$6ansion in "e$ico of t%e 9Na) telegra6% network during t%e 1/.-s and railways (eginning in t%e 10/-s* <%is strong President 9Na) decentrali)ed economic 6ower to ric% regional elitesU and %e enticed foreign ca6ital to (uild "e$ico>s railway infrastructure, t%us finally linking t%e country into a unified nation as well as to e$6ort "e$ico>s minerals and agricultural 6roducts* <o do t%is, ironically, e*g*, %e used t%e 2uIre) land laws to create new %aciendas and foreign&owned mining and oil em6ires as well as railway corridors of 6rivate 6ower* Because 2uIre)>s land laws to allow t%e creation andAor e$6ansion of %aciendas* 2uIre) %ad divided lands to create a small and medium land&owing system (ut did so wit%out 6utting any ca6 on t%e amount of lands t%at mig%t (e

, p. 46

ac'uired (y t%e new owners* <%us 9Na) did not %ave to c%ange t%e law, (ut rat%er sim6ly reverse 2uIre)>s 6riorityQ9Na) encouraged t%e growt% of new great estates* 9Na) and t%e 6olitical system t%at %e a66ointed (including regional caudillos or (osses and t%eir local caci'ues or (osses administering t%e %ars% rules t%e masses) saw t%eir role as ena(ling t%e Private 4ector (and es6ecially foreigner wit% investment ca6ital) as taking t%e lead in (ecoming and or working wit% t%e U*4* :Ca6tains of Dndustry;* 3%ereas 2uIre) %ad em6%asi)ed t%e industrial role of medium and small 6roducers, 9Na) em6%asi)ed t%e role of Ca6tains of Dndustry and %acendados (landed gentry) needed to develo6 large&scale activities in "e$ico (ot% for t%e internal as well as e$6ort market* <%e (uilding of a real railway system mainly directed to t%e U4A as well as "e$ico City was Porfirio 9Na)> way to get goods to market as well as to move 6olice and soldiers to 6ut down any re(ellions* 9Na)>s success in linking t%e country (y telegra6% as well as rail %ad two sides@ on one %and it 6rovided t%e (asis to regulate order and 6rogress of commerce to generate wealt% for t%e eliteU on t%e ot%er %and, it sowed t%e seeds of %is overt%rowQt%e railroads and telegra6% allowing dissent to s6read, es6ecially (y t%e railway workers w%o crossed t%e (order running train travel (etween t%e U4A and "e$icoQmany of t%ose o6erating t%e trains were mem(ers of t%e D33 (Dnternational 3orkers of t%e 3orld, w%o called for a

, p. 47

trans&(order struggle t%at :must go on until t%e workers of t%e world organi)e as a class, take 6ossession of t%e means of 6roduction, a(olis% t%e wage system, and live in %armony wit% t%e Eart%*;22 3%en PorfNrio 9ia) came to 6ower in 1/.M, %e totally o6ened t%e country to foreign ca6ital to (uild railroads, even offering a generous su(sidy for eac% kilometer of line t%at was (uilt* <%e rail com6anies not only were granted t%e railway corridors (ut also am6le land on (ot% sides of every corridorU im6ort duties were waived on e'ui6ment and materials involved in t%e 6ro=ect, and eac% (uilder won full rig%ts of o6eration for 00 years* :Dmmediately United 4tates investors =um6ed in, winning concessions to (uild t%e Central Line from El PasoACiudad 2uIre) to "e$ico City and t%e ational Line from LaredoA uevo Laredo via "onterrey to "e$ico City* <%e first of t%ese railways was ra6idly 6us%ed sout%ward t%roug% t%e desert to C%i%ua%ua, <orre!n (one of t%e few "e$ican cities actually bcreated> (y t%e railroad), Lacatecas, Aguascalientes, Le!n, and cuer#taro to "e$ico City, a clear o(=ective (eing to bca6ture> as many of t%e mining centers as 6ossi(le wit%out any 6articular regard to t%e distri(ution of t%e countryRs 6o6ulation* <%e fact t%at t%e Central ?ailway was com6leted and o6erational (y 1//H not only s6oke to t%e advantageous conditions esta(lis%ed (y its
22

cuote is from www*iww*orgAcultureAofficialA6ream(le*s%tml

, p. 48

concession (ut also to t%e relatively o6en terrain t%roug% w%ic% it 6assed*;2! ?ailways 6layed an integral role in t%e FucatIn Hene'uen Boom (1//-s& 1017)* Hene'uen (fi(rous cords and twine from sisal, one variety of t%e cactus 6lant) was used to make ro6e to dock sailing s%i6s as well as (ailing cords to (ind (ales of U*4* cotton for e$6ort* Hene'uen was also used to make %ammocks, (urla6 (ags, etc* >:0 "tatist Revolution un!er 56a, #/@@--/>//& an! t(e rise of t(e Cient6ficos 4ocial and Economic Anti&4tatists were increasingly a66alled at 9Na)>s 4tatist 6olitics, a situation w%ic% denied even t%e elite to s%are in t%e 6rocess of making 6olitical c%oices and decisions* Porfirio 9Na) never did c%ange %is 4tatist 6olitical stance, (ut did gradually s%ift %is economic and social 6rograms from Anti&4tatism to Active 4tatism, es6ecially as %e (egan to rely more and more on t%e ideas of %is CientNfico :(rain&trust; as t%ey advocated 6lans to advance "e$ico>s moderni)ation*
The Cientficos (Spanish: "scientists" or "those scientifically oriented") were a circle of technocratic advisors to President of Mexico Porfirio Daz. Steeped in the positivist "scientific politics", they functioned as part of his program of modernization at the start of the 20th century. Leading Cientficos included:

2!

Jincent H* "almstrdm* Lan! of the (ifth Sun# Mexico in S ace an! Time, e(ook, ,--,, www*dartmout%*eduA^i)a6aALC4T<itle8,-Page*%tm

, p. 49

&a-Cn "orral HNanuary 1+* 1#5% : ?o6e-ber 1+* 1$12L /as the 5ice ,resident of Mexico under ,orfirio (<a> fro- 1$+% until their deposition in 1$11. Gabino @arreda H1#2+U1##1L* a precursor of the )roup. A physician and professor of -edicine* @arreda studied in ,aris under Au)uste "o-te bet/een 1#% and 1#51 and is /idely credited /ith introducin) positi6is- in Mexico. ,ut in char)e of fulfillin) the 1#5 "onstitutionVs pro-ise of secular public education by the early NuWre> )o6ern-ent* @arreda or)ani>ed the ?ational ,reparatory School* the first secular school of hi)her learnin) in Mexico* /hich opened in 1#6# and beca-e the trainin) )round for -any of the youn)er Cient+fi,os.42%

Dndeed to advance scientific 6lanning, 9Na) in 1//, aut%ori)ed t%e creation "e$ico>s national statistical gat%ering agency so t%at t%e CientNficos could (egin t%e first real collection of statistical data needed to understand from w%ere t%e country was going, w%ere it stood, and w%ere a66eared to (e %eading* <%is national 6ro=ect was launc%ed, mainly (y "e$ico>s giant in researc%@ Antonio PeXafiel9 w%o organi)ed t%e first consistent and wide recording and com6iling of %istorical statistics as well as creation of new data t%at %e included in "e$ico>s statistical re6orts and year(ooks* Dndeed, %e created the first effecti6e basis for -odern research and publication of statistics on Mexico.25 Peeafiel %ad esta(lis%ed t%e first Law on 4tatistics in 1/07, t%e same year t%at %e administered t%e first national 6o6ulation census for "e$icoQt%e 6o6ulation

2%

Quoted fro- %tt6@AAen*wiki6edia*orgAwikiACientNfico

25

4ee 4ergio de la Peea y 2ames 3* 3ilkieU La .sta!/stica .con3mica en M4xico# Los 5r/genes ("#$ico@ 4iglo EED y Universidad Aut!noma "etro6olitana&A)ca6ot)alco, 100H)*

, p. 50

in t%at year was recorded to (e 1,*M million* Cive years later %is census counted 1G*M million* Dn 101- Peeafiel>s census s%owed t%e "e$ican 6o6ulation to %ave reac%ed 17*, million* Dn t%e 6rocess %e was refining %is scientific met%ods used to conduct t%e censuses* <%e :CientNficos; were effectively also 9Na)>s :6olitical 6arty; w%ic% =ustified %is socio&economic sc%emes develo6ed under Big Coreign and 9omestic Ca6italists* By 1/0/ t%e 2osH +imantour, "inister of t%e <reasury (Hacienda), understood t%at "e$ico>s railway system %ad to (e develo6ed in t%e national interest, not t%e 6rivate sector>s narrow interests* He and t%e CientNficos reali)ed t%at disorgani)ed routings 6revailed in "e$icoRs rail syste-. 3i-antour o6ersa/ the enact-ent of a General &ail/ay 3a/ reQuirin) that any ne/ construction /ould ser6e to co-plete a 2national net/orB rather than sponsor the buildin) of detached lines in re-otely separated parts of the country. As a result* in the later years of the (<a> ad-inistration* the Mexican )o6ern-ent be)an acQuirin) the -a=ority of the shares of the "entral and ?ational 3ines and fusin) the- into a unified co-pany called the ?ational &ail/ays of Mexico* so by the end of the ,orfirian period the -a=or linea-ents of the pri6ate1public Mexican rail syste- had been /ell established ::

, p. 51

the country as a /hole boastin) so-e 12*+++ -iles of tracB*4 /rites "almstrdm* Curt%er in 10-- %e encouraged t%e founding of "e$ico>s steel industry in "onterrey, (ut left it to t%e 6rivate sector to develo6* Because Porfirio %ad not enforced 2uIre)> laws against t%e C%urc%>s accumulation of ca6ital (often t%roug% granting t%e rig%t to go to %eaven to t%e ric%, w%o 6aid dearly andAor willed muc% of t%eir 6ro6erty to t%e C%urc% u6on deat%), (y 10-- t%e C%urc% served as "e$ico>s (iggest (anker* "ost im6ortantly, (ecause Porfirio 9Na) 6aid down "e$ico>s international de(ts, credit in "e$ico was scarce and costly, even for t%e elite, and not availa(le to ot%ers* Crom 10-7 to 10-. financial 6anic s6illed over into "e$ico from (a) t%e 10-7 ?usso&2a6anese 3ar w%en "e$ico suffered (ecause U*4*Aworld ca6ital was diverted to Asia,,M (() t%e 10-M 4an Crancisco eart%'uake w%ic% disru6ted t%e U*4* economy, and (c) t%e su(se'uent 10-. U*4* credit s%ortage meant t%at many mem(ers of t%e "e$ican elite found t%at t%ey could not renew t%eir loans and or %ad to re6ay t%em in an accelerated manner* Hacendados were es6ecially affected and some (egan to 'uietly suggest among t%emselves t%at 6er%a6s a rumored re(ellion against 9Na) (y workers could %ave some favora(le results&&if it were limited to (urning t%e

Napan surprised the /orld by /in) this /ar* chan)in) the balance of po/er in the 8ar ;ast.
26

, p. 52

(anks and credit records, after w%ic% t%e workers were to go (ack to t%eir slave&like =o(s* 3%en real ?evolution (roke out against %is regime in 1011, 9Na) called u6 %is army, w%ic%, as it turned out, (arely e$istedQit was 6added wit% :6%antom; soldiers* <%e generals %ad t%oug%t t%at since "e$icans were so cowed (y t%e 9Na) mysti'ue t%ey could (ecome ric% sim6ly (y kee6ing t%e funds (udgeted for 6ositions of soldiers w%o t%ey did not %ire* Porfirio>s ?ural Police, w%o %ad also grown la)y and corru6t, were no matc% for t%e angry masses, w%o t%ey %ad re6ressed for so long* <%ey tended to avoid (attles (y deserting* >c *o 7ey Men an! (eir Books:
ONE:AndrsMolinaEnrquez(1909) Los 6ran!es Problemas Nacionales TWO:FrancisoI. Madero(1908) The Presi!ential Succession of 7879:

O1E "olina&EnrN'ue), saw %is (ook referred to in Englis% as Mexico;s Huge 1or 6reat2 National Problems' His t%oug%t would (e influential in writing t%e Constitution of 101.* :\<%is (ook (y Molina:;nr<Que>T /as hi)hly critical of the ,orfirio (<a>
)o6ern-ent* Xit characteri>edT the period after 1#21 as the era of national disinte)ration. The booB hi)hli)hted issues of sharp political di6isions* recurrent ar-ed conflicts* and periodic forei)n inter6entions. 2XThe booBT focused particularly on t/o aspects* land refor-* and the ri)hts of the indi)enous people and their place in society socially.Y 2A /ell:Bno/n Quote fro- the booB is Zla hacienda no es ne)ocio' Xthe hacienda is not a businessTG @y this he -eant that the lar)e Mexican landed estates of his day Hand stretchin) bacB to their ori)ins in the era of the Spanish conQuestL /ere for the -ost part not profit: oriented but VfeudalV enterprises* that rural Mexico /as therefore only

, p. 53

partially capitalistic* if at all* and that the country /as ipso facto only i-perfectly -odern.[2

3ilkie>s Dnter6retive summary of "olina&EnrN'ue)>s +O" 8R'15E" PROB+EM'" 1'CIO1'+E" I #/>.>& ,/ Pro(lems analy)ed in (ook@ 1* Jaried and Pro(lematic P%ysical 5eogra6%y of "e$ico ,* Pro6erty ?ig%ts and Pro(lems of ?egistration G* Drrigation Pro(lems H* Lack of Credit Pro(lem

7* Po6ulation as a Pro(lem .H7 Dndigenous <ri(es 46eaking Eac% 46eaking Bwn Language or 9ialect Criollos (46anis% descendents, (orn in "e$ico) Peninsulares (46anis% (orn in 46ain) "esti)os (Persons of "i$ed Blood and Culture) Human 5eogra6%y and 9istri(ution of Cood Use of Alco%ol Poor 3ages for "asses M* Politics Pro(lem of How to define "e$ico as a ationQ"esti)a=e W Oey Pro(lem of Bvercoming P%ysical 5eogra6%y to 9evelo6 Communication of 4uc% a 9iverse Po6ulation Living in 9ifferent Circumstances and 46eaking 4o "any
2 2#

Quoted fro- %tt6@AAen*wiki6edia*orgAwikiAAndr#sT"olinaTEnrN'ue) The booB is a6ailable to do/nload at httpG11///.cer6antes6irtual.co-1ser6let1Sir6eObras1+1% 16521+12% !#%1$12$ ndex.ht-

, p. 54

Languages Pro(lem of Education for t%e Dndigenous and "esti)os Pro(lem of <aking Po6ulation Censuses

, p. 55

3O "adero>s (ook on The Presi!ential Succession of 7879 was to 6lay t%e role of igniting t%e "e$ican ?evolution in 1011 and lead %im to (ecome President of "e$ico from ovem(er M, 1011, to Ce(ruary 10, 101G* 3iki6edia sums u6 %is %istory@,0
Madero was born in Parras de la Fuente, Coahuila; the son of one of the wealthiest families in Mexico: his grandfather had founded the Compaa Industrial de Parras, which was initially involved in vineyards, cotton, and textiles, and which moved into mining, cotton mills, ranching, banking, coal, rubber, and foundries in the later Madero was educated at the Jesuit college in Saltillo, but this early Catholic education had little lasting impact. Instead, his father's subscription to the magazine Revue Spirit awakened in the young Madero an interest in Spiritism, an offshoot of Spiritualism. As a young man, Madero's father sent him to the cole des Hautes tudes Commerciales de Paris (HEC). During his time in France, Madero made a pilgrimage to the tomb of Allan Kardec, the founder of Spiritism, and became a passionate advocate of Spiritism, soon coming to believe he was a medium. Then he graduated from High school at Culver Academies, achieving high leadership positions. Following business school, Madero traveled to the University of California, Berkeley to study agricultural techniques and to improve his English. During his time there, he was influenced by the Theosophist ideas of Annie Besant, which were prominent at nearby Stanford University. In 1893, the 20 year old Madero returned to Mexico and assumed management of the Madero family's hacienda at San Pedro, Coahuila. He installed new irrigation works, introduced American cotton, and built a soap factory and an ice factory. He also embarked on a lifelong commitment to philanthropy. His peons were well paid and received regular medical exams, he built schools, hospitals, and community kitchens, and he paid to support orphans and award scholarships. He also taught himself homeopathic medicine and offered medical treatments to peons. On April 2, 1903, Bernardo Reyes, governor of Nuevo Len, violently crushed a political demonstration, an example of the increasingly authoritarian policies of president Porfirio Daz. Madero was deeply moved and, upon the suggestion of the spirit of his deceased brother Ral, he decided to act. Madero responded by founding the Benito Jurez Democratic Club and ran for municipal office in 1904, though he lost the election narrowly. In addition to his political activities, Madero continued his interest in Spiritualism, publishing a number of articles under the pseudonym of Arjuna (a prince from the Bhagavad Gita).

%tt6@AAen*wiki6edia*orgAwikiACranciscoTD*T"aderoaLeaderTofTt%eTAnti& ?eelectionT"ovement*,CT10-/*E,*/-*0G10-0
2$

, p. 56

In 1905, Madero became increasingly involved in opposition to the government of Porfirio Daz. He organized political clubs and founded a political newspaper (El Demcrata) and a satirical periodical (El Mosco, "The Fly"). Madero's preferred candidate was again defeated by Porfirio Daz's preferred candidate in the 1905 governmental elections. In a 1908 interview with U.S. journalist James Creelman published in Pearson's Magazine, Porfirio Daz said that Mexico was ready for a democracy and that the 1910 presidential election would be a free election. Madero spent the bulk of 1908 writing a book at the directions of the spirits, which now included the spirit of Benito Jurez himself. The [resulting] book, published in late 1908, was titled La sucesin presidencial en 1910 (The Presidential Succession of 1910). The book quickly became a bestseller in Mexico. The book proclaimed that the concentration of absolute power in the hands of one man - Porfirio Daz - for so long had made Mexico sick. Madero pointed out the irony that in 1871, Porfirio Daz's political slogan had been "No Reelection". Madero acknowledged that Porfirio Daz had brought peace and a measure of economic growth to Mexico. However, Madero argued that this was counterbalanced by the dramatic loss of freedom which included the brutal treatment of the Yaqui people, the repression of workers in Cananea, excessive concessions to the United States, and an unhealthy centralization of politics around the person of the president. Madero called for a return of the Liberal 1857 Constitution of Mexico. To achieve this, Madero proposed organizing a Democratic Party under the slogan Sufragio efectivo, no reeleccin ("Valid Suffrage, No Reelection"). Porfirio Daz could either run in a free election or retire. Madero's book was well received, and many people began to call Madero the Apostle of Democracy. Madero sold off much of his property - often at a considerable loss - in order to finance anti-reelection activities throughout Mexico. He founded the Antireelection Center in Mexico City in May 1909, and soon thereafter lent his backing to the periodical El Antireeleccionista, which was run by the young lawyer/philosopher Jos Vasconcelos. Madero traveled throughout Mexico giving antireelectionist speeches, and everywhere he went he was greeted by crowds of thousands. The Porfirian regime reacted by placing pressure on the Madero family's banking interests, and at one point even issued a warrant for Madero's arrest on the grounds of "unlawful transaction in rubber". Madero was not arrested, though, and in April 1910, the Antireelectionist Party met and selected Madero as their nominee for President of Mexico. Madero, worried that Porfirio Daz would not willingly relinquish office, warned his supporters of the possibility of electoral fraud and proclaimed that "Force shall be met by force.

, p. 57

Madero set out campaigning across the country and everywhere he was met by tens of thousands of cheering supporters. Finally, in June 1910, the Porfirian regime had him arrested in Monterrey and sent to a prison in San Luis Potos. Approximately 5,000 other members of the Anti-Reelectionist movement were also jailed. Francisco Vzquez Gmez took over the nomination, but during Madero's time in jail, Daz was "elected" as president with an electoral vote of 196 to 187. Madero's father used his influence with the state governor and posted a bond to gain Madero the right to move about the city on horseback during the day. On October 4, 1910, Madero galloped away from his guards and took refuge with sympathizers in a nearby village. He was then smuggled across the U.S. border, hidden in a baggage car by sympathetic railway workers. Madero set up shop in San Antonio, Texas, and quickly issued his Plan of San Luis Potos, which had been written during his time in prison, partly with the help of Ramn Lpez Velarde. The Plan proclaimed the elections of 1910 null and void, and called for an armed revolution to begin at 6 p.m. on November 20, 1910, against the illegitimate presidency/dictatorship of Daz. At that point, Madero would declare himself provisional President of Mexico, and called for a general refusal to acknowledge the central government, restitution of land to villages and Indian communities, and freedom for political prisoners. On November 20, 1910, Madero arrived at the border and planned to meet up with 400 men raised by his uncle Catarino to launch an attack on Ciudad Porfirio Daz (modern-day Piedras Negras, Coahuila). However, his uncle showed up late and brought only ten men. As such, Madero decided to postpone the revolution. Instead he and his brother Ral (who had been given the same name as his late brother) traveled incognito to New Orleans, Louisiana. [Not until February 1911 did Madero enter] Mexico and led 130 men in an attack on Casas Grandes, Chihuahua. He spent the next several months as the head of the Mexican Revolution. Madero successfully imported arms from the United States, with the American government under William Howard Taft doing little to halt the flow of arms to the Mexican revolutionaries. By April, the Revolution had spread to eighteen states, including Morelos where the leader was Emiliano Zapata On April 1, 1911, Porfirio Daz claimed that he had heard the voice of the people of Mexico, replaced his cabinet, and agreed to restitution of the lands of the dispossessed. Madero did not believe Daz and instead demanded the resignation of President Daz and Vice President Ramn Corral. Madero then attended a meeting with the other revolutionary leaders they agreed to a fourteen-point plan which called for pay for revolutionary soldiers; the release of

, p. 58

political prisoners; and the right of the revolutionaries to name several members of cabinet. Madero was moderate, however. He believed that the revolutionaries should proceed cautiously so as to minimize bloodshed and should strike a deal with Daz if possible. In May, Madero wanted a ceasefire, but his fellow revolutionaries Pascual Orozco and Francisco Villa disagreed and went ahead with an attack on Ciudad Jurez. The revolutionaries won this battle decisively and on May 21, 1911, the Treaty of Ciudad Jurez was signed. Under the terms of the Treaty of Ciudad Jurez, Daz and Corral agreed to resign by the end of May 1911, with Daz's Minister of Foreign Affairs, Francisco Len de la Barra, taking over as interim president solely for the purpose of calling general elections. This first phase of the Mexican [violent] Revolution thus ended with Daz leaving for exile in Europe at the end of May 1911. On June 7, 1911, Madero entered Mexico City in triumph where [huge crowds shouted Viva Madero!. Before becoming president, Madero published another book, this one under the pseudonym of Bhima (one of Arjuna's brothers in the Mahbhrata) called a Spiritualist Manual.

/.0 C(aotic 'nti-"tatist Political Revolution #/>//-/>/A&0 3it% Porfirio gone to Paris, c%aotic Anti&4tatism arose, President "adero soon found %imself under siege (y regional (osses w%o t%oug%t %im to weak to lead "e$ico and all soug%t to dis6lace %im* "adero selected 5eneral Jictoriano Huerta to (e %is to6 general* Huerta used %is 6osition to 6ut down most re(ellions against t%e new government (efore arresting "adero to %ave %im :s%ot w%ile esca6ing 6rison*; Huerta installed %imself as President of "e$ico (Ce(* 1G, 101G&2ul* 17, 101H) Cor detailed accounts of t%is 6eriod, see t%e re'uired reading@ Revolution in Mexico: Cears o0 @pheaval1 "#"$("#D$9

, p. 59

:y 2ames 30 3il4ie an! 'l:ert +0 Mic(aels9 es$ecially $ages /-/-. #note*ort(y to un!erstan! t(e years />/?9 />/E9 />/=9 />/A9 />/D are t(e articles :y +yle C0 Bro*n9 $ages A.-D- an! //--//=& <%e 6ro(lem of :Agrarian ?eform; (really Land <enure ?eform) contri(uted to "adero>s rise and fall* 4everal e$am6les %el6 us understand* By1011 Emiliano Ja$ata was destroying t%e sugar industry in t%e state of "orelos, directly sout% of "e$ico City* He soug%t to end de(t 6eonage on t%e sugar %aciendas (rat%er t%an re'uire fare wages and working conditions), and %e set out to give t%e land to t%ose w%o worked it (or let t%e 6easants sei)e it), t%us condemning t%e state of "orelos to long&term rural 6overty for all* La6ata did not reali)e t%at w%ere as t%e amount of land in finite, t%e growt% of 6o6ulation is infinite* La6ata generated :fait%; in land reform, favoring t%e land (eing returned to E=idatarios as well as small and medium 6rivate farmers* Because "adero %ad called for La6ata to distri(ute land in a legal manner (wit% e$act to6ogra6%ical measures, w%ic% seemed im6ossi(le given t%e e$treme s%ortage of engineers), Marte R0 8Gme,, a young engineer, volunteered to =oin t%e newly formed Comis!n acional Agraria*!+
Marte &. GC-e> Oral .istory Fnter6ie/ /ith Na-es WilBie and ;dna Mon>Cn WilBie*published in WilBie and WilBie* -rente a la Revolu,i.n $e/i,ana:
!+

, p. 60

"arte ?* 5!me) tried to work wit% La6ata in %is efforts at distri(uting land in 1017, (ut to conduct serious engineering in t%e cross&fire of many (attles (etween La6ata and t%e federal government, and (etween t%e La6atista factions t%emselves, was not 6ossi(le* After mont%s of 6ro(lems in "orelos, 5!me) moved in 101M to work wit% t%e :radical> 5overnor of FucatIn 4alvador Alvarado* 3it% Avarado>s de6arture, 5!me) surveyed lands in t%e state of Cam6ec%e until 10,1* ?at%er t%en c%anging t%e conditions of workers %eld in de(t 6eonage in FucatIn, 5eneral 4alvador Alvarado (1017&101M) saw t%e solution as (reaking u6 t%e %ene'uen %aciendas and distri(uting t%e land to t%e former de(t 6eons* <%ose well&intended acts, %owever, %el6ed (ring t%e %acienda (oom in "e$ico to an end,!1 yet failed to (reak u6 many of t%e %aciendas* 9uring t%is 6eriod many leaders (elieved t%at violent 6olitical action alone could ac%ieve social and economic c%ange, (ut in t%e end, most reali)ed
01 Protagonistas de la )tapa Constru,tiva2 HM\xico* (.8.G Eni6ersidad AutCno-a MetropolitanaL* % 6olu-es H"oordinatin) ;ditorG &afael &odr<)ue> "asta]edaLG 5ol !. *+deres: Salvador 'bas,al2 Ram.n 3eteta2 $arte R. G.me(2 Ja,into 3. %revi4o H2++2L.

!1

Bt%er factors also intervened to end t%e %ene'uen (oom in "e$ico* <%e advent of 3orld 3ar D cut into e$6orts as did t%e cultivation of t%e 6lant around t%e world (Bra)il, "adagascar, <an)ania, "anila), and t%e coming of synt%etic ro6e and twine (es6ecially nylon)* <%us, t%e %ene'uen industry (egan a long, slow decline (in s6ite of a mini&(oom during 3orld 3ar DD)* 4ee httpG11///.-exico-iBe.co-1stories1heneQuen.ht-

, p. 61

t%at ac%ievement of 6olitical 6ower was only t%e (eginning of a long 6rocess to effect socio&economic c%ange* Dn t%e meantime, Panc(o Killa (from ort% Center "e$ico foug%t Kenustiano Carran,a (from ort%east "e$ico) and 'lvaro O:regGn (from ort%west "e$ico)* Carran)a (=oined (y B(reg!n) defeated Jilla (y 1017&101M, and Carran)a %ad Emiliano Ja$ata am(us%ed and killed in 1010*

//0 'ctive-"tate Revolution #/>/D-/>AE& restored order (y esta(lis%ing t%e Constitution of 101. to mediate (etween 4tatists in t%e government ((acked (y 6easant and worker organi)ations) and Anti&4tatists in t%e 6rivate sector* Carran)a t%en convened t%e Constitutional Convention of 101M&101. to write a new legal framework* Carran)a signed t%e Constitution into law even t%oug%t %e was un%a66y wit% some of its 6rovisions and never soug%t to enforce most of its 6rovisions* Dn any case, ena(ling legislation %ad to (e 6assed to im6lement t%e 6rovisions and 6rovide 6enalties for failure to do so andAor for violation of t%e 6rovisions, t%is 6rocess (eing incremental and taking decades* Bddly, t%e Constitution of 101. was never ratified (e t%e delegates w%o drafted it (and w%o in any case did not include t%e forces of Jilla or La6ata)* or was it a66roved (y t%e state governments or voted on (y t%e "e$ican 6o6ulace, muc% of w%ic% still lived in un6acified areas* Bn t%e one %and, t%e Constitution reesta(lis%ed t%e Crown>s overarc%ing 6olicy (y declaring t%at t%e 4tate regulates all as6ects of national life and

, p. 62

economy, s6ecifically ado6ting 4anta Anna>s decree of 1/7G t%at and all land and su(&soil rig%ts (elong to t%e nation* Bn t%e ot%er %and, t%e Constitution of 101. esta(lis%ed a role for t%e 6rivate sector* <%e role %as varied according to w%o %as occu6ied t%e 6residency* <%e President of "e$ico %as t%e sole 6ower under t%e Constitution to decide w%et%er or not to em6%asi)e t%e role of t%e 6rivate sector at t%e e$6ense of t%e government* <%us t%e Constitution of 101. is very im6ortant (ecause it involved nationali>in) -ineral resources and prohibitin) forei)n business-en fro- appealin) to their ho-e )o6ern-ents to protect their property. A-ended -any ti-es* the "onstitution of 1$1 re-ains in force* albeit /ith pri8atiAation of &Jida* *and :1))2; and minera* reso9rces :1)),;--except oil* )as* and electricity /hich re-ain under State o/nership. Enfortunately* ho/e6er* the "onstitution has pro7iCited re-e*ection of all postsG federal* state* and local. Without re: election* experience is lost in short:ter- periods of office in the lo/er of house of "on)ress and ma6ora* *e8e*Qt7ree 6ears in too *itt*e time to do an6t7in' and t7e >7o*esa*e

, p. 63

t9rno8er of positions means t7e first 6ear is spent rep*acin' staff, the second hopin) they can learn /hat to do* and the third in closin) the booBs. 8urther* -ayors are afraid to act because the fear that they /ill 6iolate co-plex la/s that cannot be QuicBly learned* and local )o6ern-ent is usually too poor to fund a le)al to offer )uidance throu)h the thicBet of 2nor-ati6idad4 Hnor-ati6eL rules and re)ulations that see-in)ly blocB -ost -ayoral actions. Since 1),4 Me.icoEs presidents ser8e si. 6ears* /hich has beco-e too lon) as the pace of e6ents has QuicBened in an era of e6er:better co--unications. 8our:year periods /ith re:election /ould no/ offer -ore effecti6e )o6ern-ent* but* alas* the -e-ory of ,orfirio (<a>'s -any re: elections li6e on. HSenators ser6e six years* as in the ESAL

Cive key Articles of t%e Constitution dominate "e$ico to t%e 6resent, es6ecially as underlined (elow@ aG re'uiring 6u(lic education and t%at it (e free and secular, t%e C%urc% (eing 6ro%i(ited from im6arting 6rimary education* a,. reserving su(&soil rig%ts to t%e 4tateU

, p. 64

6rotecting small and medium 6ro6erties from land reform ((ut allowing t%e government to ca6 t%eir si)e)U re'uiring t%at %aciendas (e divided and returned to E=idos (w%ic% Benito 2uIre) and Porfirio 9Na) %ad soug%t to e$tinguis%* Article a,. re'uired t%at t%e lands returned to t%e E=idos and %eld (y t%e community wit%out t%e rig%t to sell, rent, or use for collateral to o(tain loans)* Curt%er, Article a,. 6ro%i(ited foreigners from owning land wit%in M- miles of t%e (order and G- miles from "e$ico>s coast as well as 6ro%i(ited t%e C%urc% from land owners%i6* CB? CU?<HE? ?EA9D 5 O1 HE NPE" OF Y+'15Z O31ER"HIP I1 MEXICO9 "EEF

httpG11///.ricardobarra>a.co-1typesofo/nershipin-exico.h aGG 6ermitting "e$ico>s President on %is sole order to de6ort forever any foreigner wit% no rig%t to a66ealU a1,G 6roviding workers wit%@ t%e rig%t to strike, (e 6aid for overtime work, (e 6rotected if in=ured or (earing c%ildren, (e 6rotected from em6loyment if under age 1, and from nig%t work if under 1M*

, p. 65

a1,G re'uires em6loyers to indemnify workers w%o lose t%eir =o(sQone mont% 6ay for eac% year of work* "in!icatos #+a:or Inions& were legali)ed and aut%ori)ed to engage in collective (argaining wit% t%eir em6loyers and managers* a1G- aut%ori)ing t%e 4tate to assume owners%i6 of all C%urc% 6ro6erties, including t%ose used for religious ceremoniesU to 6ro%i(it C%urc% oat%s (t%us outlawing monasteries)U to aut%ori)e t%e states to regulate t%e num(er of clergy 6ermitted to 6ractice t%e :religious 6rofession;U and, to 6revent t%e clergy from voting, assem(ling for 6olitical 6ur6ose, critici)ing t%e Constitution, or cele(rating 6u(lic activities or ceremonies*

<%e 6remise of t%e :Active 4tate; is t%at it stands (etween E$treme Anti&4tatism (too often leading to anarc%ism), and E$treme 4tatism (w%ic% leads to dictators%i6)*

(e 'ctive "tate any*(ere yiel!s to t(e $rivate sector in :usiness an! in!ustry in or!er to !e!icate government activities to $rovi!e efficientlyF #/& t(e tra!itional governmental services #e0g09 $olice an! fire $rotection9 gar:age collection9 $ostal an! telegra$( systems9 etc0&9

, p. 66

#-& $u:lic infrastructure #roa!s9 railroa!s9 electrical an! *ater systems9 tele$(one systems9 etc0&9 an! #?& social essential services #e0g09 t(e construction an! o$eration of $u:lic sc(ools9 clinics9 (os$itals9 or$(anages an! social *elfare $rograms for t(e $oor9 un*e! mot(ers9 an! t(e age!&0 (us9 in />/D t(e "tate moves from a $assive role to an active one as it see4s to solve $ro:lems not resolve! :y t(e $rivate sectorP an! t(us it su:si!i,es an!Uor invests in ne* an! nee!e! in!ustry9 often :y $rovi!ing (ig( tariff $rotection*

<o make t%e Active 4tate function, Emilio Portes-8il esta(lis%es in 10,0 t%e Official Party (w%ic% %as t%ree names, as discussed (elow)U (ut gradually it (ecame more aut%oritarian during t%e 10M-s, culminating in t%e murder of many %undreds (6er%a6s t%ousands) of 6ersons w%o 6rotested against it in t%e autumn of 10M/ and during 10M0* <%us, t%e Active 4tate was converted to t%e :4tatist ?evolution; (10.-&10/,), discussed (elow* Under 'ctive "tate Revolution, t%e Central 5overnment steadily ac'uired evermore 6ower to :guide; national develo6ment* <o end t%e c%aos caused (y roving re(el (ands, it also de6uti)ed criminals as 6olice, w%o agreed to limit t%eir corru6tion* As under Porfirio 9Na), 6olitical and economic 6ower was decentrali)ed to ric% regional elites, wit% t%e President serving as ultimate

, p. 67

ar(iter of dis6utes* <%e idea eventually came to encourage =oint economic ventures linking domestic ca6ital wit% foreign investment and tec%nology*

//a0 Political P(ase #/>/D-/>?E&, a new elite took 6ower defeating scattered military re(ellions to undertake t%e reconstruction of t%e country>s economic infrastructure seriously damaged in t%e ?evolution (t%at of 101-&101M, discussed a(ove) and lead to t%e esta(lis%ment of t%e Bfficial Party in 10,0, making e$6licit w%at %ad (een im6licit since 10,1* <%e Central 5overnment re(uilt (often several times) t%e destruction caused (y t%e Jiolent P%ase of t%e ?evolution (1011&101M, 1010) as well as military re(ellions (10,1&10,G, 10,., 10,0), esta(lis%ed rural education in t%e early 10,-s and t%e (anking and finance system@ Ban4 of Me)ico in 10,7 and t%e 1ational Ban4 for 'gricultural Cre!it in 10,M&&(ot% under Manuel 8Gme,Mor6n* Presidents Alvaro O:regGn (10,-&10,H) and Plutarco El6as-Calles (10,H&10,/) led t%e activities to esta(lis% t%e Active 4tate, wit% e$6anded roles for t%e Private 4ector, still critici)ed (y intellectuals and students for its e$cess of 6ower under 9Na)* B(reg!n successfully gained U*4* recognition of t%e ?evolutionary 5overnment* Dn 10,1, B(reg!n %ad conducted t%e first census since 101-* <%e census of 10,1 s%owed t%e 6o6ulation to (e 1H*, million, t%us giving many =ournalists t%e idea t%at t%e demogra6%ic :cost; of violence in "e$ico during

, p. 68

t%ose eleven years meant one million 6ersons were killed since t%e 6o6ulation census of 101-* But demogra6%ic %istorians do not e'uate :loss; wit% :killed*; <%e calculation of "e$ico>s 6o6ulation calculated in Cigure ,*

, p. 69

&&&&&&&&&&&

Cigure , Ho* Many 3ere 7ille! or +ost in t(e Kiolent P(ase of t(e Me)ican Revolution[ (Persons 7ille! 'fter '!Musting for t(ose +ost in Me)icos I$(eaval9 />/.-/>-/& Po6ulation 17*, million in 101-1H*G million in 10,1 W *0 million (0--,--- a66arently :killed;) Q *1 million (1--,---) w%o fled from "e$ico to 6ersonal security in t%e U4A f *M million (M--,---) c%ildren not (orn owing to t%e fact t%at would&(e 6arents were at war and amid (attles and insecurity&&including t%e :soldadera; fig%ting wit% %er man* (Armies moved wit% women involved in actual fig%ting andAor cooking and caring for t%eir men and t%eir encam6ments) f *1 million (1--,---) not counted in t%e census, w%ic% was conducted wit% severe limitations* <%e year 10,1 marked only t%e (eginning of attem6ts to sta(ili)e t%e country and re(uild t%e communications system t%at %ad (een greatly damaged* Census&takers were unwilling (as were teac%ers and 6%ysicians) to go into muc% of rural "e$ico, w%ic% was still a dangerous 6lace* Curt%er, Dndigenous 6eo6les in t%e =ungles of C%ia6as, for e$am6le, sim6ly lived outside of :"e$ico;Qt%ey knew only t%e name of t%eir 6lace or region, not t%e name of t%e country, a(out w%ic% many %ad never even %eard a(out* \ 0/ million #/..9...& otal real ma)imum 4ille! in military action0 4BU?CE@ Ada6ted from data develo6ed (y ?o(ert 5* 5reer*
&&&&&&&&&&

, p. 70

(is estimation of t(e num:er 4ille! *as calculate! :y Ro:ert 80 8reer9 *(o ma!e a ne* analysis of t(e !ata in />AA0 8reer foun! t(at (e coul! count t(e num:er of $ersons 4ille! :y military action !uring t(e !eca!e after />/. as only ranging from D=9... to /..9...0 ?-

Understanding %ow we get t%e :real; num(er of deat%s (y military action %as always (een too muc% for most o(servers to %andle* And =ournalists wanted a %ig% num(er to give a 6oetic ring to t%e magnitude of c%ange wroug%t (y t%e u6%eaval of "e$ico (etween 101- and 10,1* <%us, t%e 6u(lic mind %as come to wrongly define t%e num(er :one million loss as one million ;illed3 Myt( in t%is case of :deat%s in (attle; is more im6ortant t%an t%e vague reality of "e$ico>s eleven years of u6%eaval, in w%ic% (etween .7,--- and 1--,--- may %ave (een killed* (<ragically, many 6ersons %ad always died in "e$ico from causes ot%er t%an military action@ starvation, unavaila(ility of medical treatment, inter&6ersonal enmity, domestic violence, etc*)

!2

4ee ?o(ert 5* 5reer, R;<%e 9emogra6%ic Dm6act of t%e "e$ican ?evolution, 101-Q10,1; (Austin, "*A* <%esis in 4ociology, 10MM), discussed (y 2ames 3ilkie in Statistics an! National Policy (Los Angeles@ UCLA Latin American Center Pu(lications, 10.H)* Cor nine views on t%e demogra6%ic im6act after 101- (including t%e view of 5reer), see analysis (y ?o(ert "aCaa, Missing millions# the human cost of the Mexican <e$olution, e&article, ,--1, www*%ist*umn*eduA^rmccaaAmissmillAm$rev*%tm

, p. 71

<%e a(ove myt% a(out t%e :cost; to "e$ico in num(ers killed was im6ortant for Bfficial Party of t%e ?evolution to =ustify %olding on to 6ower :6ermanently;, w%ic% ended in ,---* Alt%oug% it is a truism t%at :not%ing is ever really 6ermanent;, we need to add a corollary@ :e$ce6t myt%;, w%ic% in t%is case of one million 6ersons killed lives on* Crom 10,H t%roug% 10GH, t%e Private 4ector dominated t%e :Continuing ?evolution;, w%ic% was led (y Plutarco ElNas Calles (w%o usually used %is mot%erRs last name XCalles,X not %is fat%er>s last name :ElNas;)* Alt%oug% %e was known as :El 2efe "I$imo; and favored E=idos run (y individual families, t%e government was 6oor in relation to t%e Private 4ector, w%ic% was a(le to o6erate wit% little regulation*

3it% regard to t%e C(urc(9 Calles was mistakenly 'uoted (y a news re6orter (w%o 6ut words in Calles>s mout% to get a sensational story), and t%ose words seemingly t%reatened to im6lement 6rovisions of t%e Constitution t%at %ad lain dormant* Lay (non&clerical) Cat%olics (encouraged (y muc% of t%e clergy) re(elled in t%e Cristero 3ar #/>-A-/>->&0 <%ey foug%t (1) against increasing state 6ower limiting t%e C%urc%>s de facto :owners%i6; of (uildings and land (and for 6rivate sector land rig%ts in t%e face of government redistri(ution of land titlesU and t%ey foug%t (,) to maintain t%e C%urc%>s

, p. 72

defacto control of 6rimary education (w%ic% unconstitutional) of t%e country>s c%ildrenQ(ot% sides s6oke more in terms of indoctrination t%an education* 3%en President&Elect B(reg!n was assassinated (efore %e could retake office in 10,/, Calles left for Euro6e to avoid t%e a66earance of trying to retain 6ower as t%e 4trong "an of "e$ico, w%ic% %e eventually did (ecome* Dn t%e meantime, Calles did not want to a66ear to (e involved in t%e assassinationQ %e and B(reg!n were su66osed to %ave taken turns, (ut B(reg!n was killed (y a Cat%olic 6riest (efore %e could take office for %is second term* (Cat%er "iguel Pro did not know t%at a secret agreement %ad (een reac%ed (etween C%urc% and 4tate to end t%e Cristero 3ar, and, arguing t%at under Cat%olic doctrine t%e C%urc% %ad t%e moral rig%t to :e$ecute; its enemies, %e took it u6on %imself to s%oot B(reg!n at an o6en&air lunc%, t%us setting (ack t%e secret accord*) 3%ile Calles was in Euro6e, %owever, Dnterim President Emilio Portes8il served during a 1H&mont% interlude (/>-@-/>?.) to c%ange t%e landsca6e of "e$ico (y undertaking ra6id land distri(ution (w%ic% %e knew t%at Calles o66osed), Portes and %e did so wit% t%e %el6 of Marte R0 8Gme,Q%is 4ecretary of Agriculture, wit% w%om %e worked to distri(ute land in <amauli6as* (Portes 5il %ad (een 5overnor of <amauli6as, 10,7&10,/)* Portes !i! more in (is /E mont(s t(an any Presi!ent in Me)icos (istory9 for e$am6le (y i) esta(lis%ing University autonomy,

, p. 73

ii) develo6ing t%e country>s first real la(or law (t%at Calles o66osed), iii) 6utting down a (rief military re(ellion led (y 5eneral 2osH 8on,alo-Esco:ar (w%o was su66orted (y one&t%ird of t%e officer cor6s and G-,--- troo6s and w%o were t%oug%t to (e trying to link u6 wit% t%e Cristeros), iv) signing t%e accord wit% t%e Arc%(is%o6 of "e$ico to end t%e Cristero 3ar&& t%e C%urc% feared t%at unless it reinstated t%e mass, (a6tisms, marriages, and (urial services (sus6ended in 10,M to force an u6rising or 6rotest against t%e government) feared t%at its 6ower of t%e masses would (e lost (ecause t%ere %ad (een no real 6rotest and t%e Cat%olic rites seemed to (e %eaded into o(livion in "e$ico, v) founding t%e Bfficial Party as t%e P ? (w%ic% many =oked meant :Plutarco ecesita ?o(ar;Qcontri(uting to a dramatic misundertanding of t%e P? >s role t%at removed Calles to indirect oversite of t%e "e$ican government), vi) %olding a new 6residential election to re6lace t%e assassinated B(reg!n*

Cor t%e 6residential :election; of 10,0 Calles 6roved %ow out of touc% %e was in Euro6e* He %ad (elieved, w%en %e (roug%t Pascual Orti,-Ru:io (an engineer and di6lomat) from %is 6ost as "e$ican Am(assador to Bra)il to (ecome President of "e$ico, t%at t%is act would neutrali)e t%e internal 6olitical struggles t%at t%reatened %is 6lanned role as "e$ico>s :4trong "an; w%en %e returned from Euro6e in 10G-* However, t%is man Calles %ad selected to :win; t%e 6residency in 10,0 was not t%e 6u66et 6resident for w%om %e %ad %o6ed*

, p. 74

Brti) ?u(io not only refused to follow Calles> orders (ut (elieved t%at %e could govern in %is own rig%t&&even t%oug% %e was in a weak leader wit% no real 6olitical su66ort in "e$ico* Back in "e$ico, Calles saw Brti) ?u(io as (eing so ineffective t%at %e was discrediting t%e conce6t of Calles (eing "e$ico>s 4trong "an* Hence in 10G,, t%e troug% of t%e world de6ression after 10,0, Calles removed Brti)&?u(io and 6laced into 6ower 5eneral ':elar!o Ro!r6gue,, w%o as governor of Ba=a California %ad turned it into an attraction for American tourists seeking gam(ling and 6rostitution* Brti) ?u(io and ?odrNgue) (as well as Portes 5il) %ad to co6e wit% t%e arrival from t%e U4A of nearly 7--,--- "e$ican workers w%o were :re6atriated; to "e$ico, forci(ly or :voluntarily; to esca6e %arassment, during t%e world de6ression*!! 3%ereas Portes&5il %ad (ecome President of "e$ico as an inde6endent force to negotiate t%e 6revention of violence as Calles left t%e country during t%e investigation of t%e assassination of B(reg!n, Brti) ?u(io and ?odrNgue) won t%eir =o(s (y (eing selected (y t%e :deda)o;Qt%e virtual :6ointing of t%e finger; (y Calles* <%us Brti) ?u(io and ?odrNgue) were :6residents; in name only* Dn contrast, +C,aro CCr!enas !el R6o #+C&9 w%o from 10GM t%roug% 10Hwould (e t%e President of "e$ico, won %is 6ost wit% su66ort from all regions of
!!

See Journal of 'meri,an 5istory* ///.indiana.edu1^=ah1-exico1-apsti-e.ht-l

, p. 75

"e$ico and was elected after %e traveled to w%at seemed like every corner of t%e country (Calles was de6orted from "e$ico (y President LI)aro CIrdenas in 10GM*) <%e elite (e%ind t%e Central 5overnment constructed One-Party 5emocracy (P1R, 10,0U PRM, 10G/U PRI, 10HM) under t%e Official Party (10,0&,---)* By t%e 100-s, t%is system was called t%e PRI-8o:ierno (P?D 5overnment), as t%e Bfficial Party came to (e known, making no distinction (etween t%e 6olitical 6arty and t%e government* <%us, t%e Bfficial Party (w%ic% e$6licitly %eld t%e Presidency from 10,0 t%roug% ,---) %ad t%ree names@ Parti!o 1acional Revolucionario #P1R&9 />->-/>?@P Parti!o !e la Revolucion Me)icana #PRM& />?@-/>EAP Parti!o Revolucionario Institucional #PRI&9 />EA--...9?E <%e P ? gave 6ower to "e$ico>s regional (ossesQt%e state governors and generals w%o controlled t%e military regions* <%e P ? articulated t%e realities of t%e 10,-s, in w%ic% t%e state foug%t over suc% matters as (a) w%et%er land reform s%ould create communally&owned farms (EMi!os) as units for individual 6lots or (() E=idos worked collectively for farming and ranc%ing* EMi!os are not necessarily communal farms $er se9 :ut :elong to t(e community9 *(ic( aut(ori,es (o* t(e lan! *ill :e use!9 eit(er :y
!%

4ince 9ecem(er ,---, t(e PRI is t(e Former Official Party #PRIUFOP&9 w%ic% still %olds t%e s)o6ernorship of -ore than half of Mexico's state )o6ern-ents.

, p. 76

in!ivi!ual families *or4ing alone or grou$s of families *or4ing toget(er in communal form0 5uring t(e />?.s some t(oug(t t(at t(e i!ea of communes in t(e I""R *ere t(e same as communally run farms in Me)ico9 :ut t(ere is no connection0 (e communes in t(e I""R (a!

:ecome9 e)$licitly or im$licitly9 state farms un!er government o*ners(i$ an! control9 *(ic( *as not t(e case in Me)ico0
Collective E=idos s%ould not (e confused wit% Coo$eratives made famous in t%e 3isconsin 9airy Belt of t%e U4A (y individual 6roducers w%o maintain t%eir inde6endence e$ce6t in t%e (1) collective (ulk 6urc%ase of su66lies and (,) marketing of t%e 6roducts* Collective negotiation for t%e 6urc%ase of su66lies and sale of 6roducts %as given t%e American Coo6s greater income*

As governor of t%e state of "ic%oacIn (10,/&10G,), +C,aro CCr!enas !el R6o #+C& esta(lis%ed %is credentials as a :reformer; (y im6lementing a) organi)ation of new "in!icatos #+a:or Inionism&G7 outside t%e control of Calles> corru6t Union leader Luis "oronesU () a new sc%ool curriculum involving t%e teac%ing of socialist and se$ual educationU and (c) t%e distri(ution of lands to E=idatarios*

!5

Sindicatos are the basis of S6ndica*ism* a type of econo-ic syste- proposed as replace-ent for capitalis- and state capitalis- Hso-eti-es called State socialis-L. Syndicalis- utili>es federations of collecti6ist Sindicatos to achie6e political )oals as /ell as econo-ic )oals. 8or adherents* Sindicatos are the potential -eans of both o6erco-in) capitalist exploitation of the /orBers and runnin) society fairly in the interest of the -a=ority. Fndustry in a Syndicalist syste- theoretically is ad-inister throu)h co:operati6e alliances and -utual aid. 3ocal Syndicates co--unicate /ith other Syndicatos throu)h their Sector in a political partyDin Mexico the Official ,arty. HFn 1$2!* e.).* "ie'o %i8era founded the "in!icato !e O:reros Hcnicos9 Pintores9 Escultores y 8ra:a!ores Revolucionarios !e MH)ico*) :An em6%asis on industrial or)ani>ation /as a distin)uishin) feature of syndicalis- /hen it be)an to be identified as a distinct current at the be)innin) of the 2+th centuryY* seein) trade unions as si-ply a steppin) stone to co--on o/nership.4 HAdapted fro- httpG11en./iBipedia.or)1/iBi1Syndicalis- and httpG11///.ans/ers.co-1topic1syndicalis- L

, p. 77

3%en Calles ordered from Euro6e t%at President Portes&5il and 5ov* Cardenas cease suc% distri(utions t%ey (ot% refused* <%e 5overnor o6enly ignored Calles> order, and seemingly sealed %is fateQ%e would not receive Calles> deda)o to (ecome "e$ico>s President for t%e 6eriod from 10GH to 10H-* evert%eless, t%e de6t% of t%e world de6ression and its im6act u6on "e$ico soon made Calles reali)e t%at "e$ico needed a reform governor in 6ower w%o could (e com6ared to t%e e$ecutive role t%at C9? %ad en=oyed in t%e state of 10GG* ew Fork (10,0&10G,) (efore %e (ecame t%e U*4* President in

//:0 "ocial P(ase #/>?E-/>E.& LI)aro CCr!enas (+C), President for t%is newly esta(lis%ed si$&year term ((eginning 9ecem(er 1, 10GH and ending 9ecem(er 1, 10H-) set out to give E=idatarios and factory workers real 6ower ((uilt u6on t%e accom6lis%ments of Portes 8il, 10,/&10G-) to undertake full :lan! reform0 LC distri(uted more good land t%an anyone (efore or after* <o %el6 foster agricultural develo6ment (y E=idatarios (w%o %ad no collateral (ecause until t%ey did not %ave title to t%eir land until t%e 100-s), %e founded t%e Ban4 for EMi!o Cre!it--t(e Ban4 of 'gricultural Cre!it #/>-A& (a! turne! out to :e focuse! on $rivate cre!it :ase! on t(e collateral of t(e title to t(eir $ro$erty0

, p. 78

YF%>S9 FOR?>R5F "u:se<uently t(e EMi!al Ban4 *oul! (ave to cancel all un$ai! loans :ecause most EMi!atarios *ere too $oor to re$ay or (a! suffere! :a!-cro$ years #e)treme *eat(er9 $ests9 lac4 of fertili,ers&0 (ose *(o (a! not $ai! coul! not :orro* unless t(eir !e:ts *ere $erio!ically cancelle!0 EMi!atarios soon learne! t(at if t(ey !i! not $ay9 t(eir !e:ts *oul! :e *i$e! out an! t(ey coul! get a fres( startLcertainly not an incentive to ever re$ay loans0& Before LC could act wit% a free %and, in 10GM %e %ad to de6ort from "e$ico Calles and %is o6enly corru6t cronies Luis Morones and "elc%or Ortega9 *(o o$$ose! stri4es an! lan! reform :ac4e! :y +C0 <%is de6ortation was carried out smoot%ly, t%us ending t%e strikes t%at %ad 6araly)ed t%e country to su66ort CIrdenas against Calles* LC did t%is (y recogni)ing Kicente +om:ar!o- ole!ano as 4u6reme Leader of all "in!icatos (La(or Unions wit% 6olitical goal as well as economic goals), taking 6ower from t%e gras6 of "orones and Brtega, w%o %ad favored 6rivate factory owners since t%ey %eaded t%e la(or movement under Calles (10,H&10,/, 10G1&10G7)* <aking t%e government into directly controlling agricultural 6roduction and consum6tion, CIrdenas esta(lis%ed in 10G. (CED"4A) t%e agency t%at would (ecome officially known in 10M1 as CO1'"IPO0 CB A4UPB was su(sidi)ed (y t%e government from 10G. t%roug% 1000 to 6ay fair 6rices to farmers and c%arge low 6rices to consumers for (asic foods* Dn 10G7, CIrdenas

, p. 79

%ad esta(lis%ed A 94A, ational 4ilos and 9e6ositories for 4eeds and 5rains, to 6revent 6rivate dealers from (uying critical su66lies at low 6rices during t%e %arvest season and %oarding t%em until winter s%ortages drive u6 t%e 6rices* Dn 10G0 CIrdenas esta(lis%ed Cat%er, in 10G0 %e esta(lis%ed t%e agency t%at would known as 5ICO1"' to distri(ute food su66lies and o6en stores t%roug%out all "e$ico* 3%en LI)aro left office in 9ecem(er 10H-, %e declared t%at, wit% H,8 of t%e agriculturally em6loyed 6o6ulation %aving received land (1G8 of "e$ico>s land surface %aving (een distri(uted since 101.), t%at t%e land reform %ad (een com6leted, little knowing t%at %e %ad only set t%e (ar for t%e Bfficial Party a(out %ow to use furt%er land distri(ution as t%e test of :revolutionaryness*; Dn 10G/, CIrdenas nationali)ed t%e foreign&owned 6etroleum industry and created PEMEX as t%e state oil com6any created to administer and im6rove t%e :%ated; e$6ro6riated 6etroleum com6anies* LC left t%e PE"EE La(or Union in c%arge of newly nationali)ed industry* 4u(se'uently all 6olitics a(out PE"EE %as revolved around %ow to im6lement increasingly greater control of 6rofessional 6etroleum engineers w%o %ave a world view if matters rat%er t%an worker control for t%eir own interests* <%e idea t%at :PE"EE (elongs to t%e "e$ican 6eo6le is ludicrous;Qit (elongs to t%e entrenc%ed workers, w%ose union (enefits from :sweet&%eart; contracts and a(ility to overrule rationale 6rofessional decisions, t%ere(y making 6rofessional management su(servient to t%e PE"EE Union w%ic% s%ould only (e :co&e'ual*;

, p. 80

<%e t%eory of suc% nationali)ations meant t%at 6rofits could (e generated for non&6rivate use suc% as t%e (uilding of sc%ools, clinics, roads, sc%olars%i6s, and %ig%er worker salaries, w%ile also generating reasona(le ta$es to (e 6aid to t%e federal government* Unfortunately PE"EE soon ac'uired dou(le t%e num(er of workers needed, many of w%om were like 9Na)>s army and 6oliceQ6ositions left vacant (ut still (udgeted, t%us leaving funds to (e used corru6tly* (3%ereas 9Na) %ad a 6%antom army of army and 6olice, t%e PE"EE la(or Union %as a 6%antom army of workers*) Until t%e mid&10.-s PE"EE lost %uge amounts of money and %ad to (e su(sidi)ed* (Because of :accounting; 6ro(lems, PE"EE still is not sure w%at it costs to 6roduce one (arrel of oil*) LI)aro CIrdenas was t%en free to com6lete nationali)ation of most of t%e country>s railway system, creating Ferrocarriles 1acionales !e MH)ico9 w%ic% dealt a severe (low to t%e %ene'uen industry in t%e FucatIn (as did CIrdenas sei)ure of many %aciendas for redistri(ution to t%e workers on t%e %ene'uen 6lantations) w%o no longer %ad easy trans6ort from fields to 6ort* "ost im6ortantly, LI)aro CIrdenas secretly launc%ed t%ree ma=or :economic revolutions,; t%e first announced wit% little fanfare so as not to disa66oint %is leftist (ase of su66ort@ i& In!ustrial Revolution in Me)ico (10GH&&) t%at arose (y inking t%e 5overnment to t%e Private 4ector (e$ce6t PEMEX)* <o accom6lis% t%is task, %e created t%e ational 9evelo6ment

, p. 81

Bank ( ACD 4A) in 10GH*GM 1'FI1"'s second e6oc% (egan under President Manuel 'vila-Camac(o in 10H1, w%o e$6anded its investment in industry and infrastructure (e*g*, trans6ortation, su(sidy of

!6

Se)_n WiBipedia* LA

%IM&%A &TA A de The ?ational (e6elop-ent

@anB H!AFI!SA; fue pro-o6ido en 1$!% por el secretario de .acienda Marte %. #=meA* Que dio ori)en a ?acional 8inanciera. ?acional 8inanciera es el cuarto paso Que se da en el ca-po de la or)ani>aciCn bancaria nacional. Se su-a al @anco de M\xico* al @anco ?acional de "r\dito A)r<cola y al @anco ?acional .ipotecario Erbano y de Obras ,_blicas* y operarW co-o todas las instituciones aQu< enu-eradas para bien de la econo-<a -exicana y para pro6echo de toda la ?aciCn4 ;n esta etapa la labor de ?acional 8inanciera se enfocC* principal-ente* a reincorporar a la econo-<a pri6ada los bienes in-uebles ad=udicados al )obierno y a los anti)uos bancos de e-isiCn. Al -is-o tie-po* de -anera paulatina e-pe>C a adQuirir i-portancia co-o or)anis-o de fo-ento del -ercado de 6alores al e-itir* en 1$! * sus pri-eros t<tulos financieros e inter6enir* en el -is-o a]o* en la e-isiCn de 6alores bancarios e industriales. ;n 1$!$ la instituciCn lo)rC ele6ados ni6eles en el otor)a-iento de cr\dito y en la co-pra6enta de 6alores* ade-Ws de inter6enir creciente-ente en la e-isiCn y colocaciCn de acciones y bonos industriales. &tapa Se'9nda R romoci=n de *a in8ersi=n prod9cti8aR A principios de la d\cada de 1$%+* el )obierno estableciC el desarrollo de la infraestructura del pa<s y la pro-ociCn de la in6ersiCn producti6a co-o los ob=eti6os esenciales de la labor de ?acional 8inanciera. See httpG11es./iBipedia.or)1/iBi1?acionalR8inancieraRHM\xicoL`;tapaR,ri-eraR .22Mo6ili>aci."!.@!nRdelRahorroRnacional.22 HMarch 2!* 2+1+L.

, p. 82

6rivate com6anies), Avila&Camac%o mistakenly %as received all t%e credit for t%e industriali)ation (oom fostered (y CIrdenas* ii0& 8reen Revolutions in 3orl! 'gricultural Pro!uctivity #/>E.--& t%at arose t%roug% t%e arranging t%e (asis for esta(lis%ing in "e$ico t%e Dnternational Center for t%e Dm6rovement of Corn and 3%eat (CIMMy )* CD""y< was develo6ed w%en Professor 1orman E0 Borlaug arrived in "e$ico as 6art of a team from t%e U4A to esta(lis% t%e First 8reen 'gricultural Revolution* Borlaug s6ent ,- years develo6ing %ig%&'uality w%eat t%at could t%rive in "e$ico>s difficult conditions of fierce winds and 6ro(lematic water su66ly as well as nutritionally de6leted soils* Because Borlaug>s new w%eat seeds and grain came to fruition =ust in time %im to organi)e "e$ican e$6orts to save Dndia and Pakistan from famine in 10M.*
:After Dndia gained inde6endence in 10H., t%e country couldnRt even dream of feeding its 6o6ulation* Dm6orting food wasnRt 6ossi(le (ecause Dndia lacked t%e cas% to 6ay* Dndia relied on food donated (y t%e U*4* government* :Dn 10M., t%en&Prime "inister Dndira 5and%i im6orted 1/,--- tons of %y(rid w%eat seeds from "e$ico* <%e effect was miraculous* <%e w%eat %arvest t%at year was so (ountiful t%at grain overflowed storage facilities* :<%ose seeds re'uired c%emical fertili)ers to ma$imi)e yield* <%e c%allenge was to make fertili)ers afforda(le to farmers w%o lacked t%e cas% to 6ay for even t%e (asicsQfood, clot%ing and s%elter* :Back t%en, giving cas% or vouc%ers to millions of farmers living all over Dndia seemed like an im6ossi(le task fraug%t wit% t%e 6otential for corru6tion* 4o t%e government 6aid su(sidies to fertili)er com6anies, w%o

, p. 83

agreed to sell for less t%an t%e cost of 6roduction, at 6rices set (y t%e government* :<%e su(sidies were designed to make u6 t%e difference (etween t%e 6roduction 6rice and sale 6riceQand to give t%e 6roducers a 1,8 after&ta$ return on any e'uity investment*;! \F+'"H FOR3'R5@ <%is system in Dndia was %ig%ly 6roductive t%roug% t%e 10/-s, (ut t%en failed, as is discussed in 4ection 1G(, (elow*_

Cor t%is feat, Borlaug earned t%e o(el Pri)e in 10.-, and at t%e award ceremony in 4tock%olm, %e acknowledged t%e researc% of %is "e$ican ?esearc% <eam at CD""y<* <%e esta(lis%ment of CD""y< arrival in "e$ico was 6ossi(le only (ecause LI)aro CIrdenas %ad asked Henry 3allace (U*4* Jice& President Elect and former U*4* 4ecretary of Agriculture) for %el6 "e$ico in resolving t%e failure of t%e E=ido system to 6roduce food for its emerging ur(an sector* CIrdenas named Marte R0 8Gme, as 4ecretary of Agriculture to assure national food su66ly during t%e difficult transition in 9ecem(er 10H- to t%e Presidency of Avila&Camac%o* \F%>S9 FOR?>R5F Borlaugs "econ! 8reen 'gricultural Revolution *oul! not come until May />>> #see Part /?:9 :elo*&9 *(en (e announce! in Me)ico of (aving !ou:le! t(e amount of $rotein in corn see!s0Z iii& ourist In!ustry in Me)ico #since />E.&, (eing led (y 5en* 2uan 'n!reu 'lma,Cn as t%e inadvertent result of +C,aro

httpG11online./s=.co-1article1S@1+++1%2%+52 %# +!615$+%5 5+52$216 12 2!#%%.ht-l70;9WO&(SI)reenare6olutionainaFndia


!

, p. 84

1O (aving c(osen 'lma,Cn to (e t%e Bfficial Party candidate in 10H-, as is discussed (elow* Curt%er, LI)aro CIrdenas transformed in 10G/ t%e Bfficial Party from t%e P ? ((ased on 6olitical (osses) into t%e P?" to (ased on XCor$orativismX, t%at is government (ased u6on social sectors of related to occu6ation, in t%e style of "ussolini (w%o many Latin American economic ideologues in t%e 10,-s and 10G-s saw as %aving created economic sta(ility in Dtaly)* Cor6orativism, w%ic% %as continued u6 to t%is day to dominate t%e t%inking of rank&and&file 4indicato mem(ers (ecause t%eir leaders :co&govern; wit% management* Cor e$am6le, in t%e case of t%e 4ecretariat of Education, government officials determine 6olicy and te$t(ooks,

&&&&& Cigure G 9iego ?ivera and Crida Oa%lo

, p. 85

5iego Rivera and Fri!a 7a(lo lead 6rotest marc% (y t%e 4indicato of Painters and 4cul6tors (<%is 4indicato was esta(lis%ed (y ?ivera in 10,G and %e was an active leader until %is deat% in 107.*) <%e memory lives on and t%is 6%oto %as (een a sym(ol for suc% movements as t%e 6rotest against t%e Bfficial Party in 10M/ as can (e seen in %tt6@AAgato6ardo*(logia*comAtemasAinforme&femos66&crimenes&de&la&guerra&sucia&en& me$ico*6%6 &&&&&&

(ut t%e <eac%ers Union determines w%ere teac%ers are assigned and w%ic% teac%ers are 6romoted* <o 6rotect t%emselves 6olitically and mo(ili)e votes, artists =oined 4indicatos, as t%e 6%oto of 9iego ?ivera and Crida Oa%lo suggests (see Cigure

, p. 86

G)*Dn my view, Cor6orativism (a 6olitico&economic system of state ca$italism esta(lis%ed (y suc% dictators as Mussolini9 Hitler, and "talin in t%e 10,-s and 10G-s) s(oul! not :e confuse! wit% :Cor6oratism; t%at is t%e (asis of 3estern $rivate ca$italism9?@ *(erein 3estern 6rivate cor6orations t%e conformity of (oosterism,G0 as in 4inclair Lewis>s novel Babbit (10,,)*H<%e Cor6oratist system involves t%e re'uirement t%at all large 6rivate enter6rises (and some key medium&si)e 6rivate com6anies) =oin associations suc% as C(am:ers, suc% as t%e C%am(ers of Dndustry and C%am(ers of Commercial Activity* <%ese associations (or 5rou6s of Power) did not fit wit%in t%e Bfficial Party, (ut %old an advisory role wit% a direct line to t%e President of "e$ico to re6resent t%e views of t%eir mem(er Private Com6anies as well as to negotiate (enefits for Cor6orativist associations of workers re6resented (y t%eir "in!icatos0 <%e C%am(ers, w%ic% re6resent 6rivate ca6ital, were t%eoretically e$cluded from 6olitics, (ut gained greater 6olitical im6ortance t%an if t%ey were in one of t%e four sectors of t%e Bfficial Party (or since ,--- in any 6olitical 6arty)@ <%is (ecause of t%eir direct access to "e$ico>s su6reme 6olitical leader Qt%e President* <%e P?" set fort% four sectors, w%ic% were su66osed to select t%e Bfficial Party>s candidate to (e President and generate 6olicy, (ut in reality sim6ly followed 6residential orders@
!#

4ome sources do confuse t%e two terms and one can see t%e confusion caused (y doing so in, for e$am6le@ %tt6@AAen*wiki6edia*orgAwikiACor6oratism !$ 4ee %tt6@AAen*wiki6edia*orgAwikiABoosterism %+ %tt6@AAen*wiki6edia*orgAwikiABa((itt

, p. 87

/0 Peasant "ector (organi)ed as a consortium of Ligas de Cam6esinos under t%e name C1C--Confe!eraciGn !e

Cam$esinos !e MH)ico) -0 In!ustrial +a:or (organi)ed as a consortium of 4indicatos as t%e C MLConfe!eraciGn !e ra:aMa!ores !e MH)ico&9 foun!e!

an! le! since />?A :y Kicente +om:ar!o- ole!ano #K+ & ?0 Po$ular "ector (e*g*, 6rofessionals, smallAmedium 6rivate (usiness 6ersons, (ureaucratic 4indicatos) E0 Military "ector (organi)ed (y rank)

<%e most im6ortant 5rou6 in "e$ico (t%e 8rou$ of :an4ers an! in!ustrialists) was left out of t%e P?" (ut given an advisory role to t%e President* <%is 5rou6 turned out to (e muc% more im6ortant t%an t%e any of t%e four sectors of t%e Bfficial Party* 3it% regard to t%e rig%t of women to vote, :LI)aro CIrdenas drafted a (ill to im6lement female suffrage, w%ic% was 6assed (y (ot% t%e 4enate and C%am(er of 9e6uties, was ratified (y t%e states, and only needed formal declaration to (e made into law* <%at declaration never came* <%e 6resence of a num(er of street demonstrations \for and against_, a t%reatened %unger strikes (y feminists, and fears t%at women would (e unduly influenced (y t%e clerical

, p. 88

vote, unnerved CIrdenas at t%e last moment* 4ince t%e suffrage cam6aign was not a mass movement, it was easy to let t%e needed declaration sli6 away*;%1 Per%a6s LI)aro recalled t%e scandal of %is %aving offered se$ual education during %is governors%i6 of t%e state of "ic%oacIn and t%e failed attem6t to do so during %is 6residencyQin t%ose cases 6u(lic gossi6 claimed t%at %e was attem6ting to 6rostitute women* Until t%e 107-s, many men and even some women saw t%e role of women as t%at of remaining outside t%e 6olitical s6%ere* President LI)aro CIrdenas s%owed %is o6enness to a 6lural society@ i& He tried to 6rotect Leon <rotsky, w%o was welcomed in 10G. after esca6ing ii& from 4talin>s secret agents, one of w%om will murder %im in "e$ico City in 10H-U iii& CIrdenas met wit% ?e6u(lican 46aniards w%o continue to arrive after %aving esca6ed from t%e Cascist :victory; in 46ain (y 5eneral Crancisco CrancoU iv& CIrdenas increased government loans and su(sidies to 6rivate industry even as %e dee6ened t%e role of t%e Cor6orativist sindicatos to co&govern industry wit% t%e 6rivate ownersU v& CIrdenas and %is Bfficial Political Party&5overnment allowed (facilitatedS) t%e registration of a new 6olitical
%1

Quote is fro- ///./o-enin/orldhistory.co-1essay:+6:+%.ht-l

, p. 89

6arty, t%e $rivate-sector-:ase! P'1 ((acked (y t%e C%urc% t%roug% its network of 6aris% 6riests)* Dn 10G0, "anuel 8Gme,-Mor6n founded t%e Parti!o 'cciGn 1acional (P'1) to re6resent t%e 6rivate sector as well as t%e 6o6ulation t%at is oriented toward following t%e dictums of t%e Cat%olic C%urc% ((ut not necessarily t%e 6riests)* <%e PA originally feared t%at CIrdenas was a 4tatist, (ut later came to reali)e t%at %e was not* \F%>S9 FOR?>R5@ 5aining force slowly (ut steadily, t%e PA will not win its first governors%i6 until 10// in Ba=a California and its first Presidency of "e$ico in ,---*H,_ Dn t%e meantime, 5!me)&"orNn and t%e PA faced o66osition from among some lay Cat%olics w%o t%oug%t voting to (e t%e useless voting (ut t%e Bfficial Party did not really count t%e votes* <%us, in 10G. "alva!or ':ascal %ad esta(lis%ed t%e "inar<uistas "ovement to make its 6rotest against t%e :Communist; government, and rat%er t%an trying to vote or to use t%e violence of t%e Cristeros, A(ascal organi)ed non&violent marc%es of 6easants t%roug%out 3est&Central "e$ico* "inar<uismo #*it(out anarc(y& soug%t to remake "e$ico on t%e model of Crancisco Cranco

%2

8Gme,-Mor6ns oral %istory interviews are in (rente a la <e$oluci3n Mexicana (rente a la <e$oluci3n "e$icana@ 1. Protagonistas de la Eta6a Constructiva, (y t%e 3ilkies, Jol* , (,--1), www*6rofme$*orgAme$icoandt%eworldAvolume.AGsummer-,A-,inde$G*%tm

, p. 90

(w%ic% was emerging in t%e 46anis% Civil 3ar)&&Cranco (ased %is government on an alliance wit% t%e ?oman Cat%olic C%urc%* 9iscredited (y 10H1 as %is followers tired of 6eacefully marc%ing and marc%ing wit%out any results, A(ascal left for Ba=a California w%ere %e esta(lis%ed Colonia "arNa Au$iliadora to 6rove %is claim t%at, wit% 5od>s %el6, %e could make t%e dry dessert (loom wit% food* His colony t%ere would com6letely fail in 10HMU and %e and %is followers %ad to (e saved, ironically (y LI)aro CIrdenas, w%o after leaving t%e 6residency in 10Hwould serve as "e$ico>s "inister of 9efense during 3orld 3ar DD* "eanw%ile as President, LI)aro CIrdenas invested government funds in 6rivate com6anies to s6ur new industry* Even (efore %e left office, %e 6rivately admitted t%e economic failure of most of t%e E=ido system* <o smoot% t%e transition to Avila&Camac%o, w%o :won; t%e election of 10H-, LI)aro CIrdenas named "arte ?* 5!me) 4ecretary of Agriculture to s6an %is government to t%at of "AC, and t%e U*4* 5overnment sent to t%e inauguration Henry 3allace to assure all "e$ico t%at, on t%e eve of 3orld 3ar DD, t%e U4A recogni)ed t%e victory of t%e Bfficial Party candidate, t%us forestalling a military revolution led (y t%e losing candidate* <%e loser in t%e Presidential Election of 10H- was 5eneral 2uan Andreu 'lma,Cn, w%o %ad (uilt t%e roads of ort%&East "e$ico and t%e

?ailroad from t%e :"ainland "e$ico; to t%e Peninsula of FucatIn* (He

, p. 91

was (acked in %is cam6aign for t%e 6residency (y 5iego Rivera, w%o saw t%e LC and :%is; Bfficial Party as %aving (ecome :4talinist in control of 4tate 6ower*) Alma)In did not rise in arms wit% %is troo6s w%en %e lost t%e rigged election of 10H- (as %ad (een t%e tradition for :strongmen;), (ut rat%er %e :retire! to 'ca$ulco to initiate t(e Me)ican ourist In!ustry0 He reali)ed t%at Aca6ulco was t%e future of tourism, es6ecially attracting Hollywood ty6es w%o could not go on vacation to Euro6e after 3orld 3ar DD (egan* Having (roken wit% t%e Bfficial Party, %owever, Alma)In was left out of t%e Bfficial History of "e$ico, in w%ic% President "iguel AlemIn is t%e %ero in t%e story of %ow t%e tourist industry was esta(lis%ed* Dn t%e meantime, LI)aro esta(lis%ed t%e country>s social security system, w%ic% would (ecome D"44 (Dnstituto "e$icano de 4eguro 4ocial) under %is successor* Avila&Camac%o %as mistakenly received all of t%e credit for t%e esta(lis%ment of D"44* YC+'RIFIC' IO1F Dn "e$ico, D"44 covers (i) retirement for most at age M7 and (ii) %ealt% 2ithout a!e limit for all contri(uting workers and t%eir families* (Dn contrast, U*4* "edicare is se6arate from U*4* 4ocial 4ecurity and (ot% are limited (ecause t%ey only (egin for most at a!e *6*)
WorBer disability is co6ered HpoorlyL in both countries after -ini-uperiod of /orB history.T

, p. 92

<%e 6o6ulation of "e$ico grew from 1M*M million in 10G- to 10*. million in 10H-, t%is growt% encourage (y President CIrdenas (ecause %e saw "e$ico as lacking t%e 6o6ulation to (ecome consumers of "e$ican industrial 6roduction* Dndeed, "e$ico>s 6o6ulation did not reac% its Pre& Colonial level of ,7 million until 107- (as s%own in Booklet of Charts, C%art G)* //c* Economic P(ase #/>E.s-/>=.s Presidents Manuel 'vila-Camac(o ("AC, 10H-&10HM) and Miguel 'lemCn (10HM&107,) also oversaw t%e "e$ico>s Dndustrial ?evolution and its :Economic "iracle; (1071&10/-), w%ic% saw low inflation as well as %ig% 59P growt% (averaging A0ER yearly) under Presidents '!olfo Rui,Cortines (107,&107/) and '!olfo +G$e,-Mateos #AL", 107/&10MH)* Cigure H s%ows restoration of economic growt% sta(ility t%at %ad (een lost wit% t%e fall of 9Na)* <o assure 6olitical sta(ility, during 3orld 3ar DD, "AC s6ear%eaded t%e esta(lis%ment of t%e +a* of "ocial 5issolution in 10H1* Fnitially this ne/ 3a/ /as ai-ed a)ainst the 2fascist4 tendencies of the ti-e* but it /as not re6oBed until three decades later and /as freQuently used a)ainst leftists and other dissidents* /ho /ere* supposedly tryin) to [dissol6e[ societyL. Fn 1$% the strin)s on labor unions /ere ti)htened* as the Ministry

, p. 93

of 3abor /as )ranted the ri)ht to refuse to accept the le)iti-acy of elected union officials::/hich* in fact* )a6e the Ministry the po/er to appoint [suitable[ persons as union leaders instead of elected ones.%!

&&&&&& Dnsert Cigure H

See Pekka Valtonen, ,olitical (iscourse* the State and the ,ri6ate Sector in Mexico* 1$%+:1$#24 Artikkelit Lokakuu H2+++LR///.helsinBi.fi1hu-1ibero1xa-an1articulos12+++R+516altonen.ht-l
%!

, p. 94

Those /ho resisted the i-position of Official ,arty such dictu-s as the one that )a6e the )o6ern-ent full control o6er the labor sector could be and /ere char)ed /ith 6iolatin) the 3a/ of Social (issolution. Fndeed this 3a/ /ould pro6e to be useful to the Official ,arty durin) the "old War* especially after 8idel "astro ca-e to po/er in "uba be)innin) Nanuary 1* 1$5$. <%e 6olitical situation in "e$ico was :t%reatened; (y events in Cu(a, w%ic% (ecame a counter&model to t%at of t%e P?D (ecause com6arison to "e$ico was inevita(le* Bn t%e one %and, one 6art of t%e "e$ican government %ad %el6ed Cidel launc% %is invasion of Cu(a from "e$ico in 107M, (ut on t%e ot%er %and t%e 'uestion (ecame :could t%e P?D (e su66lanted (y a :%idden; "e$ican :Communist; 5rou6S <%e Left in "e$ico did claim t%at t%e Cu(an model meant true ?evolution com6ared to t%e P?D, w%ic% only administered :"e$ico>s dead ?evolution*; <%e role of Communism in "e$ico, t%e ideology of t%e 6rotest movements taking 6lace t%ere from 107/ t%roug% 10M/, and t%e difficult logic of "e$ico>s relations%i6 wit% U*4*&Cu(a relations%i6 com6licated t%e ideological and economic situation of "e$ico, es6ecially in lig%t of t%e 6rofoundly different views t%e two nations %ad of t%e Cold 3ar* :<%e Cold 3ar world,; writes 2ulia 4loan, :was governed (y t%e (i6olarity esta(lis%ed and enforced (y t%e United 4tates and t%e 4oviet Union* 3it%in t%is conte$t, t%e su6er6owers engaged in a glo(al struggle for not%ing less t%an bt%e soul of mankind,> eac% advancing t%eir own agendas for t%e (etterment of all* Cor t%e United 4tates t%e route to 6rogress lay in moderni)ation t%roug% democratic ca6italism, involving (ringing t%e world>s 6oorer nations into t%e international economy and

, p. 95

elevating t%e living conditions of t%eir 6eo6le* Conversely t%e 4oviet Union similarly advanced im6rovements in t%e material 'uality of life for t%e world>s 6oor, (ut t%roug% t%e communist system* <%us, (ot% su6er6owers %ad essentially t%e same (road agenda, (ut diametrically o66osed ideologies governing %ow to ac%ieve it* :Practically, %owever, t%eir met%ods for reac%ing t%is goal were not so far a6art, (ot% involving t%e assertion of t%eir military and economic 6ower over t%e world>s weaker and 6oorer nations* :"e$ico was one suc% nation* Cor t%e United 4tates t%e Cold 3ar was a glo(al struggle against communism as em(odied (y t%e totalitarian 4oviet state* <%e United 4tates government and a significant 6ortion of its citi)enry considered communism an evil force in t%e world, one t%at must (e com(ated wit% all availa(le ideological, military, and financial means* "e$icans, and Latin Americans in general, on t%e ot%er %and took a muc% less critical view of communism and were less likely to associate all t%ings communist wit% t%e 4oviet Union* As a result, \"any_ "e$icans viewed t%e Cold 3ar not as a 6rinci6led crusade, (ut as an e$am6le of aggression (y \two_ im6erialist states w%ose financial and military 6ower allowed t%em to dominate less develo6ed countries*_;44 Dndeed, for (ot% t%e U4A and U44? "e$ico City (ecame t%e international s6y ca6ital of t%e Americas to :listen; to eac% ot%er>s radio traffic covering military activities in t%e Americas and Cu(a>s military traffic a(out it intelligence and counter&intelligence* As t%e s6y ca6ital, "e$ico City (ecame t%e %ome in t%e Americas for governmental s6ies for every ma=or country in t%e 3orld, all seeking to s6y u6on eac% ot%er as well as t%eir county>s :enemies;*
%%

4ee 2ulia 4loan, :Carnivali)ing t%e Cold 3ar,; .uro ean 0ournal of American Stu!ies (,--0) %tt6@AAe=as*revues*orgAdocument.7,.*%tml

, p. 96

\F%>S9 FOR?>R5@ Before Lee Harvey Bswald (a former U*4* military s%ar6s%ooter) assassinated President Oennedy in 10MG, %e visited t%e ?ussian Em(assy in "e$ico City* Bddly enoug%, (y t%en Bswald %ad not only tried during a two&year stay in ?ussia to o(tain citi)ens%i6 t%ere, (ut %ad t%reatened at t%e U*4* Consulate in "oscow to renounce %is U*4* citi)ens%i6* Alt%oug% ?ussia re=ected %is a66lication to (e a citi)en, t%e 'uestion arises a(out %is 6ossi(le role as :dou(le agent; or 6er%a6s :tri6le agent; and for w%omS (He lived in ?ussia from Bcto(er 1070 to "ay 10M,, em6loyed for several years in "insk at an electronics factory as a lat%e o6erator, and also receiving a su(sidy from t%e 4oviet ?ed Cross) U*4* intelligence was :officially; as confused a(out Bswald>s visit to t%e ?ussian Em(assy as t%ey were w%en t%ey sent t%e CBD to investigate American citi)ens for su66osedly %aving o6enly (and legally) visited t%e 4oviet Em(assy in "e$ico CityQt%e CBD %ad informants at all universities in "e$ico City and ,H&%our film surveillance of :o6en visits;, (ut (ecause so many informants gave erroneous information to gain (onuses, t%e CBD never could (e sure t%at if it %ad (een a(le to film :all 6ersons; w%o %ad su66osedly :met wit% t%e 4oviets*; Dronically, at t%at time t%e CBD was o6erating illegally in "e$ico (CBD worked in t%e U4A, CDA outside U4A), and w%en t%e U*4* 2ustice 9e6artment found out, t%e CBD %ad to de6art from "e$ico*_

P?D Presidents "AC, AlemIn, and A?C (efore and during t%e Cold 3ar aut%ori)ed and encouraged t%e rise of =oint U*4*&"e$ican 6rivate com6anies, w%o

, p. 97

were 6rotected against nationali)ation (y acce6ting a re6resentative of t%e P?D as mem(er of t%e 6rivate com6any>s (oard, muc% to t%e consternation of many anti& American intellectuals in "e$ico* "e$ico>s Private 4ector, %owever, used its 6rivileged relations%i6 to "e$ico>s Presidents in t%e country>s Cor6orativism system, to gain an alliance wit% t%e 4tate and its 6owerful "inistry of 5o(ernaci!n from 10H1 t%roug% 10.-* Dn t%e latter year, Mean/hile* ,resident A6ila:"a-acho had authori>ed in 1$%2 the Mexico to cooperate /ith the E.S. ;-er)ency 8ar3abor ,ro)ra- HNracero ro'ramL allo/in) Mexicans to

perfor- contract /orB in the Enited States for a fixed period. O6er the next 22 years of the pro)ra-'s existence* -ore than %.6 -illion labor contracts /ere officially issued /ith -any /orBers tra6elin) to the ESA outside the E.S. la/* /hich /as laxly enforced. This eased internal pressures in Mexico* /here the rural sector could not acco--odate -illions of /orBers on /orn:out and eroded landsK and it sent /orBers to the ESA instead of to Mexico "ity /here by sheer nu-bers they /ould ha6e dri6en do/n the industrial /a)e le6el.

, p. 98

Dn 10HH "AC esta(lis%ed t%e 4tate Com6any to Buy, ?egulate, and 9istri(ute "ilk, w%ic% in 10MH would (e renamed :Lec%e CB A4UPB*; <%e name was s%ortened to LDCB 4A in 100H and continues in o6eration today, al(eit wit% t%e 4tate s%are of owners%i6 falling from 1--8 to ma=ority to at least 718 4tate owned* Because "e$ico %as %ad 6ro(lems in 6roducing enoug% milk, it %as im6orted 6owered milk from a(road and reconstituted it wit% 6urified water to distri(ute in li'uid form, selling at su(sidi)ed 6rice* %5 Beginning in t%e 10H-s, t%e 4tate develo6ed a com6licated infrastructure to assist CB A4UPB (uying and distri(uting milk and food to t%e 6oorQsome of it at very little or no 6rice to alleviate 6overtyQes6ecially in marginal ur(an and isolated rural areas* "AC>s "inister of 5o(ernaci!n (Dnternal Political Control) was "iguel AlemIn, w%o took office wit% t%e idea of e$6anding industriali)ation in "e$ico* <o esta(lis% t%e c%ange of government, %e reformed t%e Bfficial Party in 10HM (y removing t%e "ilitary 4ector, making it su(servient to t%e President rat%er t%an one of t%e :6illars; of t%e Cor6orativist 6olitical system* He renamed as t%e P?D (Partido ?evolucionario Dnstitucional)* <%e c%ange of name from Partido de la ?evoluci!n "e$icana (P?") to Partido ?evolucionario Dnstitucional (P?D) signified t%at :t%e 6olitical elite wanted to make it crystal clear t%at sta(ility was t%e name of t%e game&&so t%at even
%5

4ee %tt6@AAwww*liconsa*go(*m$A

, p. 99

revolutions could (e institutionali)ed, no matter t%e conce6tual contradiction* <%e cor6oratist 6arty structure, wit% its la(or (C<") and 6easant (C C) sections, was a(le to contain feelings of disa66ointment or dissatisfaction from eru6ting in any collective, mass&(ased ways, (y giving eac% sector a sense t%at its s6ecific needs were (eing %eard and taken care of at least to an e$tent* Dnstances of o6en conflict did occur&&like t%e 6easant cam6aign of ?u(#n 2aramillo in "orelos in 107G (%e and %is family was finally assassinated (y t%e army in 10M,) & (ut t%ey did not escalate to t%e 6oint of seriously s%aking t%e 6ower structures* Cor sure, it is to (e admitted, t%e mission of t%e P?D could not %ave (een so successful wit%out a considera(le mass su66ortQw%ic% is, no dou(t, also one of t%e e$6lanations for t%e longevity of its gri6 of t%e 6ower*;%6 At t%e same time, AlemIn moved to a66oint to government 6osts university&educated leaders w%o %eld a B*A* or B*4* degree (Licenciatura, w%ic% re'uired a t%esis)Qt%us (ringing to 6ower t%e new 8ru$o !e los +icencia!os; (Lawyers, t%e title (eing a((reviated as :Lic>, and some engineers&&Dngenieros&&%olding B*4* degrees) <%us, Lic* AlemIn s%ifted away from t%e 6olicies of 6residents t%roug% 5en* CIrdenas and 5eneral Avila& Camac%o* (us9 t(e +a*yers #/>EA-/>AE& re$lace! t(e 8enerals #/>//-/>EA& *(o (a! re$lace! 56a,s
8ro- Pekka Jaltonen, ///.helsinBi.fi1hu-1ibero1xa-an1articulos12+++R+516altonen.ht-l
%6

, p. 100

Cient6ficos #/@@E-/>//& as t(e :asis for lea!ers(i$0 AlemIn down6layed land reform to (uild dams and distri(ute water t%roug%out "e$ico* He knew t%at "e$ico %ad little water for irrigating cro6s* 3ater flowing from t%e "ississi66i ?iver alone (eing greater t%an t%at of all "e$icoRs rivers com(ined* "ore t%an .78 of "e$icoRs territory is unsuita(le for agriculture (ecause of t%e 6oor soil and arid climate* Also, for AlemIn t%e (uilding of dams could generate muc% need electricity for t%e moderni)ation of t%e country* Under AlemIn>s economic sc%eme of investment, <EL"EE was founded in 10H. w%en a grou6 of government&6rotected "e$ican investors (oug%t 4wedis% EricssonRs "e$ican (ranc%* Dn 107- t%e same investors (oug%t t%e "e$ican (ranc% of t%e D<< Cor6oration t%us (ecoming t%e only tele6%one 6rovider in t%e countryQa 6rivate mono6oly*H. Unfortunately <EL"EE service virtually colla6sed, and it (ecame im6ossi(le to o(tain or re6air a tele6%one wit%out (ri(ing <EL"EE em6loyees* Even wit% a 6%one, to o(tain a connection and t%en one to t%e correct num(er could take u6 to one %our* <o c%ange service from one 6erson to anot%er at t%e same address would necessitate cutting off service and waiting for u6 to five years, %ence occu6ants at addresses c%anged (ut t%e 6%one remained under t%e original owner>s name, rendering tele6%one directories totally useless*
%

4ee %tt6@AAen*wiki6edia*orgAwikiA<EL"EE

, p. 101

<o esta(lis% a 4tate&owned industry to 6roduce trucks at :reasona(le cost,; AlemIn founded 9iesel acional (9D A)* By 10MG President L!6e)

"ateos would oversee an e$6ansion of 9D A to assem(le (uses in "e$ico for ?enault, later assem(ling and distri(uting autos for ?enault as well* By 10/-, President L!6e) Portillo would oversee 9D A manufacturing andAor assem(ling17,--- trucks a year* But (y t%is time, (ureaucratic costs and inefficiencies would (e com6letely unreasona(le*H/ Dn t%e meantime, in />E> a new facet of t%e 8reen Revolution would get underway to im6rove "e$ico>s :asic foo!Lt(e tortilla* Ro:erto 8on,Cle,-Barrera founded "A4ECA to manufacture tortilla flower wit% vitamins and mineral for s%i6ment to t%e far regions of "e$ico w%ere its long&s%elf life 6ermitted %im to %el6 reduce t%e grueling 6ro(lem faced (y women@ grinding and 6rocessing corn to make tortillas t%e %ard wayQwit% %uman own sweat* <oo, 5on)Ile) Barrera was successful in towns and cities w%ere :fres%; tortilla doug% was (and is) made in un%ygienic conditions wit% filt%y ta6 water and inefficient 6rimitive e'ui6ment* ot only did (and does) t%at :fres% met%od; use e$cess water and electricity (ut t%e waste damages sewer systems* (e 'lemCn government *as concerne! t(at a $rivate entre$reneur suc( as 8on,Cle,-Barrera coul! enMoy success *it(out
See ///.fundin)uni6erse.co-1co-pany:histories1"onsorcio:G:Grupo: (ina:SA:de:"5:"o-pany:.istory.ht-l
%#

, p. 102

ma4ing an alliance *it( t(e Official Party0 ("ost 6rivate cor6orations could not succeed wit%out 6lacing re6resentatives of t%e "e$ican government on t%eir Board of 9irectors* <%e 9irectors guaranteed t%at t%e com6any would not (e nationali)ed as long as it gave financial su66ort to t%e Bfficial Party and a fat fee to t%e government directors* Dn an attem6t to (reak "A4ECA, now 6art of 5ru6o "A4ECA (5?U"A), t%e government su(sidi)ed t%e esta(lis%ment in 107, of a :6rivate; com6anyQ"D 4A* A year later "D 4A (ecame fully state& owned under t%e name "DCB 4A to sell 6rocessed tortilla flower at fully su(sidi)ed 6rices, (ut fortunately for 5on)Ile)&Barrera, like most (ureaucrats t%ey did not know (or care) a(out %ow to run a (usinessU furt%er t%ey were years (e%ind "A4ECA in tec%nology* (Dn 100G t%is money losing, inefficient o6eration was 6rivati)ed (y President 4alinas, and (y ,--, it would (ecome a 6u(licly traded cor6oration* Dn ,--/ and ,--0 it will try to catc% u6 wit% 5?U"A>s low car(o%ydrate tortillas (y offering its own %ig%& fi(er, corn&tortilla flower to reduce t%e %ig% car(o%ydrate count in traditional low&fi(er corn*)

3it% regard to t%e rig%ts of women to vote and (e voted for, AlemIn granted t%ose rig%ts for local elections in 10H., (ut not to Dndigenous women w%o continue to t%is day to fall under t%eir village>s :usos y costum(res*; (Usos y costum(res are Dndigenous :Laws; in w%ic% men own women and in

, p. 103

w%ic% only men can vote* Ultimate decisions are made (y t%e Council of Elders, w%o make decisions w%ile into$icated wit% alco%ol&&4ee 0uan the Chamula (y ?icardo Po)as, UC Press, 10M,)* ?ui) Cortines gave women fe!eral voting rig%ts (and rig%t to run for office) in 107G, effective only at t%e ne$t federal election for t%e national CongressQ1077* //!0 Balance! P(ase #/>=@-/>AE&* Dn w%at was %o6ed to (e a transition from a closed P?D control of society, Adolfo +G$e, Mateos (AL") was selected as t%e first P?D 6resident to rise from a "inistry ot%er t%an t%e "inistries of 9efense or 5o(ernaci!n (Dnternal 4ecurity)* He rose from t%e Ministry of +a:or* :to give workers attention t%at %ad (een lost during t%e "e$ico>s Dndustrial ?evolution; (see 11c, a(ove), seeking to 6rovide a (alance t%at %ad (een lacking in t%e Political, 4ocial, and Economic P%ases (11a, 11(, 11c) a(ove* AL" esta(lis%ed %is own idea of w%at t%e Active 4tate s%ould seek, (ut %is r%etoric in favor of la(orers inadvertently seemed to aut%ori)e in 107/&10M- general strikes (y railway&electrical&tele6%one workers as well as telegra6%ers, teac%ers, and industrial workers* <%e (roke out during t%e interim (etween AL">s election and taking office, com6licating t%e c%ange in 6ower and weakening t%e a(ility of AL" to %el6 workers (ecause t%e P?D (ureaucracy under %is Minister of 8o:ernaciGn was 8ustavo 56a,-Or!a,

, p. 104

(t%e evil enforcer of P?D disci6line), w%o used %ars% force to :restore order; (la(or unionists would follow P?D orders t%roug% t%eir 4indicato or face (eatings and =ail for %aving caused :4ocial 9issolution;)* <%e strikes against t%e P?D set of an internal de(ate a(out %ow to react, and t%at gave im6ortant 6ower to AL">s %ars% "inister of 5o(ernaci!n (%ence t%e %eir a66arent to t%e Presidency), and AL" found t%at %is velvet glove t%at %e %ad wanted to e$tend %ad to (e wit%drawn in favor of t%e steel glove e$tended (y %is "inister 5ustavo 56a,-Or!a, (59B)*

5isa$$ointe! :y t(e turn of events9 Carlos Fuentes articulate! t(e intellectual vie* t(at t(e Revolution en!e! in />=>L(is 5eath o0 >rtemio ruz is9 in my vie*9 t(e :est novel *ritten a:out Me)ican

(istory9 ric( in its un!erstan!ing of issues in t(e Many Me)icos0 <o overcome %is use of force against la(or, AL" claimed to re6resent t%e :left; wit%in t%e ?evolution and maintained close relations wit% Cidel Castro>s :Bne&Party&?evolution; in Cu(a (eginning in 1070* <%e P?D (enefited from (eing :6ro&guerilla; a(road (ut :anti&guerilla at %ome*; "e$ico always ke6t its ?evolutionary credentials (y 6roviding a lifeline to Cu(a against t%e U*4* (lockade* AL" (alanced t%is tilt to t%e left (y inviting world leaders to "e$ico, including Presidents 2o%n C* Oennedy and C%arles de 5aulle*

, p. 105

Dn t%e meantime, "e$ico continued to (e t(e Cold 3ar Listening Posts in t%e 3estern Hemis6%ere, s6ies flocking to "e$ico City from every intelligence service in t%e world to kee6 ta(s on t%e U4A and Cu(a and t%e relations of (ot% wit% "e$ico and all Latin America* <%e U*4* government was not 6leased wit% AL">s refusal to (reak di6lomatic relations wit% Cu(a Qt%e only country in t%e %emis6%ere not to (reak relations and seal of ine$6ensive trans&s%i6ment of goods in and out of Cu(a* U*4* dis6leasure wit% AL">s stance regarding Cu(a %el6ed %is wing of t%e P?D to claim t%at "e$ican ?evolution still (urned (rig%tly, t%us masking AL">s furt%er attacks on organi)ed la(or* L!6e) "ateos (urnis%ed %is 4tatist credentials (y :nationali)ing; in 10M- t%e foreign&owned electrical com6anies (w%ic% were 6leased to (e 6aid ric%ly to leave "e$ico 'uietly)* AL" claimed t%at only t%e government could do w%at t%e 6rivate com6anies %ad not done && e$tend t%e grid of electricity to isolated rural areas* (Dn 10M- only HH8 of "e$ico>s 6o6ulation %ad electricity*H0) Dronically, t%is 6lan worked out only in 6art and resulted in t%e rise of a new government 4tate&owned agency (<%e Me)ican 1ational Electrical In!ustry, es6ecially +u, y Fuer,a !el Centro), w%ic% to t%is day is so %ig%ly corru6t and inefficient t%at it re'uires e$tensive su(sidies from t%e
%$

A =oBe in Mexico at the ti-e played upon A3M's /ords upon nationali>ationG 2'The electricity no/ belon)s to Mexico and its people'Dtoo bad electricity has been cut by half a day and /e ne6er Bno/ /hich half .4 With ti-e* -ost po/er outa)es declined as did po/er sur)es that burn out eQuip-ent. "f. httpG11///.cfe.)ob.-x1en13a;-presa1Queescfe1historia1

, p. 106

central government, not to mention em6loying many t%ousands of fake :consultants; and :workers; (called :aviadores;Qmem(ers of t%e :"e$ican ?oyal Air Corce;7- w%o fly into all government offices to collect t%eir salary and w%o s%ow u6 only on t%e 6ayrollQnot t%e =o(* (<%e corru6tion in t%e "in!icato Me)icano !e Electricistas #"ME&--involving t%e sale of electricity (y 4"E to (enefit t%e 4indicato (e%ind t%e government>s (ack&& will not (e addressed until ,--0, as we will see (elow*)

AL" greatly e$6anded t%e role of t%e 4tate (y ta$ing <EL"EE long& distance calls in order to order to generate a 6ool of funds to moderni)e switc%ing e'ui6ment and lines t%roug%out "e$ico*51 <%us, <EL"EE o6erated as a 6rivate enter6rise t%at coo6erated wit% t%e "e$ican government to deliver 6%one services to t%e nation, to a muc% more im6ortant e$tent t%an %ad (een t%e case since 107-* <EL"EE was under fire for its (acklog in installing tele6%one service to (usiness and %omesQ many years to wait, if no (ri(e 6aid to <EL"EE union workers allied wit% t%e P?D* <EL"EE o6erated as a 6rivate enter6rise t%at coo6erated wit% t%e "e$ican government, (ot% claiming falsely to (e delivering im6roved 6%one services to t%e nation*

There is* of course* no 2&oyal Air 8orce in Mexico.4 See ///.fundin)uni6erse.co-1co-pany:histories1Telefonos:de: Mexico:SA:de:"5:"o-pany:.istory.ht-l
5+ 51

, p. 107

Curt%er, AL" declared t%e 6etroc%emical and mining industries to (e of strategic im6ortance to t%e "e$ican government control* 3it% regard to t%e 6etroc%emical industry,52 in 1070 AL" esta(lis%ed its develo6ment as a 6riority* He allowed t%e 6ossi(ility of using 6rivate ca6ital to develo6 t%e industry (ecause t%e government %ad neit%er t%e e$6ertise nor funds to do so* Alt%oug% t%e 6etroleum industry as a w%ole is e$clusively controlled (y t%e 4tate, in 6ractice, 6rivate com6anies ac'uire t%e national 6roducts of t%e first 6rocesses from PE"EE or from a(road and wit% t%em create %undreds of c%emicals w%ic% are transformed into articles for daily use* Under AL" t%e 6etroc%emical industry develo6ed greatly and 6roduction in t%e volume of 6etroc%emicals increased 7G times, (G70 6etroc%emical 6ermits would (e awarded (etween t%e years of 10M1 and 10/G, 1MG of w%ic% were delivered to com6anies, and investment 6oured into "e$ico*)

3it% regard to mining,7G in 10M1 AL" c%anged "e$ican law to re'uire t%at no more t%an H08 of investment in industry could (e foreign, (ut in strategic industries suc% as coal mining foreign ca6ital could not e$ceed GH8* All new investment %ad to (e a66roved (y t%e "e$ican government, wit% (ureaucratic delays running u6 to several years andAor
52 5!

<%is discussion draws u6on Ale=andro L!6e)&Jelarde9 %tt6@AAwww*lvwa*com*m$AdocG*6df

On -inin) la/ in Mexico* seeG ///.baBernet.co-1?&1rdonlyres1$(%AA2A8:(#56: %;"":#2#A:(!+6(+5A256%1%+!221Minin)3a/inMex@ro1.pdf

, p. 108

(eing 6ut on 6ermanent %old so as not to say :no*;5% \F%>S9 FOR?>R5@ President 4alinas will (reak t%is (ottleneck after 10/0 w%en %e decrees t%at t%e government answer to foreign 6etitions to invest in "e$ico is automatically :yes;&& if t%e government does not say :no; wit%in G- working days after receiving all 6etitions*_ Dn t%e realm of cultural control (y t%e 4tate, AL" created t%e ational

Commission for Cree <e$t Books, giving t%e P?D a ve%icle to make 6ro6aganda in t%e 6rimary sc%ools&&t%is at no cost to families of t%e students so acce6ted (y most of t%e 6o6ulation w%o resented %aving to 6ay for 6rivately 6rinted te$t(ooks* <%e te$t(ooks were written (y teac%ers trained in t%e LI)aro CIrdenas 6residential era to s6read t%e word a(out t%e evils of ca6italismQ muc% to t%e consternation of LC %imself w%o saw t%e world in muc% more com6licated terms and even invested government funds in 6rivate industryQ al(eit in a manner t%at was not 6u(licly announced* <%e film industry %ad already (ecome involved in t%e struggle (etween t%e 6rivate sector and t%e 4tate, and t%is intensified under AL"*55 3%ereas in 10H. President AlemIn %ad converted t%e Banco acional CinomatogrIfica ( ational Cilm Bank) into one (ased on government and union control as well
5%

See* e.).* the 1$62 secret -e-o by the E.S. ;-bassy in Mexico "ity H/hich sou)ht to understand A3M's 2>i)s4 left* ri)ht* and bacB a)ainG ///.)/u.edu1^nsarchi61?SA;@@1?SA;@@12%1doc25.pdf
55

This analysis dra/s upon ;duardo de la 5e)a Alfaro* 2The (ecline Xand ;ndT of the Golden a)e of "ine-aY*4 in Noanne .ershfield and (a6id &. Maciel* eds.* $e/i,o6s Cinema: ' Century of -ilm and -ilmma7ers HWil-in)tonG Scholarly &esources* 1$$$L and ///.drclas.har6ard.edu1re6ista1articles16ie/1#

, p. 109

as 6rivate ca6ital wit% t%e goal of e$tolling t%e virtues of ca6italism, AL" s%ifted to control of 6roduction from t%e 6rivate sector to t%e 4indicatos, including 6roducers, directors, and writers as well as tec%nical staff* <%ese 4indicato mem(ers closed t%e door to innovation as well as to new 6eo6le, %ence unavoida(ly causing decline in 'uality (t%e writers union %ad to a66rove eac% new scri6t as did t%e tec%nical staffs)* <%e resulting o(vious decline in 'uality (roug%t to an end "e$ico>s :5olden Age of Cinema; (10H-s and 107-s)* <%e decline of "e$ican films in t%e 10M-s was e$acer(ated (y Hollywood>s drive to reca6ture "e$ican and Latin American film markets lost during 3orld 3ar DD (w%en U*4* films focused on 6ortraying t%e evils of 2a6an, 5ermany, and Dtaly)* And t%e advent of television accessi(le to t%e masses in t%e 107-s (egan to si6%on audiences out of t%e film t%eater mono6oly of 3illiam B* 2enkins, w%o did not well maintain t%e "e$ican t%eaters now full of t%e 6oorer classes for w%om %e was demanding grade B& and Cf films* 4tate&run 6roduction of films would eventually (ecome 4tate&owned film 6roduction in t%e 10.-s* Dn t%e countryside, L!6e) "ateos reversed t%e decline in distri(ution of E=ido lands t%at %ad (een t%e 6olicy Avila Camac%o, AlemIn, and ?ui)& Cortines, reac%ing again almost t%e same level of agriculturally em6loyed workers w%o were incor6orated into E=idos (H18) (y LC* 3%en AL" left office, t%e cumulative amount of land surface t%at %ad (een distri(uted reac%ed ,. (including t%e cumulative amount of 1G8 at t%e time w%en LC left office)*

, p. 110

<o facilitate t%e develo6ment and distri(ution of seeds, in 10M- AL" esta(lis%ed P?B A4E (t%e ational 4eed Producing Com6any)*7M <%is

com6any along wit% CB A4UPB worked well until t%ey were later overw%elmed (y t%e ever&e$6anding si)e and sco6e of activity t%roug%out t%e country* Hence food 6rocessors would (egin to im6ort 'uality grains (y t%e 10.-s, 10/-s, and 100-s* <%e relatively relia(le CB A4UPB and P?B A4E o6erations t%at CIrdenas and L!6e) "ateos esta(lis%ed would fade wit% t%e rise of 4tatism after 10.-* AL" also nationali)ed t%e %ene'uen industry on t%e FucatIn 6eninsula in 10MH to :save; t%at declining industry* He reorgani)ed t%e industry as CB?9E"EE,57 (ut annual out6ut declined from 1G1,,M. metric tons in 10MH to HH,--- in 100-, w%en it was 6rivati)ed (y 4alinas to stem furt%er government financial losses and corru6tion* Cor t%e U*4* Border wit% "e$ico, AL" (egan t%e 6lanning of t%e ma'uila industry, or 6lants free of "e$ican im6ort ta$es if t%e 6rocessed goods are e$6orted (ta$es (eing only 6aid on value added suc% as wages to

On ,&O?AS;* see ///.en)or-ix.co-1sRne/sR6ie/.asp7 ne/sI22#%SA&;AI@A3 5 See* e.).* httpG11findarticles.co-1p1articles1-iRhb2##1isR1$$1+!1aiRhib-1G1%1$%5!! + and httpG11///.-exico-iBe.co-1stories1heneQuen.ht56

, p. 111

workers)*7/ 3it% t%e U*4* termination (y t%e Bracero Program in 10MH, AL" reali)ed t%at new em6loyment would %ave to (e found for t%e more t%an 7-,--workers waiting on t%e "e$ican side of t%e (order to work in t%e U4A* AL" sent delegations study t%e Asia models and t%e groundwork was laid for t%e Border Dndustriali)ation Program to (e officially launc%ed in 10M7 (y President 9ia)&Brda)* X"a'uiladoraX is 6rimarily used to refer to factories in "e$ican towns along t%e U*4*&"e$ico (order (ut increasingly is used to refer to factories all over Latin America* "a'uiladora factories encom6ass a variety of industries including electronics, trans6ortation, te$tile, and mac%inery, among ot%ers* "a'uiladoras may (e 1--8 foreign&owned (usually (y U*4* com6anies) in most countries* <%e use of "a'uiladoras is an e$am6le of off s%oring* Bt%er countries suc% as Hong Oong, 4inga6ore, <aiwan, 4out% Oorea, 2a6an, and 5erman %ave "a'uiladoras as well, (ut t%e ma=ority of t%em are located in "e$ico and are associated wit% com6anies from any country mainly seeking access to t%e U*4* markets* (<%e term Xma'uiladoraX, in t%e 46anis% language, refers to t%e 6ractice of millers c%arging a Xma'uilaX, or XmillerRs 6ortionX for 6rocessing ot%er 6eo6leRs grain*)

See* e.).G httpG11///.-edc.or)1rootsR-aQuila.php* httpG11tripatlas.co-1MaQuiladora* and httpG11///.=stor.or)1pss12++#+1$%


5#

, p. 112

"e$ico>s 6o6ulation grew from ,7 million in 107- to H1 million in 10MH*

/-0 "tate Ca$italism an! 5irty 3ar #/>A=-/>@-& In!er ? Presi!ents9 w%o order t%e murder (wit% 6lausi(le denia(ility) of many of t%e P?D>s o66onents0 (is is t(e era of t(e 5irty (ree Presi!entsF 5ustavo 56a, Or!a, #85O&, 10MH&10.Luis Ec(everr6a `lvare) (+E'), 10.-&10.M, and 2os# +G$e, Portillo (2O+OPO), 10.M&10/, 'lt(oug( t(ese t(ree $resi!ents *ere la*yers9 t(ey too4 $o*er as t(e generation of arrogant 1o-1ot(ings (ug95) *(o re$lace! t(e

8eneration of +a*yers #/>EA-/>AE& t(at (a! re$lace! t(e 8enerals #/>///>EA&9 *(o (a! re$lace! 56a,s Cien6tficos #/@@E-/>//&0 2?o:?othin)s4 clai- to Bno/ e6erythin) but the opposite is true* and they often turn to thu))ery to 2enforce4 their 2/isdo-*4 as did these three 2(irty ,residents4 /ho are infa-ous in Mexican history. Claiming to (e :?evolutionary; eac% of t%ese Presidents tried to distri(ute more land t%an LI)aro CIrdenas, (ut most of it was 6oor land and t%e use of it contri(uted to furt%er erosion of t%e "e$ican countryside* By
2?o:?othin)s4 clai- to Bno/ e6erythin) but the opposite is true* and they often turn to thu))ery to 2enforce4 their 2/isdo-*4 as the three 2(irty ,residents4 did in Mexico.
5$

, p. 113

10/,, bt%e Bfficial Party cumulatively distri(uted H,8 of "e$ico>s land surface (com6ared to 9Na)>s G,8) to more t%an .-8 of t%e agriculturally em6loyed 6o6ulation* "any of t%ose E=idatarios, %owever, %ad a(andoned t%eir E=idos to work as day la(orers (=ornaleros) for a regular 6ay c%eck wit% large commercial agricultural enter6rises andAor left for t%e U4A to work as (raceros* "any moved (ack and fort% (etween t%e two countries, de6ending on seasons* (<%e num(er of Braceros working in t%e U4A reac%ed over 7 million (etween 10H, and 10.-*), according to t%e Booklet of Charts, :History of "e$ican Dmmigration to U4A, C%art G0&C* <%e t%ree Presidents refused to reali)e t%at most E=idos would fail if t%ey were not 6rovided wit% sufficient agricultural credit (needed to 6re6are and 6lant cro6s) and real agricultural e$tension (to demonstrate new met%ods and make availa(le 'uality seeds as well as fertili)ers and insecticides)* <%e t%ree Presidents did, %owever, 6lan to 6rovide t%ousands of tractors for t%e "e$ican countryside in order to increase 6roductivity, (ut t%e E=idatarios and day la(orers (many of w%om did not %ave E=idal rig%ts) (locked t%e move to tractors on t%e grounds t%at mac%ines would 6ut t%em out of work*

<%e real 6ro(lem t%at 59B, LEA, and 2BLBPB faced was t%at Bfficial Party 6olicy damaged agriculture t%an t%roug% 4tate su(sidies for food 6roducers, distri(utors, and consumers, wasting (illions of dollars a year and undermine farm 6roductivity (y rewarding inefficiency* Cor e$am6le, <%e state&

, p. 114

run Certili)antes "e$icanos (FER IMEX, created (y 2BLBPB in 10./ (y nationali)ing all 6rivate fertili)er com6anies), (ecame a government decentrali)ed agency (also called a 6arastate agency) wit% a mono6oly on 6roduction and im6ortation of c%emical fertili)ers and 6esticides, w%ic% it o6erated wit% suc% low 'uality t%at its 6roducts deteriorated in t%e manufacturing andAor distri(ution 6rocesses* PRO1'"E (t%e ational 4eed Producing Com6any) greatly %armed seed 'uality, forcing many farmers to smuggle seeds into "e$ico* P?B A4E did %ave 'uality at t%e outset under L!6e) "ateos, (ut its ra6id e$6ansion under a la)y, infle$i(le (ureaucracy let seeds rot in (adly (uilt silos w%ic% created conditions of %ig% %umidity and ina(ility to 6revent attacks on t%e seeds (y rodents (w%o left t%eir :dro66ings; to contaminate t%e stored seeds)* CO1'"IPO>s legendary a(ility (eginning wit% LI)aro CIrdenas to (uy 'uality agricultural goods from E=idatarios would (e converted (y 10.-s to 6aying (y t%e 6ound, %ence in t%e 10.-s farmers added ever more nails and small rocks to t%eir grains as well as :nuts and (olts from discarded mac%ines) to increase weig%tQonly t%e manufacturers of tortillas and ot%er 6rocessed 6roducts seemed to care t%at t%eir food 6rocessing e'ui6ment would (e damaged and food 'uality would (e degraded* Cor years official data s%owed t%at t%e E=idos out 6roduced 6rivate agriculture, (ut only in t%e 10/-s did it (egin to (ecome clear t%at t%e o(verse was trueQ6rivate 6roducers could only sell to CB A4UPB for guaranteed

, p. 115

%ig% 6rices if t%ey sold t%roug% E=idos, w%ic% took a 6ercentage to 6retend t%at t%ey were selling to t%e government* Production statistics, t%en, confused 6olicy makers w%o (elieved t%at t%e E=ido was a success* <%us, t%ey %ad to find out for t%emselves w%at LI)aro CIrdenas %ad known and %idden from t%e Bfficial Party in 10H-Qt%e E=ido %ad failed to 6roduce for t%e market* Dndeed even as t%e trut% (egan to (e known, it %ad to (e 'uas%ed to avoid dis6iriting t%e Party :<rue Believers; and t%e ?ural Joters needed to kee6 t%e Bfficial Party in 6ower*

<%e Bfficial Party, t%en, was tra66ed in its own statistics, w%ic% suggested t%at from 10H- to 10M7, "e$ico>s E=idal agriculture was at t%e forefront of t%e <%ird 3orld, increasing cro6 out6ut increasing eac% year (y an average of M*G8*

But after 10M7 agricultural 6roduction in "e$ico %ad dro66ed steadily, 6rimarily (ecause of t%e inefficiencies caused (y increased state intervention in t%e agrarian economy, according to <%omas E* Co$ and C%risto6%er 3%alen*60

<o offset t%ese declines, t%e 4tate transfers ever more funds to government&o6erated farm&su66ort agencies, :w%ic% reac%ed more t%an an [, (illion in 10/0* 3%ereas "e$ico>s agricultural trade sur6lus (efore 10.6+

8or (ackground * see httpG11///.herita)e.or)1&esearch13atinA-erica1b) 5!.cf-

, p. 116

earned foreign e$c%ange to finance 4tate 6rograms, after 10.- "e$ico used foreign loans to 6ay for money&losing government&owned enter6rises and state su(sidy 6rograms, including agriculture,; as Co$ and 3%alen tell us*

"e$ico>s foreign de(t in U*4* dollars (egan to rise under 59B, as we see in Cigure 7@

Dnsert Cigure 7

, p. 117

4tatism %ad (egun to e$6and w%en President CIrdenas used foreign (orrowing to e$6and state 6ower, (ut t%is met%od did not :take&off; until t%e t%ree <%ug Presidents increased (orrowing to nationali)e ever more 6rivate com6anies as well as to & su(sidi)e t%e failing E=idal sector, & (uy t%e :su66ort; of 4indicatos in order to 6revent 6o6ular re(ellions, & feed t%e cost of corru6tion as greedy P?D officials demanded to 6rofit from t%e flow of cas% into "e$ico* Dn 9ecem(er 10MH, t%e foreign de(t (t%e total after ad=usting for inflation) stood at U4[ 0 (illion, and (y 10.- it grew to more t%an [1M (illion* LEA increased t%is real de(t to over [HH (illionU and t%e :%onor; for e$cess goes to 2BLBPB, w%o takes t%at amount to [1HH (illion (y t%e time %e leaves office in 10/,* <o %ide t%e reality of t%e contradictions and 6u(lic 6rotest created after 10MH, 59B, LEA and 2BLBPB secretly launc%ed "e$ico>s !irty *ar

, p. 118

#/>AE-/>D@&0A/ Alt%oug% confidential sources re6ort t%at "e$ico>s 6olice, military, and local caci'ues secretly kidna66ed and murdered more t%an 10,--- 6ersons (la(eled as :guerillas),; M, many of t%ose killed were disgruntled 6easants andAor ur(an intellectuals and workers merely attem6ting to develo6 6olitical alternatives to t%e Bfficial Party* MG \F%>S9 FOR?>R5@ After t%e PA ca6tured t%e 6residency via t%e (allot (o$ in ,---, President Jicente Co$ a66ointed in ,--, a Commission to Dnvestigate t%e num(er killed in t%e 9irty 3ar* <%is Commission issued a draft re6ort in 9ecem(er ,--7, w%ic% President Co$ feared would 6revent t%e P?D from coo6erating wit% t%e PA to form t%e legislative alliance necessary to ac%ieve legislation (eing foug%t (y o66osition 6arties, and Co$ refused to 6u(lis% t%e draft (ecause t%e 46ecial Prosecutor %ad suggested it is (iased against t%e government and incom6lete (ecause it does not detail t%e a(uses committed (y re(el grou6s* <%e draft is availa(le wit% analysis and su66orting documents (y Oate 9oyle@ :5raft Re$ort 5ocuments /@ Nears of V5irty 3arV in Me)ico]"tate Res$onsi:le for Y7illings an! 5isa$$earances9 />AE/>@-_*;MH <%e Commission set out to investigate t%e deat%s 7G, 6ersons known to %ave disa66eared out of a total of over .-- 6ersons (elieved to
61

4ee t%e secret files L"T.MP5#The C"A=s .yes on Tlatelolco C"A S y 5 erations in Mexico >78?@ 78@8A# National Security Archi$e .lectronic Briefing Book No' B9C, National Security, %tt6@AAwww*gwu*eduA^nsarc%ivA 4AEBBA 4AEBB,-HAinde$*%tm
62 6! 6%

"y dates and my estimate (ased u6on interviews wit% sources w%o must remain confidential D(id* httpG11///.)/u.edu1^nsarchi61?SA;@@1?SA;@@1#+1index.ht-

, p. 119

(e missing*M7 Clearly t%ese num(ers are too low (ecause entire villages were wi6ed out and t%e :3ar; was foug%t in different 6arts of "e$ico* 2ust (efore leaving office, %owever, Co$ a66roved of a revised version w%ic% was 6ut on t%e internet wit%out 6u(lic announcement*MM_ 59B, LEA, and 2BLBPB lived (y :code; words t%at %ad emerged since 10,0* <%us, in 'uoting t%e code words (elow, Loren)o "eyer %as stated t%at :"e$icoRs contri(ution to 6olitical t%eory V is (ut a footnote; and not%ing for w%ic% to (e 6roud*; Loren)o "eyer defines "e$ico>s reality t%at a66lies to actual 6ower in "e$ico as involving t%e following terms@ M. Rcaudillo>@ 6owerful national or regional leaderU bcaci'ue>@ 6owerful mid&level or local leaderU Rta6adoR, t%e as yet unrevealed Bfficial Party candidate, Rdeda)oR, %and 6icking of 6olitical candidates at all levels, bmordida>@ (ri(e, including aut%oritarian 6atronage (ased on t%e carrot or t%e stickU <o t%is list Loren)o "eyer mig%t %ave included (adds PB4)@ R6alanca>, influenceU
65

Cf* :?e6ort on "e$ican b9irty 3ar> 9etails A(use (y "ilitary,; (y 5inger <%om6son, Ce(* ,M, ,--M, www*genocidewatc%*orgA"EEDCB?e6orton"e$ican9irty3ar9etailsA(use(y"ilitaryCe(-M*%tm
66

See httpG11///.)/u.edu1^nsarchi61?SA;@@1?SA;@@2+$1index.ht- and

:"e$ican ?e6ort Cites Leaders for b9irty 3ar,> (y 2ames C* "cOinley, 2r*, Ne) Dork Times, ov* ,G, ,--M, %tt6@AAwww*nytimes*comA,--MA11A,GAworldAamericasA,Gme$ico*%tml
6

According to Loren)o "eyer, t%e noted %istorian w%o teac%es at t%e Colegio de "e$ico in "e$ico City, 'uoted in www*6(s*orgAwg(%A6agesAfrontlineAs%owsAme$icoAreadingsAlu6s%a*%tml

, p. 120

b6e)gordo>, influential, w%o is often Rintoca(leR@ untouc%a(leU RmadrinosR, godmot%ersR (Cederal and 4tate 2udicial Police, bcommissioned agent&informers,> and fake 6olice), all of w%om work for and against t%e 6olice. /-a0 Presi!ent 5ia, Or!a, #/>AE-/>D.& Initiates 'ut(oritarian "tatism 59B>s 6eriod marked t%e s%ift to t%e 4tatist ?evolution as t%e 6o6ulation of "e$ico grew from H1 million 6ersons in 10MH to 71 million in 10.-*M/ Dn t%e lore 6ro6agated (y t%e Bfficial Party, 59B seemed to merit many credits, M0 es6ecially undertaking t%e construction of "e$ico>s "etro ?ail 4ystem, a 6ro=ect vilified (y 6rotesters w%o demanded t%at funds for suc% ur(an develo6ment (e transferred to t%e rural sector* \F%>S9 FOR?>R5@ (y t%e 100-s, 59B>s construction of t%e "etro will (e seen as a :stroke of genius,; wit%out w%ic% (y t%e ,---s "e$ico City auto trans6ortation would %ave smot%ered wit% air 6ollution t%e entire 6o6ulation of t%e 9*C*_ 59B gained credit from many ur(an intellectuals for seeking to industriali)e rural "e$ico and from industrialists and t%e rural sector for %aving (uild 1-. dams*

6# 6$

Census data re6orted H/*, million in 10.-* See ,eBBa 5altonen* /ho fa6orably su-s up G(O's contributions* includin) the pro-ul)ation a ne/ 3abor 3a/ /ith the ai- of 2refor-in)4 /orB:place proble-s . Se)_nG ///.helsinBi.fi1hu-1ibero1xa-an1articulos12+++R+516altonen.ht-l

, p. 121

<%e anti&nuclear wea6on activities of 59B led to most nations of t%e Americas (nota(ly e$cluding Cu(a) signing in 10M. t%e <reaty of <latelolco, in w%ic% t%ey 6ledge not to ac'uire suc% wea6ons* (A year later, t%e Pla)a would serve as t%e 6lace of 59B>s (lood(at% for o66osition to P?D t%at also o66osed t%e %olding of t%e Blym6ics in "e$ico, si6%oning resources from t%e 6oor in rural "e$ico*) Curt%er, 59B set in motion t%e develo6ment of t%e la "i!er^rgica +C,aro CCr!enas en Las <ruc%as, "ic%oacIn, 6lanned as a modern steel 6lant a%ead of its times, w%ere %e also undertook to (uild t%e modern Port of LI)aro CIrdenas*

Be%ind t%e scenes, %owever, 9Na) Brda) and %is c%ief security minister Ec%everrNa initiated t%eir :9irty 3ar; (y %aving 6easant leaders assassinated or kidna66ed and killed for 6rotesting t%e fact t%at mere land wit%out modern credit and agricultural e$tension was too often useless* But t%e 6rotests received little news (usually no news) in t%e "e$ico City media, w%ic% was strictly controlled (y t%e P?D* (Local media (arely e$isted in t%e re6u(lic, and was %ars%ly censored t%roug% murder of =ournalists w%o knew too muc% for caci'ues to 6ermit*) \F%>S9 <> E?>R5: 4ome guerrilla leaders %ad always (een killed (y local 6olice, suc% as ?u(#n 2aramillo w%o %ad (een guaranteed safety (y President L!6e) "ateos in 107/ w%en %e a(andoned %is :war against t%e P?D* But four years after laying down %is wea6ons, in 10M, 2aramillo was sei)ed along wit% %is wife and t%ree

, p. 122

c%ildren and all were murdered in cold (lood (y "orelos state 6olice (aided (y a "e$ican army officer)Qt%is event causing L!6e) "ateros to feel s%ame and revealed t%e President>s lack of control in many areas of t%e country* <%e rut%less local P?D caci'ues, w%o %ad seen %im as c%allenging t%eir aut%ority since 10H7, w%en %e first rose against t%em, finally took t%eir revenge to end even %is 6eaceful organi)ation of 6easants to 6rotest local a(uses*.Dn 10.,, t%e guerrilla leader 5enaro KC,<ue, will (e killed in t%e 4tate of 5uerrero, eit%er (y %is (ad driver (known to (e ine$6ert) or w%en t%e state 6olice s%ot out a tire and caused %is car to roll over*.1 JI)'ue) %ad founded t%e Asociaci!n CNvica 5uerrerense and t%e Central Cam6esina Dnde6endiente to 6olitically o66ose t%e Bfficial Party* Cor t%ese reasons %e was seen as en Enemy of t%e 4tate and im6risoned, (ut was freed in mid&10M/ (y %is team w%o were successful to (reak %im out of =ail* Hencefort%, %e left t%e 6olitical arena to convert %is movement into t%e clandestine Asociaci!n CNvica acional ?evolucionaria, wit% w%ic% %e

See httpG11redescolar.ilce.edu.-x1redescolar1publicaciones1publiRQuepaso1ruben=araillo.htand ///.h:net.or)1re6ie/s1sho/p(.8..c)i7pathI2%155#551$$# % 1 Bot% versions are given in Brlando Brti), 6enaro EF-Gue- ("#$ico, 9*C*@ Editorial 9iogenes, 10.,* Brti) o6ens wit% t%e last version (w%ic% credits 6olice) and closes wit% t%e first version (w%ic% takes credit from t%e 6olice)*

, p. 123

waged (in association wit% Lucio Ca(aeas) a :low intensity war; against t%e P?D>s government military forces*., At least t%e %istory of JI)'ue) and Ca(aeas (ecame 6artially known to t%e "e$ican 6u(lic in t%e 10M-s and 10.-s (ecause %undreds and %undreds (if not t%ousands) of suc% %istories did not* "ost suc% cases remained unknown and uncounted, t%e 6olice and military sim6ly killing or murdering 6rotesters and guerillas, news of suc% matters (eing su66ressed, w%ic% was easy in "e$ico>s era of rural life wit%out tele6%one communication and wit% very 6oor roads* 5iven 59B>s 6enc%ant for acting wit% violence and allowing official im6unity of action, it was easy for %im to make a transition to use mindless (rute force against t%e o66osition to t%e P?DU %e was infamous for %is mis%andling of a num(er of 6rotests during %is termQ%e fired railroad workers as well as attacking and firing teac%ers and D"44 6%ysicians for striking against government corru6tion and mismanagement of t%eir sectors* Dn 10M/ 59B ordered t%e massacre of :student 6rotesters; at t%e Pla)a of <%ree Cultures (<latelolco), .G %is idea (eing to :assure t%at "e$ico successfully %ost t%e 4ummer Blym6ic 5ames; (t%e first ever %eld in t%e <%ird 3orld)* 9e(ate %as ensued as to %ow many students were killed at t%e Pla)aQmost estimates varying from ,-- to 1,7-- student 6rotesters killedQwit% G-2

<%e %istory of 5enaro JI)'ue) is not availa(le in t%e Englis% edition of 3ike6edia, (ut is availa(le "$anis( (and oddly enoug% in 5utc() editions, %tt6@AAes*wiki6edia*orgAwikiA5enaroTJI)'ue)

in
!

<%e <%ree Cultures cele(rated in "e$ico are Dndian&46anis%&"esti)o or "i$ed (lood*

, p. 124

(eing t%e consensus num(er*.H 59B and LEA claimed t%at students o6ened fire from (uilding roofto6s at t%e army (elow at t%e Pla)a of <%ree Cultures, and we would not know until t%e 5overnment of Jicente Co$ (,---&,--M), w%en government>s secret files were o6ened, t%at t%e o6ening s%ots were fired (y government secret agents firing from t%e a6artment of Lea>s sisterZin&law*.7 <%e 10M/ "assacre of :4tudents; is seen (y many as marking yet anot%er t%e :End of t%e "e$ican ?evolution,; and :certainly t%e end of t%e Bfficial Party*; Actually, as we know, t%e Bfficial Party did not come to an end until ,--Qsome G, years later* Because t%e 6ress, television, and radio were so well controlled, t%e rural and ur(an murders were swe6t out of sig%t and out of mind* Hence, as late as 10M. "e$ico was seen as a :develo6ment model for t%e <%ird 3orld*; Bra)il>s Francisco 2uli_o (t%e 6olitical leader e$iled (y Bra)il>s military dictators%i6) declared, in my Bral History Dnterviews wit% %im in "e$ico City, t%at t(e PRI is an i!eal $olitical system :ecause it can maintain or!er *it( economic gro*t( :ut allo* criticism :y citi,ensQt%is only one year (efore officially&sanctioned

Dn realty not all were students* <%e calculus of t%ose killed %as oscillated (etween -.. y /9=.. (according to re6orter C#li$ CernInde))* (ut t%e concensus total is G--* Net 7ate 5oyle *riting in Proceso in -..A coul! i!entify only EE victims coul! :e foun! #/. *it(out names& in Me)ican government arc(ives o$ene! :y Presi!ent Fo)s investigation0

www*gwu*eduA^nsarc%ivA 4AEBBA 4AEBB,-1Ainde$*%tm 4ee ?eed 2o%nson and "arla 9ickerson, : ew Low for Hated Cormer Leader \Ec%everrNa_, Los Angeles Times, 2uly ,7, ,--H*
5

, p. 125

murders could no longer (e %idden after t%e a(ove attack on 6rotesters (including many students) at t%e Pla)a of <%ree Cultures* <%e massacre of 10M/ (and t%e later massacre on Cor6us C%risti 9ay in 10.1) forced 6rotesters to a difficult c%oice@ eit%er =oin t%e government or t%e emerging guerrilla movement* "any o66onents of t%e Bfficial Party went to Cu(a to train as guerrillas and re&infiltrate "e$ico* <o facilitate t%e transfer of 6ower from 59B to LEA, t%e latter insisted in 10.- t%at as t%e anointed one to (e elected in 2uly to (ecome President of "e$ico on 9ecem(er 1 t%at t%e students %e %ad arrested (%undreds, if not t%ousands) (e 6ardoned and t%at t%e +a* of "ocial 5issolution (e a(olis%ed&& finally* <oo, %e gave t%e vote to eig%teen&year oldsQa student demand t%at was a useless one* .M (Dronically 59B got t%e credit, (ut t%e traditional idea of t%e Bfficial Party re'uired t%at t%e outgoing 6resident would make t%e em(arrassing decisions in order so t%at t%e new President (in t%is case LEA) would %ave an easy a transition as 6ossi(le* <%ese transitions were (ecoming %arder to do as t%e Bfficial Party %ad (ecome more rut%less in its use of t%e 6olice 6owers of t%e 4tate*) \F%>S9 FOR?>R5@ After 10M/ t%e c%oice of 6rotesters was clear@ :2oin t%e government and worked for c%ange from wit%in t%e Bfficial Party 4ystem or =oin t%e guerrilla movements* Dn 10.,, t%e guerrilla leader Lucio Ca:aXas was killed in
Dronically, t%e rig%ts of all citi)ens to vote were useless until 100. w%en t%e votes of citi)ens actually were counted in t%e "e$ico City election for "ayor*
6

, p. 126

5uerrero state (y federal troo6s* According to *iki e!ia@ :Ca(aeas V was a "e$ican sc%oolteac%er w%o (ecame a revolutionary, al(eit not a "ar$ist one* Ca(aeas regarded Emiliano La6ata as %is role model and %e never a(andoned %is C%ristian fait%V* He (ecame 6olitically active w%en %e studied at t%e 5uerrero ormal \4c%ool to 6re6are <eac%ers_ and was a leader of t%e local student union* Dn 10M, %e was elected to t%e 6ost of 5eneral 4ecretary of t%e Cederation of 4ocialistic Peasant 4tudents of "e$icoV* 3%en \t%e 6rinci6al of a_ sc%ool in Atoyac demanded t%at all 6u6ils wear sc%ool uniforms, Ca(aeas argued t%at some families were so 6oor t%ey could %ardly feed t%eir c%ildren, not to mention (uy sc%ool uniforms* \<%e 6ro(lem resulted in a strike led (y Ca(aeas against, and ended in s%ooting and deat%s, forcing %im to flee to t%e mountains and =oin t%e grou6 of 5enaro JI)'ue) until JI)'ue)R deat% in 10.,* :Ca(aeas esta(lis%ed t%e bArmy of t%e Poor and PeasantRs Brigade Against Dn=ustice*>_ <%ey num(ered 6er%a6s G-- mem(ers and lived in t%e 5uerrero "ountains* He financed %is grou6 t%roug% kidna66ings and (ank ro((eriesV* :<%e "e$ican government sent 1M,--- soldiers to V to %unt %im* Cifty of t%em died during t%e c%ase* :Dn 9ecem(er 10.H Ca(aeas kidna66ed ?u(#n Cigueroa,

, p. 127

governor of 5uerrero* 3%en t%e 1M,--- government troo6s sent to track %im down tried to rescue t%e governor, Ca(aeas committed suicide (efore (eing ca6tured* :4ome say Ca(aeas did not die (ut ended u6 in =ail* Df t%at was t%e case %e 6ro(a(ly would %ave (een e$ecuted so t%at sym6at%i)ers would (elieve t%e re(ellion ended wit% %is deat%, \t%us ending Aca6ulco>s crisis in tourism caused (y fear of t%e Ca(aeas movement_* <%ere are also num(ers of legends a(out %im, including t%at %e %ad five women (odyguards and carried a (ag full of money t%at %e distri(uted to t%e 6oor* <%ose are most likely b<all <ales>U similar legends %ave (een (uilt around Panc%o Jilla and Emiliano La6ataV* :Dn recent, years, Ca(aeas %as (ecome a left&wing icon in "e$ico, muc% like C%e 5uevara and 4u(comandante "arcos* 9uring recent social movements, including t%e ,--M clas%es (etween teac%ers and t%e state government of Ba$aca* <%e face of Ca(aeas a66eared on (anners alongside t%ose of 5uevara and Jladimir Lenin*; _

Dn t%e meantime, t%e guerrilla leader ?afael 5uill#n, t%e future "u:coman!ante Marcos, trained in Cu(a and (ecame a 6rofessor in "e$ico City to 6lot re(ellion (efore %e went into t%e =ungles of C%ia6as from 10/H to 100H* <%ere, %e soug%t to create a "aoist&ty6e movement, according to t%e
Quoted fro- httpG11en./iBipedia.or)1/iBi13ucioR"aba]as

, p. 128

masterful %istory of t%e "e$ico>s guerilla movements written (y Bernar! !e la 8range (Le Mon!e, Paris) and Maite Rico (.l Pa/s, "adrid)*./ "arcos will emerge only on 2anuary 1, 100H, as we will see later*

/-:0 +uis Ec(everria-'lvare, #/>D.-/>DA& initiates Economic "tatism 9uring LEA>s Presidency, t%e 6o6ulation increased from 71 million in 10.- to M, million in 10.M*

Cigure M Luis Ec%everrNa %as =ust (een inaugurated as President (y 5ustavo 9Na) Brda)
(Dec.1, 1970)

Bernar! !e la 8range an! Maite Rico Marcos, La Genial Impostura HM\xico* (.8.G A)uilar* 1$$ L

, p. 129

4BU?CE@ %tt6@AAwww*gwu*eduA^nsarc%ivA 4AEBBA 4AEBB,-HAinde$*%tm (Picture courtesy of Arc%ivo Proceso) &&&&&&

, p. 130

LEA asked %imself at t%e outset w%y t%e 5overnment s%ould s%are 6rofits wit% 6rivate com6anies* (He failed to reali)e t%at t%e Private 4ector generates 6rofits and t%e 5overnment generates losses*)

YF%>S9 FOR?>R5: +E's c(osen successor9 Presi!ent +G$e, -Portillo #2O+OPO&9 at first soug(t to $rotect t(e Private "ector9 :ut after t(ree years *ill s(ift to PE RO " ' E C'PI '+I"M9 an! :y />@- t(e Central 8overnment *ill come to o*n nearly -9... 5ecentrali,e! 'gencies #inclu!ing /9/== nationally-o*e! com$anies&9 almost all of *(ic( o$erate! *it( !eficits an! great inefficiency0Z

<%e im6licit motto of LEA and 2BLBPB was, :<%e 4tate must take over t%e ma=or Private 4ector, w%ic% uses 6rofits for 6rivate 6ur6oses rat%er t%an 6u(lic goodX* <%e sei)ed com6anies gave two 6residents ca6ital t%at t%ey tended to use not as Pu(lic 4ector funds (ut cas% for t%eir own 6rivate needs and im6licit glorious monuments of infrastructure to t%emselves many of w%ic% will crum(le in "e$ico City>s eart%'uake of 10/7 owing to s%oddy construction*

Ec%everrNa soug%t to distance %imself from %is close relations%i6 wit% 59B and disavow rumors t%at (ot% were on t%e 6ayroll of t%e CDA* <o em6%asi)e t%is 6oint, %e turned away from su66orting U*4* 6olicy in t%e U* * and on most of its world 6olicy initiatives*

, p. 131

&&&&&&&
D 4E?< figure . ECHEJE??DA Legal ?EJ

&&&&&

, p. 132

LEA es6ecially moved to e$6and "e$ico>s internal 4tate 6ower over an ever& e$6anding agenda, w%ic% always worried t%e U*4* government and U*4* 6rivate investors doing (usiness in "e$ico* <o e$6and t%e role of t%e 4tate in "e$ico, LEA attem6ted to set in motion a legal revolution wit% so many new and unworka(le laws t%at few could understand t%em&& see Figure D0 <o carry out t%e Legal ?evolution (as well as to 'uiet o66osition to t%e Bfficial Party), LEA was determined to 6lace as many academics and intellectuals on t%e government 6ayroll as 6ossi(le, t%is re'uiring t%at evermore enter6rises (e nationali)ed in order to make 6laces to 6ut %is new %ires* Professors were given generous grants and %ig%er 6ay to consult a(out t%e new laws and t%e (ureaucracy to make t%em work as well to kee6 t%em (usy writing t%eir own studies and (ooks&&rat%er t%an 6olitical tracts*

LEA contri(uted to t%e develo6ment of "e$ico>s tourist industry (y constructing t%e world&famous resort city of CancYn (ased on its 6ristine (eac%es* Alt%oug% %e 6rofited (y (eing t%e 5od Cat%er for develo6ment of tourist industry at CancYn (w%ere only a small village %ad e$isted), fortunately %e assured 6rotection o t%e clear water and incredi(le color of t%e sea w%ic% :c%anges su(tly t%roug%out t%e day from 6ale a'ua at dawn to dee6 tur'uoise at noon to cerulean

, p. 133

(lue under t%e (la)ing afternoon sun to 6ink&s6las%ed 6ur6le during t%e elegant sunset*;.0 <o LEA>s !iscredit, %e did not end smoking in "e$ico (ut ended foreign dominance of t%e to(acco industry (y creating t%e "tate o:acco Com$any ( 'B'MEX) com6any 7,8 owned (y t%e 5overnment, t%e remaining H/8 to (e %eld e'ually (y to(acco com6anies and farmers*#+ He e$6anded smoking under government s6onsors%i6* Unfortunately for "e$ico, LEA>s :nationali)ation; of <EL"EE in 10., was su66osed to e$tend service w%ere t%e 6rivate sector %ad not, (ut suc% (enefit never came* Per%a6s (ecause (a) necessary im6lementing legislation was delayed until 10.HU or (() new government investment largely went into ta66ing t%e tele6%one of anyone sus6ected of varying from t%e Bfficial Party disci6line* Dndeed LEA =ustified t%e nationali)ation of <EL"EE to %is security ca(inet as giving t%e P?D greater control to 6revent dissent* Crom 10., to until its 6rivati)ation in 100-, government&owned <EL"EE continued to make it all (ut im6ossi(le to 6rocure a 6%one line to oneRs %ome or even office wit%out 6aying %uge (ri(es directly to t%e tele6%one installers, w%o worked on t%eir own rat%er t%an for t%e state&tele6%one mono6oly w%ere t%ey were em6loyed* 4ome =oked t%at :6rimitive ca6italism; was t%riving in "e$ico* Dn reality <EL"EE was only 6artly nationali)ed and was o6erated from 10., to 100- as a mi$ed 6u(lic&6rivate com6any, wit% 718 of t%e s%ares owned
$ #+

See ///.explorecancun.co-1info1beach.sht-l 4ee %tt6@AAselect*nytimes*comAgstAa(stract*%tmlSresWC.-01HCCGC701-.A0GCMAB1./A907CHM/./7C0

, p. 134

(y t%e government* Alt%oug% t%e system nearly com6letely 6%ased out o6erators, a customer t%at re'uested a tele6%one line from <EL"EE %ad to wait, :on average, a(out t%ree years for a %ooku6* <%at com6ared to eig%t years in Jene)uela, (ut =ust a few days in t%e United 4tates, 2a6an, and most of Euro6e* Dn addition, t%e %ooku6 fee for a single (usiness line could cost [7-- or more* Curt%ermore, at any one time a(out 1-8 of all t%e 6%one lines in "e$ico were out of service* <o make matters worse, t%e government %ad (een increasing long& distance 6rices (t%roug% t%e ta$) at a ra6id 6ace, to t%e 6oint w%ere t%e cost of a call %ad (ecome 6ro%i(itive for many customers*;/1 Dn foreign 6olicy,/, Ec%everrNa traveled overseas more e$tensively t%an any of %is 6redecessors, visiting G7 countries and t%e Jatican and meeting wit% MH %eads of government* He esta(lis%ed di6lomatic relations wit% M, nations* LEA em(raced t%e develo6ment conce6t known as :de6endency t%eory; w%ic% argued t%at <%ird 3orld countries could ac%ieve economic growt% and develo6ment only (y cutting off t%eir economic and 6olitical de6endence on t%e industriali)ed world, es6ecially t%e U4A* <o t%is end, %e esta(lis%ed in "e$ico City is Center for <%ird 3orld 4tudies* Dn 10.G, after t%e overt%row of Allende, Ec%everrNa refused to recogni)e t%e new C%ilean government, (roke di6lomatic relations wit% C%ile and
#1

See ///.fundin)uni6erse.co-1co-pany:histories1Telefonos:de:Mexico:SA:de:"5: "o-pany:.istory.ht-l


#2

This discussion dra/s uponG ///.herita)e.or)1&esearch13atinA-erica1b)6!#.cf-

, p. 135

welcomed great num(ers of leftist refugees from t%at country* "any C%ilean 6rofessors w%o =oined t%e faculty at t%e ational University of "e$ico (U A") caused %avoc (y advocating 6romotions wit%in t%e University (ased u6on ideology rat%er t%an academic researc% and 6u(lication* ("ost of t%e C%ilean 6rofessors returned %ome, es6ecially after t%e dictator Pinoc%et>s lost %is 1006le(e cite to remain in 6ower*) Bne of Ec%everrNa>s initiatives was t%e so&called C%arter of Economic ?ig%ts and 9uties a66roved (y t%e United ations in 10.H (y a vote of 1,- to M, wit% 1- a(stentions* <%e c%arter was a collection of <%ird 3orld com6laints and 6ositions (laming industriali)ed countries as t%e main cause of economic (ackwardness* Alt%oug% it added no new 6ositions, t%e ado6tion of t%e c%arter (y t%e United ations gave Ec%everrNa a cause to 6romote on %is tri6s around t%e world

Dn 10.7 LEA (lundered in %is attem6t to mediate (etween Dsrael and Palestine (y stating t%at %e agreed wit% a 6ro6osed U* * resolution t%at :Lionism is racism*; <%e U*4* 2ewis% community immediately clam6ed an em(argo on 2ewis% investment in and tourism to "e$ico, w%ic% wounded "e$ico>s economy*

9iscovery of giant oil reserves in t%e 5ulf of "e$ico was mismanaged (y LEA, w%o soug%t to kee6 t%e find a secret from t%e U4A so t%at %e could use oil as a (argaining c%i6 in %is arguments to e$6and t%e rig%t for "e$ican (raceros to

, p. 136

gain work 6ermits from t%e U*4* government and also to gain (etter treatment of "e$icans living wit%out legal 6ermission in t%e U4A* He feared t%at t%e U4A would not res6ond to %is demands on immigration matters if it knew a(out t%e oil find* Dn %is mind, LEA (elieved t%at t%e U*4* government would demand access to c%ea6 oil as its (argaining c%i6* But kee6ing t%e oil find a secret was also undermining fait% in foreign investors, w%o were concerned t%at LEA>s s6ending s6ree to su66ort %is Legal ?evolution and 4tate em6owerment meant t%at "e$ico %ad gone from t%e Era of 9evelo6ment wit% 4ta(ility to an Era of Dnsta(ility t%at would eventually (ankru6t t%e country* <%e world watc%ed wit% s%ock as LEA increased "e$ico>s total foreign de(t in real terms from U4[1M (illion in 10.- (t%e year %e took office) to [HH (illion (t%e year %e left)Qsee Cigure 7, a(ove* Dndeed in late 10.M, LEA>s e$6ansion of federal e$6enditure wit%out concern for inflation, meant t%at %e would %ave to devalued t%e 6eso to ,- 6er dollar, from 1,*7- 6er dollar t%at %ad %eld since 107H&& ,,&years of 6eso sta(ility came to an end* <%us t%e Bfficial Party lost 6restige at %ome and a(road* Until %is imaginary world of 6ower colla6sed in t%e 6eso crisis of 10.M, LEA %ad (elieved t%at t%e 6eso could (ecome t%e reserve currency to re6lace t%e dollar in world economic affairs and t%at %e could (ecome 4ecretary 5eneral of t%e United ations* LEA>s 6rinting of 6esos to raise worker wages (ackfired,

, p. 137

destroying t%e small gains workers %ad received, and LEA %imself left office in discredit*

12c. BosS L=peA BOLO O

orti**o :1)O@-1)82;,

etro-Statism $nder #o

Under 2BLBPB, t%e 6o6ulation of "e$ico grew from M, million in 10.M to .G million in 10/,* <aking 6ower in 9ecem(er 10.M, 2BLBPB %ad to ma=or goals@ #a& esta(lis% t%e ational Camily Planning Program to aggressively reduce "e$ico>s %ig% total fertility rate, w%ic% stood at D0. (from 107- to 10.-)* <%is Program was one of 2BLBPB>s few real successes* /G <%e c%ange in attitude to %el6 "e$icans understand t%e country was no longer :under 6o6ulated;, t%e issue t%at LI)aro Cardenas %ad seen as a ma=or 6ro(lem during %is 6residency* 2BLBPB>s efforts 6aid dividends as t%e fertility rate decreased to E0- (for t%e five&year average from 10/- to 10/7), and -0= (,---&,--7)*

#:& restore t%e confidence of t%e Private 4ector, w%ic% %ad feared investing in LEA>s (u((le economy*

#!

(e rate (a! stoo! at A0> in />==0 4ee U* * c%art in first source, (elow@ %tt6@AAglo(alis*gvu*unu*eduAindicatorTdetail*cfmSDndicatorD9W1G/PCountryW"E www*country&data*comAcgi&(inA'ueryAr&/.,1*%tml www*airnin=a*comAworl9*C*actsAcountriesA"e$icoAfertilityrate*%tm

, p. 138

<%us, during %is first G years in office, 2BLBPB set out to develo6 an Alliance wit% t%e Private 4ector and to create growt% 6oles in all corners of t%e country (y using ta$ incentives*

But wit% Ara( oil money flowing into "e$ico to develo6 PE"EE via ew Fork (anks (w%o were 6aid outrageous commissions and w%o received enormous :kick(acks;) es6ecially during t%e last G years in office, 2BLBPB decided t%at %e was %imself 5od* He saw %imself as Wuet,alcGatl, t%e A)tec>s most :(eneficent; 5od w%o %ad left across t%e sea to t%e East,/H (ut w%o :6romised to return; w%en neededU and in %is madness of wild e$6enditure (e*g* on 6i6elines for oil and gas leading now%ere), :5od 2BLBPB;, now arrogant and 6om6ous, 6ut "e$ico on t%e road to (ankru6tcyA

2BLBPB>s Petro-"tatism used t%e income from t%e 'uintu6ling of oil 6rices (caused (y two BPEC oil em(argos against t%e U4A) to curtail furt%er t%e 6artners%i6 of 6rivate com6anies owned =ointly since t%e 10H-s (y U*4* and "e$ican investors as well as to end many 6artners%i6s t%at %ad emerged since t%e 10M-s (etween t%e 5overnment and t%e Private 4ector*

#%

Cort#s victory over t%e A)tecs was was facilitated (y t%e fact t%at "octe)uma originally t%oug%t in 1710 t%at Cort#s was Wuet,alcGatl, in A)tec myt%ology t%e first c%ief of t%e dynasty, w%o would return from t%e Brient and retake 6ower* "octe)uma %ad ordered t%e coast at Jeracru) to (e watc%ed* 4ee %tt6@AAvirtualology*comAa6monte)umaA

, p. 139

ACD 4A (t%e ational 9evelo6ment Bank) %ad gradually taken over 6arts of t%e "e$ican steel industry*/7 Altos Hornos (AH"4A, "e$ico>s first 6lant dating from 10--) was a(sor(ed after 3orld 3ar DDU t%e Cundidora "onterrey was taken over (y ACD 4A in t%e crisis caused (y LEA>s devaluation of t%e 6eso in 10.M@ and in 10./ 2BLBPB decided to nationali)e t%e steel mill at Port LI)aro CIrdenas in t%e state of "ic%oacIn (4iderYrgica LI)aro CIrdenas Las <ruc%as)* <o do t%e latter, %e created 4D9E?"EE as a %olding com6any to administer it along wit% t%e 6lants :owned; (y ACD 4A* <%e w%ole sc%eme colla6sed in 2BLBPB>s devaluation of t%e 6eso in 10/,, (ut 6rivati)ation would not come until 1001*

By t%e deat% of 2BLBPB>s cra)y&style 4tatism, t%e government of "e$ico owned 1,177 enter6rises&&t%e great ma=ority o6erated as inefficient, over&staffed state mono6olies* 3%en 2BLBPB left office, no one knew %ow many of t%ese enter6rises even e$isted* <%at would come out in t%e international audit of "e$ico>s assets (y creditors from around t%e world*

2ALBPB astounded "e$ico t%e world (y taking "e$ico>s foreign de(t from a relatively small I"SEE :illion (w%en %e took office in 10.M) to a %uge

#5

4ee www*i6a(*org*m$A-1TacercaTi6a(Aorigen*%tml and www*economia*unam*m$A6u(licacionesAeconunamA69*C*sA-0A-HEmilio4acristan*69*C*

, p. 140

S/EE :illion in />@-* 3%en t%e world oil 6rice colla6sed in 10/,, 2BLBPB could not make 6ayments on t%e de(t, "e$ico found itself (ankru6tcy, w%ere u6on %e nationali)ed t%e 6rivate (anks, trying to (lame t%em for %is mess* <rue, customers of t%e (anks (including %imself) %ad s%ifted money out of t%e country to avoid t%e inflation t%at %e %ad caused, (ut self&6reservation was not illegal until %e made it soQ(ut only after %e %ad 6ut %is money into 6ro6erty and (anks in Coronado Beac%, California*

<%e devaluation of t%e 6eso in 10/, made it costly to (uy one U*4* dollar@ 0M*7 6esos*

eedless to say, 2BLBPB>s re6utation was ruined in 10/,, long (efore revelations t%at %e %ad as President ordered genocide in t%e :9irty 3ar*; <%us, %e would go down in %istory (along wit% LEA) as %aving (een a :monstrous leader; of "e$ico*

/?0 RI"E OF 'C IKE-" ' I"M9 />@?-/?a0 Carlos "alinas #im$licitly />@?-/>@@P an! e)$licitly />@@-/>>E& lay :asis for t(e ? $resi!ents *(o (ave follo*e! (im w%en t%e Active&4tate wing of t%e Bfficial Partly wins control of t%e P?D&5o(ierno@ <%e 6o6ulation of "e$ico rose from .7 million in 10/G to 0- million in 100H, during w%ic% time 9r* Carlos "alinas de 5ortari (PH9, Harvard University), effectively (ecomes President of "e$ico for two terms (10/,&100H),

, p. 141

and (ringing into 6osition t%e generation of t%e tec(nocrats* <%is word %as a negative connotation in Englis%, (ut in 46anis% tHcnicos %as a 6ositive one, if laced wit% irony as time %as gone on under t%ose wit% %ig%er studies in t%e U4A* Dronically, as 4ecretary of Programming an! Budget (10/,&10/.), 4alinas (uilt into t%at ministry coordinated control reac%ing into every as6ect of government t%at gave %im more control over t%e economy and society control t%an t%e :nominal; President Miguel !e la Ma!ri!, under w%om 545 served and t%e virtual President* ominal President Lic* !e la Ma!ri! (9ec* 10/,&9ec* 10//), w%o %ad received %is "*A* from Harvard University, now, as President, mainly concerned %imself wit% 6olitical and ceremonial matters* Dn 4alinas second term, %e was President in %is own rig%t (9e* 10//&9ec* 100H), and take full control of 6olitics as well*

Dn 10/G 4alinas %ad to immediately face t%e 6ro(lem of t%e foreign de(t* He :solved; it w%en %e a66ointed 9r* Ernesto Je!illo, a young 6rofessor of economics at El Colegio de "#$ico, to drew u6on %is e$6ertise gained at Fale University* Having written %is PH9 dissertation on "e$ico>s foreign de(t, Ledillo came u6 t%e 6lan for stretc%ing out t%e de(t 6ro(lem in order save t%e Private 4ector, w%ic% owned millions t%at it could not 6ay to foreign (anks and lenders, as did t%e autonomous agencies, w%ic% %ad 'uietly eac% (orrowed a(road on t%e (asis t%at t%eir loans would (e (acked (y t%e federal government of

, p. 142

"e$ico* Unfortunately, t%e e$tent of t%e decentrali)ed de(t was unknown to "e$ico>s "inister of <reasury, and no(ody knew t%e e$tent of t%e 6ro(lem, let alone %ow many autonomous agencies even e$isted* <%e D"C, foreign governments, and foreign lenders demanded an audit to determine t%e de(ts and assets of t%e Central and 9ecentrali)ed 5overnments* o one wanted t%is information more t%an 4alinas, w%o needed to know t%e e$tent of t%e economic mess left (y 2BLBPB* <%us, t%e government took over all :valid; 6rivate&sector foreign de(ts and some domestic de(t to negotiate a settlement t%at creditors only (e re6aid over time t%roug% a government :de(t&%olding fund;, in 10/H officially named FO1'PRE , and eventually called FOB'PRO' (100-) and t%en IP'B (1000)* \F%>S9 FOR?>R5@ DPAB will (e set u6 to manage t%e fallout from t%e Peso Crisis of 100H&1007*/M

And, unfortunately for 4alinas, Ledillo could not a(olis% t%e accumulated real foreign de(t of U4[ 1HH (illion in 10/,, w%ic% drained t%e a(ility of "e$ico to invest in t%e country>s develo6ment* Dn 10// t%e real foreign de(t %ad declined to [1,0 (illion, and in 100H rise to U4[ 177 (illion* 9uring 1007, Ledillo>s first full year in office as President, t%e real foreign de(t would (alloon to U4[ 1.. (illion* Cor
#6

4ome o(servers %ave suggested, tongue&in&c%eek, t%at Ledillo s%ould now (e called from %is current 6ost at %ead of Fale>s 5lo(ali)ation Center to a66ly %is "e$ican de(t solution of t%e 10/->s to t%e U*4* credit meltdown of ,--/&,-1-*

, p. 143

t%e long&term series on nominal and real data for "e$ico>s foreign de(t, see Cigure 7*_ Fet 4alinas and %is financial advisor Ledillo (working at t%e Bank of "e$ico, 10/G&10/.U and <reasury "inistry, 10/.&100,) %ad saved 6rivate ca6italism in "e$ico from going (ankru6t, and t%e =oke was on 2BLBPB, w%o t%oug%t t%at %e %ad once&and&for&all wi6ed out t%e Private 4ector* But 2BLBPB did cause %avoc and a ten&year (attle for 4alinas to rig%t t%e country after %e wrecked its 6olicymaking mac%ine w%en %e nationali)ed t%e 6rivate (anks in 10/, to attack %is :enemies; w%o were :guilty; of %aving destroyed t%e "e$ican economy to s6ite %is role as :5od*; 2BLBPB>s infantile attack on t%e Private 4ector is akin to Hitler>s 6lan to flood t%e su(ways to kill innocent women, c%ildren, and t%e aged for not %aving taken u6 arms to 6revent ?ussia>s ca6ture of Berlin in 10H7* At least Hitler failed in t%at vengeanceQ 2BLBPB did succeed in %arming "e$ico>s develo6ment * YF%>S9 FOR?>R5: Dn late 100,, I"S / *as *ort( ?9/D= 6esos (efore 4alinas could sta(ili)e inflation and e$6enditure* At t%at 6oint and after a ten&year (attle %e was a(le to convert t%e e$c%ange rate to I"S / to ?0/D $esos9 as of 2anuary 1, 100G*/._

4ee www*nytimes*comA100,A1,A,-AtravelAtravel&advisory&new&6eso&for&me$ico&on&=an& 1*%tml Cf* t%e D"C 6eso series, w%ic% converts data for its long&term series for "e$ico as of 10/M*

, p. 144

<%e need to reign government s6ending (and t%us inflation) was com6licated (y t%e 10/7 eart%'uake t%at destroyed muc% of downtown "e$ico City, leading to t%ousands of deat%s* :President; "iguel la "adrid was 6araly)ed (y t%e deat% and destruction, and una(le to assume any leaders%i6 role, w%ic% 6laced more (urden on 4alinas t%an %e already %ad assumed to strengt%en t%e national recovery 6rocess*

<%e (rig%t side of t%e eart%'uake was t%at for t%e first time in "e$ican %istory t%e 6o6ulation %ad to assume leaders%i6 in its own rig%t wit%out waiting for orders from t%e government, t%e military, or t%e 6olice* "e$ico City>s 6o6ulation s%ifted from 6assive civil society (w%ic% mainly votes for ot%ers) to active Civic 4ociety* <%e Civic role %ere involved =oining wit% ot%ers to (egin t%e rescue 6rocess, mars%al water (rigades to 6ut out fires and connect electricity to areas wit%out t%e a(ility to survive ot%erwise* <%e 6o6ulace formed itself to :6olice; t%e affected areas against looting and served to direct traffic as well as arrange for food su66lies to (e distri(uted*

Dnflation and e$6enditure 6ro(lems com6licated 4alinas>s need to get "e$ico City functioning after t%at massive 10/7 eart%'uake*

Unfortunately for "e$ico and t%e U4A, 10/7 was t%e year in w%ic% (ot% countries reali)ed %ow serious drug violence in "e$ico %ad (ecome* U*4* 9EA

, p. 145

agent Enri<ue Camarena was kidna66ed in (road daylig%t in 5uadala=ara, tortured, and t%en e$ecuted (y drug dealers*// He %ad infiltrated drug trafficking rings and successfully %el6ed (reak u6 many of t%em* He managed to kee6 %is face out t%e news6a6ers even t%oug% %is name was well known* Bne of t%e grou6s %e was following managed to identify and e$ecute %im* <%e 9EA, working wit% "e$ican 6olice, identified two "e$ican citi)ens as sus6ects t%e Camarena torture&murder case@ i) Hum(erto `lvare, -Mac(a6n, t%e 6%ysician w%o allegedly 6rolonged CamarenaRs life so t%e torture could continue, and ii) 2avier KCs<ue,-Kelasco* Because of "e$ican legal (arriers to e$tradition, U*4* agents kidna66ed and took t%em to t%e U4A* 9es6ite vigorous 6rotests from t%e "e$ican government, `lvare) was tried in United 4tates 9istrict Court in Los Angeles* <%e trial resulted in an ac'uittal* JIs'ue)&Jelasco was arrested for %is alleged involvement in t%e murder and sentenced to t%ree life sentences* By tending to ignore t%e illegal drug trade, elements of t%e P?D seemingly reac%ed accommodations wit% many drug lords, and Ra^l "alinas !e 8ortari ((rot%er of Jirtual President Carlos "alinas) would eventually (e linked to some of t%em as %is :generous friends*; PB4 gives many sources linking ?aYl to 9ocuments from t%e Bffice of "e$ico>s Attorney 5eneral and t%e ational Anti& 9rug Dnstitute revealing t%at ?aul 4alinas %ad ties wit% drug lords in "e$ico as

##

<%e following draws u6on %tt6@AAen*wiki6edia*orgAwikiAEnri'ueTCamarena

, p. 146

early as 10/.*/0

<eforma news6a6er o(tained co6ies of two se6arate re6orts indicating t%at t%e e$&6residentRs (rot%er %ad ties wit% (i) t%e %eads of t%e "inaloa Cartels led (y 2oa<uin ;El C(a$o; 8u,man-+oera9>. and (ii) t%e 8ulf Cartels 2uan 8arcia-':rego (w%ose uncle founded t%is cartel in t%e 10.- to smuggle w%iskey into "e$ico (efore 2uan moved into smuggling drugs into U4A in t%e 10/-s)* According to one of t%e documents, ?aYl 4alinas %ad guaranteed 6rotection to t%e 2uan 5arcNa&A(rego at t%e time Carlos 4alinas was candidate in 10/. to (ecome 6resident in %is own name*01

"eanw%ile, :President; de la "adrid alienated t%e P?D>s :9emocratic Current; led (y uauhtAmoc CCr!enas-"olor,ano (CC", t%e son of LI)aro) and Por0irio Muna,--+e!o9 w%o were :forced; to leave t%e P?D in 10/.* <%ey founded "e$ico>s 9emocratic Cront (forerunner of t%e P?9 & see (elow) in t%eir

#$

4ee %tt6@AAwww*6(s*orgAwg(%A6agesAfrontlineAs%owsAicoAnewsAreforma*%tml

9uring t%e 10/-s, El C%a6o (w%ic% means :4%orty;, in Englis%) was air traffic coordinator for Miguel `ngel FHli)-8allar!o (known as :<%e 5odfat%er; of alU narcotraficantes and as :+or! of t(e "4ies; (:El 4eeor de los Cielos;) (ecause %e was t%e first to use air trans6ort of drugs in ma=or way), %ead of t%e dominant drug trafficking grou6 in "e$ico at t%at time* After C#li$ 5allardoRs ca6ture in 10/0 (%tt6@AAwww*encyclo6edia*comAdocA1P,&11/H7//*%tml ), El C%a6o 5u)mIn (egan taking control of t%e organi)ation and soon gained notoriety as director of t%e "inaloa Cartel0 4ee discussion at /?!0-, (elow*
90

2uan was ca6tured in 100M and is currently serving eleven life terms in a ma$imum&security federal 6rison in Colorado*
91

, p. 147

struggle to defeat at t%e 6olls 4alinas> P?D, w%ic% %ad turned against t%eir c%eris%ed 4tatism*

Cuau%t#moc CIrdenas actually won t%e election of 10//, according to t%e vote&count trend esta(lis%ed (efore t%e :com6uters cras%ed; to reveal t%at t%e P?D %ad lost* Cuau%t#moc a66arently made a secret wit% deal Carlos 4alinas a(out w%ic% we know little e$ce6t t%at it was %idden from Por0irio Muna,-+e!o (President of t%e nascent t%e P?9), and t%e deal allowed Carlos 4alinas to take 6ower* Because t%e central&election&com6uter cras% (w%ic% we now know was faked) 6revented t%e vote count from (eing verified in t%e time limits esta(lis%ed (y law, Cuau%t#moc eit%er felt t%at %e did not want to create a crisis t%at could lead to (loods%ed andAor %e may %ave reali)ed t%at 4alinas was t%e rig%t man to (egin to dismantle t%e e$cessive Cor6orativist infrastructure (uilt into t%e P?D 5overnment and its 4indicatos as well as t%e role of 4indicatos in many 6rivate com6anies*

Alt%oug% muc% %as dismantlement %as taken 6lace since 10/G, in 100H, and still in ,-1-, t%e Cor6orativist system still wields ma=or 6ower in all decisions of 4tate*

Beginning in 10/G, 4alinas led a Counter&?evolution from wit%in t%e Bfficial Party of t%e ?evolution* 4alinas ended t%e ever&rising 6ower of t%e 4tate (y

, p. 148

ending e$cessive societal regulation, even as %e accumulated centrali)ed 6olitical 6ower for %imself* After %aving recogni)ed t%e failure of 4tatism, w%erein t%e Central 5overnment and its decentrali)ed agencies %ad come to control more t%an %alf (6er%a6s M-8) of t%e 59P of "e$ico as well as %eavily regulate all 6rivate activity, Anti&4tatism was 4alinas ma=or focus at first (ut soon s%ifted to Active 4tatism&& after a wave of selling&off government industries, es6ecially t%e tele6%one system t%at was sold for a 6ittance to Carlos 4lim (w%o 6arlayed t%at com6any>s im6licit wealt% into %is 6ersonal fortune to (ecome t%e ric%est 6erson in t%e world)* 10/0@ Cor %is own Presidential cam6aign, 4alinas used %is intellectual (ackground, to =ustify %is role w%ic% called for li(erali)ing t%e economy w%ile 6rotecting 6eo6le w%o were not in a 6osition to 6rotect t%emselves (t%e unem6loya(le, t%e disa(led, t%e aged, t%e c%ildren in need, etc*)Q%e called t%is a66roac% :"ocial +i:eralism; to distinguis% it from U*4* Li(eralism and to avoid any de(ate a(out t%e role of t%e Active 4tate and Anti&4tate 6olicy* (<%e idea of :4ocial Li(eralism; was e$tensively revived in Euro6e and %as since (ecome a (asis for t%e Euro6ean Union as decentrali)ed Active 4tate*)

<o im6lement %is ideology, 4alinas esta(lis%ed %is system of : "oli!arity*;0, <%e 1ational "oli!arity Program (PRO1'"O+) t%at granted funds to
T/o 6ie/s /ith excellent data areG a )enerally positi6e analysis* see ///.=stor.or)1pss1!1#5151 and a )enerally ne)ati6e one* see ///.Questia.co-1)oo)leScholar.Qst7docFdI$#%#6%+1
$2

, p. 149

communities for 6ro=ects t%at t%ey need (sc%ools, clinics, (ridges, irrigation systems, etc*), 6rovided t%at t%ey do t%e work t%emselves or volunteer to %el6 outside com6anies do s6eciali)ed as6ect* Curt%er, community leaders%i6 will %ave to collectively oversee e$6enditures to e$6and t%eir civic consciousness and civic demands u6on t%e central government in "e$ico City*

<%is marks 4alina>s s%ift from Anti&4tatism to reesta(lis%ing t%e :Active 4tate; under a different name*

Imme!iately after ta4ing office as Presi!ent in (is o*n rig(t9 "alinas recogni,es t(e election in BaMa California of Ernesto Ruffo-'$$el9 t(e first o$$osition governor--a mem:er of P'10

Bn t%e crime front, alt%oug% narcotraficante Miguel `ngel FHli)-8allar!o, t%e :5od Cat%er; and Ca6o of t%e 5uadala=ara Cartel was arrested and incarcerated in 10/0, %e remained one of "e$icoRs ma=or traffickers, maintaining %is organi)ation via cell 6%one from 6rison until %e was transferred to a new ma$imum security 6rison in t%e 100-s* At t%at 6oint, %is 5uadala=ara Cartel, (roke u6 into two factions@ t%e <i=uana Cartel led (y %is ne6%ews (t%e Arellano C#li$ (rot%ers), and t%e 4inaloa Cartel (run (y former lieutenants H#ctor Luis Palma 4ala)ar, AdriIn 5!me) 5on)Ile) and El C%a6a 2oa'uNn 5u)mIn)*0G
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See httpG11en./iBipedia.or)1/iBi1Mi)uelR"aroRQuintero

, p. 150

Bn t%e economic front, in 10/0 4alinas oversa* t(e sale of 9ina to a 5uadala=ara entre6reneur, w%o turned it into a money&making o6eration* Dn 100H t%e 6rivate com6any (ecame t%e largest (us manufacturer in ort% America*

Dn 100- 4alinas reduced t%e num(er of :strategic; industries suc% as coal mining and %e 6ermitted u6 to /..R foreign ca$ital investments, e$ce6t in t%e few remaining strategic industries (suc% as 6etroleum, electricity, and airlines)* Cor all foreign investment in industry %e announced t%at if %is government did not disa66rove or a66rove of its 6lan wit%in G- days after receiving it, t%e 6lan was a66roved&&automatically*

4alinas re&6rivati)ed t%e (anks in 100,, eig%t years two late to 6revent t%e government&owned (anks from %aving made loans to P?D friends, t%en forgiving t%e loans as (ad de(ts* Curt%er, t%e government (anks %ad failed to invest in modern tec%nology (eing ado6ted (anks around t%e world* <%ese 6ro(lems %am6ered 4alinas massive sale of t%e P?D&5overnment>s state&owed industries, w%ic% not only were inefficient (ut losing %uge amounts of money*

4alinas %ad already (egun massive 6rivati)ations, suc% as t%e government tele6%one mono6oly in 100-, w%ic% went to Carlos 4lim, w%o 6romised to offer more e$tensive and (etter service (ut forgot to say t%at %e would (y c%arging t%e

, p. 151

world>s %ig%est tele6%one rates*0H (How can small "e$ican (usiness com6lete wit% t%eir counter6arts in t%e U4A, w%o 6ay %alf t%e cost t%at 4lim c%arges*)

Alt%oug% 4alinas 6rivati)ed mineral resources in 100G, e$ce6t for PE"EE, %e did not 6ro6ose to 6rivati)e t%e 4tate electrical agency, w%ic% in 4tatist myt%ology is almost as im6ortant as PE"EE*

Dn 100, 4alinas :6rivati)ed; E=ido lands (y enticing Congress and t%e states legislatures to c%ange t%e Constitution of 101. in order to (egin granting individual titles so t%at E=idatarios could make t%eir own decisions a(out t%eir landQrent it, sell, 6ut it u6 for collateral to (orrow money, or even %old it to (e in%erited (y t%eir family (all %it%erto illegal)* Jery little E=ido land %as (een sold (ecause of its 6oor soil, e$ce6t in isolated cases*

Curt%er, 4alinas made 6eace wit% t%e C%urc% in 100,, o(taining congressional a66roval for its rig%t recover t%eir C%urc%es and own 6ro6erty t%at %ad (een nationali)ed* Curt%er, t%e new 4alinas law granted t%e C%urc% to rig%t to conduct religious education and legally %old 6u(lic ceremonies* Hencefort%, 6riests %ave (een considered normal citi)ens wit% t%e rig%t to vote* Last, (ut not

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C45 ena(led 4lim to (uy <EL"EE at an artificially low cost and 6ay for it over time using money earned (y t%e 6%one service, ena(ling 4lim to (uild %is fortune and (ecome in t%e ,1st century t%e world>s ric%est 6erson* :After 6rivati)ation, <EL"EE (egan investing in new, modern infrastructure, creating a nationwide o6tic fi(er network, and offering service in most of t%e country,; according to %tt6@AAen*wiki6edia*orgAwikiA<EL"EE

, p. 152

least, "e$ico reesta(lis%ed di6lomatic relations wit% t%e Jatican after 1G- years,
07

relations %aving (een (roken in 1/M,*

C45 %ad (egun 6rivati)ation of t%e failed 4tate agricultural enter6rises suc% as P?B A4E in 10/0 as well as CE?<D"EE and A 94A in 1001&& P?B A4E (eing infamous for =eo6ardi)ing "e$ico>s 6roduction of seeds (not to mention ending t%e 6roduction of 'uality seeds), A 94A (ring scandalous for its decre6it silos and filt%y, fungus&ridden&cro6 de6ositories, and CE?<D"EE (eing critici)ed for %aving 6rovided degraded fertili)ers and 6esticides too often to late to (e of use* All of t%ese agencies wasted su(sidies on inefficient o6erations t%at %armed t%e nation>s food su66ly and food 6roducing e'ui6ment* Bureaucrats and 4indicato workers s%rugged t%eir s%oulders and said@ :Efficiency, 'uality, and cleanliness are t%e res6onsi(ility of someone elseQw%o knows w%o*;

4alinas 6rivati)ed <ABA"EE in 100- w%en t%e government was trying to stimulate 6u(lic %ealt%* However, t%e foreign (uyers insisted t%at t%e government :get rid; of t%e %uge stock6ile of foul 'uality to(acco t%at %ad (een accumulated over t%e years (y <ABA"EE* <%e stock6ile was (ad from its start (ecause t%e government 6aid growers for 'uantity not 'uality, and t%e 6roducers %ad taken advantage to :unload; it on t%e government, a66arently convincing t%emselves if
$5

3(ile some $o*ers *ere reinstate! :y t(e !ictator Porfirio 56a, :efore (is overt(ro* :y t(e revolutionaries9 Me)ican lea!ers an! t(e Po$e continue! to e)c(ange only tem$orary or b lo*er-level envoys9 according to <im 5olden, :"e$ico and t%e Cat%olic C%urc% ?estore Cull 9i6lomatic <ies,; Ne) Dork Times, 4e6tem(er ,,, 100,*

, p. 153

t%at if t%eir sickening to(acco did get into cigarettes and cigars t%at would matter&&smokers are going die form smoking anyway*

Bnce %aving 6urc%asing so muc% (ad to(acco, <ABA"EE stored it im6ro6erly* Because t%e mess of rotting to(acco was too %eavy to move (and w%ere could it even (e moved was a 'uandary), t%e government decided to (urn t%e stinking mess, a mistake w%ic% contaminated t%e air of central "e$ico for many days* Dt was a real :smoke&out;, =oked critics w%o laug%ed and coug%ed at t%e same time* Peo6le w%o %ad given u6 smoking %ad a last round of unwanted coug%s*

Dn t%e meantime, CB A4UPB>s LDCB 4A (w%ic% sells :milk; in ugly tasting grey 6owder to (e reconstituted usually wit% unsanitary ta6 water) was recreated as a com6any wit% t%e ma=ority of s%ares owned (y t%e 4tate* Crom 10HH to 100H it %ad (een w%olly owned (y t%e government* 3it% t%e in rise 6rices received (y 6roducer, LDCB 4A could s%ift some su(sidies to t%e consum6tion side and encourage consumers not to waste milk su66lies*

Dn t%e same manner as LDCB 4A was reorgani)ed as a mi$ed 4tate&6rivate com6any in 100H, 9DCB 4A followed suit* Unfortunately for many small 9DCB 4A trucks would no longer reac% isolated communities, t%e economic cost (eing considered too %ig%* ot until ,--7, %owever, did 9DCB 4A (egin to

, p. 154

moderni)e its ware%ouses, G-- o6erating its national network t%at a tec%nological u6grade to communicate wit% su66liers, trucks, and 9DCB 4A distri(ution 6oints to consumers as well to 6revent food su66lies from e$6iring*0M

4alinas> 6rograms ended %ig% tariffs and o6ened "e$ico to Cree <rade Agreements (C<As) wit% countries around t%e world* His first and most im6ortant C<A was signed in 100G wit% t%e U4A and Canada and named : AC<A; ( ort% American Cree <rade Area), w%ic% went into effect 2anuary 1, 100H* <reaties wit% t%e Euro6ean Union and Central America followed* (Dn ,--G "e$ico would serve as t%e Presidency of t%e nascent ,1 Asia&Pacific Economic Countries (APEC), including countries suc% as Jietnam w%ic% are not Pacific Bcean countries*0.

Dn t%e meantime, 4u(comandante "arcos, %idden in C%ia6as wit% %is "aoist&oriented guerrilla force named t%e E=#rcito La6atista de Li(eraci!n acional (ELL ) since 10/G, %ad grown frustrated wit% Comandante 5ermIn, %is su6erior in "e$ico City* 5ermIn %ad %eld "arcos in c%eck for years (y arguing t%at :t%e time was not ri6e to launc% t%e ?evolution against t%e P?D&
$6

Bn t%e situation of 9DCB 4A attem6ts to moderni)e in ,--7 under President Co$, see www,*g$tec%nical*comA6ortalA%g$66--1*as6$S 17,.,G,B,E,-,PA5UCB CU171UHU9U1-1H7U1UPA5U" UUEU,7UGU7U1,U" U
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4ee Blga "agdalena La)Nn, La globali-aci3n se !escentrali-a' Libre merca!o, (un!aciones, Socie!a! C/$ica y 6obierno Ci$il en las <egiones !el Mun!o' (5uadala=ara, Los `ngeles, "#$ico@ Universidad de 5uadala=ara, UCLAProgram on "e$ico, P?BC"EEA3B?L9, Casa 2uan Pa(los Centro Cultural, ,--.)* Pr!logo de 2ames 3* 3ilkie*

, p. 155

5o(ierno* But AC<A gave "arcos t%e s6ark %e needed to ignore 5ermIn>s orders and (egin in C%ia6as t%e national u6rising of Dndigenous :Dndigenous and o66ressed 6eo6les; to overt%row t%e P?D&5o(ierno*

4u(comandante "arcos used t%e inauguration of AC<A on 2anuary 1, 100H, as offering t%e o66ortunity to finally ignore t%e orders of Comandante 5ermIn* <%at first day of 100H, t%en, "arcos unleas%ed %is attack on t%e P?D& 5overnment (y ca6turing 4an Crist!(al de las Casas, gaining 6ro6aganda 6oints (y claiming (falsely, (ut effectively) t%at was %is main goal was to 6rotest against AC<A* Dn reality, %e and Comandante saw t%eir main goal as gaining Dndigenous autonomy wit%in "e$ico (y esta(lis%ing a ?evolutionary 5overnment t%at would s6read to all of "e$ico*

<%at t%e ELL %ad remained %idden, as %ad t%e 9irty 3ar, esca6ed t%e attention of t%e ot%erwise very 6erce6tive Mario Kargas-+losa (t%e famous Peruvian novelist and one&time 6residential candidate)* <%us, %e was a(le to 6roclaim in 100- t%e P?D to (e :+a 5icta!ura Perfecta9 (ecause it allowed dissent w%ile successfully develo6ing t%e "e$ican nation* Like 2uli_o (efore %im, %e did not reali)e t%at t%e 9irty 3ar even e$isted in "e$ico w%ereas Argentines, Bra)ilians, C%ileans, and Uruguayans all knew t%e o6en fact of 9irty 3ar (eing conducted as it took 6lace in t%eir countries*

, p. 156

4u(comandante "arcos 6roved t%at %is e$6erience as one time 6rofessor of communications at t%e University of "e$ico City would save t%e ELL * "arcos launc%ed an Internet cam$aign to inform t%e world of t%e ELL goals and seek 6rotection from civic society around t%e glo(e, es6ecially in t%e U4A and Euro6e* <%e result of t%e first Dnternet cam6aign (y guerrillas anyw%ere (roug%t so many muc% (ad 6u(licity a(out t%e cam6aign of t%e "e$ican army against t%e ELL t%at 4alinas %alted attacks and 6ermitted "arcos to organi)e a ma=or 6art of t%e state of C%ia6as*

Civic society from around t%e world wired funds to t%e ELL (ank accounts in "e$icoQanot%er 6ermission granted (y 4alinas* "arcos was t%us free to organi)e %is own view of uto6ian activity (ased in communities called :caracoles; (snails), and t%ey 6roceeded, as "arcos announced, to organi)e at a snail>s 6ace t%at would in t%e end 6rove t%at slow, steady activity can outs%ine fast&6aced develo6ment wit%out real %umanity*

Dn fact "arcos created is own 6rison from w%ic% %e later negotiated wit% t%e Co$ government to consider c%anges in "e$ico>s Constitution of 101. to let t%e Dndigenous 6eo6le (e a state wit%in t%e 4tate, a nation wit%in t%e ation of "e$ico* "arcos ideas a66ealed to many non&Dndians until t%ey reali)ed t%at t%e Dndigenous law would (e (ased on :usos y costum(res; wit% its unfortunate su66ression of women>s> rig%ts and ar(itrary =ustice (eing im6osed differently

, p. 157

according to region and wit%out a66eal* Hence t%e idea of a se6arate Dndian nation wit%in "e$ico 6assed (w%ic% surfaces from time to time) again faded into t%e (ackground*

"arcos %imself seemed not to %ave understood t%e real struggle in C%ia6as involved t%e one (etween Protestants and t%e Cat%olics over w%o s%ould inter6ret t%e true fait% to t%e Dndians and t%e e$tent to w%ic% t%e Bi(le could (e inter6reted (y t%e religious leaders and t%eir followers* Curt%er, t%e Protestant attem6t to end t%e use of alco%ol (y caci'ues to control male workers won over many Dndigenous womenU %ence t%e ?oman Cat%olic C%urc% reali)ed t%at if it did not want to (e dis6laced it would %ave to =oin t%e movement against t%e use of alco%ol as a control mec%anism, w%ic% in any case was (and is) 6erverting sim6le =ustice from (eing rendered (y and rational argument among ine(riated tri(al elders*

However, t%e caci'ues w%o 6refer to kee6 Dndian males in a drunken stu6or, %ave su66orted esta(lis%ment of t%e "e$ican Cat%olic C%urc% to su(vert t%e ?oman Cat%olic C%urc%* Jiolence 6eriodically eru6ts at 4an 2uan C%amula as t%ese t%ree religious grou6s fig%t over w%o s%ould control t%e c%urc% t%ere, and more t%an ,-,--- Dndians %ave %ad to flee to ot%er areas to avoid (eing 6%ysically (eaten in t%is com6etition four souls and struggle over t%e use of alco%ol* <%e "e$ican Dndian Dnstitute esta(lis%ed in 10H/ ((ut a(olis%ed (y President Co$) in

, p. 158

,--G to esta(lis% a Commission for t%e 9evelo6ment of Dndigenous Peo6les)0/ unwise refused to take a 6osition on alco%ol, concerned t%at it would interfere in Dndian rig%ts to make tri(al decisions w%ile under t%e %istoric use of alco%ol*

C45 found t%at t%e "arcos u6rising on 2anuary 1, 100H, was =ust t%e (eginning of %is 6ro(lems (ecause two mysterious assassinations of P?D& 5o(ierno leaders added an un%eard of dimension in %ig%&level "e$ican 6olitics* Dn "arc% of 100H, C45>s c%oice of 6resident to succeed %im, Luis 9onaldo Colosio was assassinated, causing a 6olitical crisis*

Dn 4e6tem(er 100H, t%e P?D 4ecretary 5eneral 2osH Francisco Rui, Massieu (t%e (rot%er&in&law of 545), was assassinated, 6ro(a(ly (y drug dealers involved wit% C45>s (rot%er ?aYl*

\F%>S9 FOR?>R5: ?aYl was later sentenced under t%e Ledillo government to over ,. years in 6rison for %is su66osed 6art in t%e assassination of Rui, Massieu*00 Because ?aYl>s conviction was driven (y a fever of %atred, ignited (y President Ledillo against t%e 4alinas clan to s%ift (lame from %imself for %aving :caused; t%e 6eso crisis of 100H, ?aYl a66ealed to "e$ico>s 4u6reme Court, and under Co$ %is

$# $$

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, p. 159

conviction was reversed* ?aYl>s ten years in 6rison seemed as if :6oetic =ustice; %ad its day in "e$ico*_1--

/?:0 'ctive-"tatist Revolution In!er Presi!ent Ernesto Je!illo #/>>E--...&9 *(o agrees to count t(e votes fairly an! *(en t(e PRI loses t(e Presi!ency in -...9 (e turns t(e government over to P'1s Kicente Fo)

Under Ledillo t%e 6o6ulation rose from 0- million in 1007 to 00 million in ,---,1-1 de6ending on t%e time of year w%en "e$icans return to work during t%e U*4* rainy, cold season*

Dndeed, 4alinas overcame t%e assassination of t%e P?D 6residential candidate Luis 9onaldo Colosio in 100H (y stage&managing t%e election of Ernesto Je!illo as President of "e$ico, 100H&,---* 4alinas %imself seemed %eaded to (ecome President of t%e new 3orld <rade Brgani)ation (1007&&), (ut t%at route was cut&off w%en Ledillo named 9r* 2aime "erra Puc(e (PH9, Fale University) as "inister of t%e <reasury* 4erra>s own arrogant incom6etence caused an unwarranted 6eso 6anic (eginning in 9ecem(er 100H* 4erra, w%o t%oug%t %imself so im6ortant as t%e next
&a_l /as arrested 8eb. 2#* 1$$5* and released fro- prison on Nune 1%* 2++5. 1+1 The census )a6e $ .5 -illion. ,ro=ections fro- the 1$ +s forecast that* )i6en the .+ fertility rate* in 2+++ Mexico /ould surpass1!2 -illion personsDSee WilBie* ed. SA3A* 5ol. 1$ H1$ #L* Table 622.
1++

, p. 160

President of "e$ico (still si$ years in t%e future) t%at %e not deign to call ew Fork and London (ankers wit% weekly u6dates t%at all was well in "e$ican finances&&as %is 6redecessor 9r* Pedro As6e %ad done* Having fired As6e>s entire staff, 4erra did not know w%ic% levers actually worked at <reasury, and as foreign (anks 6ulled out ca6ital, t%e 6eso colla6sed, wit% t%e real foreign de(t standing at U4[ 177 (illion (u6 from real U4[ 1,0 (illion w%en 4alinas %ad taken office* "e$ico was :saved; in 1007 w%en a) Ledillo re6laced t%e failed 4erra wit% 8uillermo Orti, (today 5overnor of t%e Bank of "e$ico), and () President Bill Clinton organi)ed a financial rescue 6ackage1-, of I"S == :illion in real terms (involving U4[ GG (illion in real terms from t%e U4A and t%e rest from t%e D"C and CanadaQde(t w%ic% was re6aid early*) 1-G Dn %is memoirs, 4alinas writes (wit%out naming names) a(out %aving (een defeated (y suc% Bfficial Party :%acks; (6resuma(ly including 4erra), w%o (elong to t%e "e$ican nomenklaturaQt%e ?ussian collo'uial term for %ig% 6rofessional functionaries of t%e government, es6ecially t%e a aratchik ty6es w%o %old 6ositions of (ureaucratic or 6olitical res6onsi(ility* "em(ers of t%e Xa66aratX are fre'uently transferred (etween different areas of res6onsi(ility, usually wit% little or no actual training for t%eir new areas of res6onsi(ility* <%us, t%e term a66aratc%ik, or Xagent of t%e a66aratusX is usually t%e (est 6ossi(le descri6tion of t%e 6ersonRs 6rofession and occu6ation* <oday t%is term is also
1+2

<%e resulting U*4* rescue of "e$ico (y t%e Clinton Administration was wrongly critici)ed (y www*%eritage*orgA?esearc%ALatinAmericaA(g1-1M*cfm 1+! Dn nominal terms t%e rescue 6ackage totaled [7- (illion (of w%ic% [G- (illion was U*4* funding)*

, p. 161

used in conte$ts ot%er t%an ?ussia* Cor e$am6le, it is often used to descri(e 6eo6le w%o cause (ureaucratic (ottlenecks in ot%erwise efficient organi)ations, es6ecially at su66ort services grou6s suc% as critical information tec%nology (D<) services*1-H Many o:servers of Me)ico (ave calle! t(e lea!ers since "alinas influence :eginning in />@? as t(e 8eneraciGn !e los Hcnicos9 su:liminally recalling t(e Cient6ficos *(o (a! (el$e! Porfirio 56a, govern Me)ico from /@@E to />// t(e secon! $art of (is 56a,s ?E years in $o*er0 Bot( terms (ave :een use! to !erogate t(eir roles9 alt(oug( all agree t(at t(ey *ere :etter t(an t(e $erio! of t(e 1o-1ot(ing (ugs9 />A=-/>@-0 (e generations of t(e 8enerals in $o*er #/>//-/>EA& an! t(e +a*yers #/>EA/>AE& (a! relie! on many tHcnicos for a!vice an! to staff t(e government9 :ut since "alinas t(ey came into $o*er0 Alt%oug% Ledillo made 4alinas t%e sca6egoat for 4erra>s errors, Ledillo continued t%e 4alinas Programs of signing ne* F 's around t%e world as well as well as develo6ing revise! F 's to im6rove t%e first round of C<As t%at %ad (een signed (y President 4alinas* President Ledillo a) 6rivati)ed $etroc(emical in!ustriesU () 6rivati)ed Me)ican social security accounts in 100.U1-7
1+%

Cor furt%er discussion, see %tt6@AAen*wiki6edia*orgAwikiA omenklaturaa<%eT ewTClass and %tt6@AAen*wiki6edia*orgAwikiAA66aratc%ik 1+5 <%e 3all 4treet 2ournal re6orted in 1000@ :4ince t%e im6lementation of "e$icoRs 6rivate 6ension system on 2uly 1, 100., a(out 1H*7 million "e$ican workers %ave o6ened t%eir own

, p. 162

c) re&6rivati)ed t%e Me)ican 1ational Rail*ay "ystem in 100/, reviving an industry t%at %ad (ecome mori(und and dangerously decre6it under 4tate mismanagementU d) closed CB A4UPB, w%ic% %ad (een difficult to close (y 4alinas (ecause t%e 6oor 6o6ulation ((ot% rural and ur(an) %ad come to de6end on its c%ea6 food, regardless of 'ualityU and farmers were a(le to sell as guaranteed 6rices, also regardless of 'uality* Je!illo coul! finally close CO1'"IPO in />>>, t%e 4tate s%ifting to focus on 'uality of food, not 'uantity* <%e 4tate %ad finally lost all 6atience (as %ad consumers) wit% t%e (ureaucratic t%icket of mismanaged t%at CB A4UPB %ad come to re6resent*1-M Dn t%e end, alt%oug% muc% food arrived, it did wit% e$6ired datesQold and stale* <%us, as CB A4UPB was closed (y Ledillo (t%e rotten CB A4UPB model could not (e sold as no com6any would (uy into its com6lete failure), Ledillo, using my wording announced in "e$ico t%e success of :"e$ico>s 4econd 5reen Agricultural ?evolution for t%e 3orld*;

<%e "econ! 8reen 'gricultural Revolution made (y orman Borlaug (w%o made t%e Cirst 5reen Agricultural ?evolution&&see Part 11(, a(ove), would
6ension savings accounts*; 4ee 342 article re6rinted at@ %tt6@AAwww*cato*orgA6u(Tdis6lay*6%6S6u(TidW7-G, 1+6 <o understand t%e incredi(le (ureaucracy created (y CB A4UPB, see Enri'ue C* Bc%oa, (ee!ing Mexico# The Political Hses of (oo! since 7879 (3ilmington, 9eleware@ 4c%olarly ?esources, ,---)*

, p. 163

not (e announced in until "ay 1000, w%en President Ledillo and D =oined Borlaug to announce in "e$ico City t%e develo6ment of :dou(le&6rotein corn; and recogni)e "e$ico>s role in t%e 6rocess (egun in 10HH* Alt%oug% t%e im6rovement of corn %ad (een 6lanned as 6art of t%e Cirst 5reen Agricultural ?evolution (w%ic% did include successfully t%e im6rovement of rice in t%e P%ili66ines as an off&s%oot of Borlaug>s work in "e$ico), researc% wit% corn took decades (ecause of t%e com6le$ity of t%e 6ro(lem* Dndeed, t%e Dnternational Advisory Board t%at %ad taken over CD""y< from t%e "e$ican 5overnment decided in 10// t%at t%e goal of creating cuality Protein "ai)e would never (e reac%ed, cut off %is funding, and closed CD""y<, e$ce6t to maintain its 3orld 4eed Bank*

3it% new funding, from 2a6an>s 4asakawa Coundation,1-. Borlaug moved %is "e$ican Corn ?esearc% <eam to 5%ana, t%eir long&researc% finally coming to fruition (y t%e late 100-s* Dronically, "e$ico>s E=idatarios %ave (een glacially slow to ado6t t%e new corn seeds w%ereas Bra)ilian and C%inese farmer %ave ra6idly ado6ted it* (Hogs fed dou(le&6rotein corn, for e$am6le, t%en to (e u6 to twice as (ig com6ared to t%ose fed wit% normal corn*)

Dn 1000 Je!illo invited 1orman E0 Borlaug an! (is Me)ican Researc( eam to return to "e$ico, w%ere t%e "e$ican 5overnment reo6ened CIMMy for t%eir continued researc% to e$6and t%e "econ! 8reen 'gricultural
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, p. 164

Revolution #'g8reen&9 *(ic( originate! in Me)ico* At t%e event wit% Ledillo, %osted (y Ro:erto 8on,Cle,-Barrera #R8B& and %is 5?U"A cor6oration , I was invited to 6resent my view # (e 3il4ie Kie*) in w%ic% t%ere are two 6arallel strands@ a) Borlaug %as develo6ed seeds from %is original (ase in "e$icoU and () R8B %as develo6ed su6er corn tortillas wit% vitamins and minerals for t%e masses from %is original (ase in "e$ico*

Borlaug and ?5B (ot% recogni)e t%e im6ortance of %ig%&6rotein, low&car( diets t%at can 6revent weig%t gain t%at leads to dia(etes* Borlaug now seeks to im6lant in "e$ico t%e %ig%&6rotein corn seeds (w%ic% are already 6lanted in Bra,il an! C(ina (ut not in "e$ico) t%at ?5B needs to make t%e tortilla ever more %ealt%y*

Cor t%e 4econd Ag5reen ?evolution, Borlaugs long searc% for renewa(le seeds came to fruition in t%e la( (t%en t%e fields) w%en %e created seeds t%at are resistant to droug%t and disease (ut use less c%emical fertili)ers, %er(icides, fungicides, and 6esticides* <%is was 6ossi(le t%roug% targeted genetic transformation of corn seeds in t%e la( (w%ic% takes weeks, not t%e decades of %is work on w%eat)* 3%ereas t%e Cirst Ag5reen ?evolution %ad to use untargeted and wasteful transformation of w%ole gene 6ools t%roug% time consuming %y(rid 6lant develo6ment (y trial and error, t%e 4econd %as (een a(le to take advantage of

, p. 165

targeted researc% t%roug% com6uteri)ed la( analysis t%at not availa(le for Borlaug>s o(el Pri)e researc%* Cinally t%en, (y t%e late 100-s Borlaug develo6ed %ig%&'uality, dou(le&6rotein seeds for corn to en%ance t%e sta6le for t%e masses in muc% of t%e world* wit% muc% reduced use of fertili)ers and c%emicals* Dndia, in t%e meantime, %ad engaged (eginning in 1001 in overuse of low& cost urea w%ic% %as limited t%e yields in 6roduction, es6ecially of rice, t%us causing t%e Dndian 5reen Ag?evolution to wilt*1-/ <%is is w%at Borlaug %ad feared would %a66en, and it %ad s6urred %im to advance %is work on new seeds t%at would avoid t%e 6ro(lem of stunted agricultural growt%*
Be%ind Dndia>s worsening yields is t%e governmentRs failure in agricultural 6olicy, w%ic% %as (een tra66ed (etween (a) t%e need to (oost food 6roduction w%ile winning vote from farmers w%o constitute .-8 of t%e electorate, and (() t%e need to encourage Dndia>s fertili)er industry* <%e government resolved t%ese com6eting goals (y increasing its su(sidy of urea to cover a(out %alf of its domestic 6roductionQt%is in s6ite of t%e fact t%at urea damages t%e land if over used* 3%en t%e government reali)ed t%at t%e su(sidy of urea was counter6roductive, since ,--0 it %as soug%t to dro6 t%e e$isting su(sidy system in favor of a new 6lan to allow ureaRs 6rice to increase significantly, t%us giving a disincentive for farmers to use many times t%e amount recommended (y scientists, t%rowing off t%e c%emistry of t%e soil* As 5eeta Anand %as noted, :like %umans, 6lants need (alanced diets to t%rive* <oo muc% urea oversaturates 6lants wit% nitrogen wit%out re6lenis%ing \five key\ nutrients t%at are vitally im6ortant, including 6%os6%orus, 6otassium, sulfur, magnesium and calcium*109 Under t%e new 6lan, t%e government will offer su(sidies to fertili)er com6anies on t%e (es6ecially on t%ese five key nutrients), rat%er t%an t%e fertili)er 6roducts t%emselves* <%e idea is to 6rovide incentives to t%e fertili)er industry and to farmers t%emselves to a66ly a (etter mi$ of nutrients* Until t%e use of urea is reduced, soil fertility will continue to decline causing evermore use of urea and evermore decline*

This discussion of Fndia a)ricultural proble-s follo/ the analysis by Geeta Anand*
1+#

httpG11online./s=.co-1article1S@1+++1%2%+52 %# +!615$+%5 5+52$2161 2 2!#%%.ht-l 1+$ Fbid.

, p. 166

"e$ico could learn from Dndia>s 6olicy decision, and (ot% countries need to s%ift to t%e 4econd 5reen Ag?evolution (y c%anging to 6ro6er use of 5"B seeds* Dndia %as moved im6ro6erly and "e$ico is only in ,--0&,-1e$6erimenting wit% 6ro6er use, as advocated (y Borlaug* "eanw%ile, "e$ico, w%ic% %as (arely taken advantage of its own Cirst 5reen Agricultural ?evolution, %as taken a different tack (y im6roving t%e su66ly of food t%roug% its 6rocessing rat%er t%an its growing, and t%is tack %as (een led (y R8B* R8B %as (een a(le to refine t%e met%ods of making low&car(o%ydrate tortillas (y adding fi(er to t%e corn tortilla, t%us reducing t%e %ig% gross car(s to low net car(s to fig%t weig%t gain and dia(etes* 11- <%e low&car( corn tortilla is vital for t%e 6oor w%o eat from . to 17 tortillas daily (ecause t%ey cannot afford to consume e$6ensive meat, c%icken, eggs, milk, or c%eese needed for 6rotein to offset t%e c%ea6 %ig% car( consum6tion* "ission Car( Balance tortillas are low&car( tortillas t%at are %ig% in dietary fi(er* <%ey %ave as few as H grams of net car(o%ydrates 6er tortilla, de6ending u6on t%e ty6e and si)e of t%e tortilla* <%e tortillas are availa(le in w%ole w%eat or w%ite flour, and in soft taco, fa=ita, and (urrito si)es*

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, p. 167

Dn t%is 6rocess R8B %as reduced dramatically t%e wastage of gas, electricity, water, food* (<%e industrial 6rocess of food too often results in a %ig% wastage factor owing to inefficient 6rocessing*)

Borlaug again s6ent %alf %is time in "e$ico and %alf traveling t%e world seeking to e$6and t%e 4econd Ag5reen ?evolution, w%ic% is gaining a foot%old in Africa as well as su66orting CD""y< affiliated researc% institutes suc% as t%e Dnternational ?ice ?esearc% Dnstitute in t%e P%ili66ines, w%ic% %as genetically modified seed to include vitamin A* (<%at vitamin %as reduced t%e formerly %ig% rate of (lindness and eye afflictions in t%e Asia*)

R8B %as e$6anded %is 6rocessing 6lants from "e$ico and t%e U4A to Central America and (eyond to Jene)uela, England, C%ina, "alaysia, Holland, 46ain, and Dtaly*111

Bot% Borlaug and ?5B %ave argued t%at t%e anti&5"B4 movement fails to recogni)e t%at is easier to determine w%ic% new varieties of seeds carry allergies and %ow to remove t%em from t%e seeds* 4uc% is not 6ossi(le 'uickly and easily in t%e w%olesale 6rocess of cross&(reeding 6lant seedsQt%e met%od 6referred (y t%e anti&5"B grou6s*

111

See %tt6@AAwww*gruma*comAvEs6A uestrasEm6AnuestrasTem6resas*as6

, p. 168

Bot% Borlaug and ?5B are concerned for t%e 6ro(lem of feeding t%e world, t%e 6o6ulation of w%ic% is sc%eduled to grow e$6onentially (non&linearly) from M*/ (illion now to 1/ (illion (y ,-7-* (4ee Cigure /*)

YF%>S9 FOR?>R5@ Ne) Dork Times Headline, 4e6tem(er 1G, ,--/ 1ORM'1 BOR+'I89 P+'1 "CIE1 I" 3HO FOI8H F'MI1E9 5IE" ' '8E >= By 2U4<D 5DLLD4 www*nytimes*comA,--0A-0A1HA(usinessAenergy&environmentA1H(orlaug*%tml

Norman .' Borlaug, the lant scientist )ho !i! more than anyone else in the B9th century to teach the )orl! to fee! itself an! )hose )ork )as cre!ite! )ith sa$ing hun!re!s of millions of li$es, !ie! >yester!ayA' Ir' Borlaug;s a!$ances in lant bree!ing le! to s ectacular success in increasing foo! ro!uction in Latin America an! Asia an! brought him international acclaim' "n 78J9, he )as a)ar!e! the Nobel Peace Pri-e' He )as )i!ely !escribe! as the father of the broa! agricultural mo$ement calle! the 6reen <e$olutionK'ha! a far&reaching im act on the li$es of millions of eo le in !e$elo ing countries' His bree!ing of high&yiel!ing cro $arieties hel e! to a$ert mass famines that )ere )i!ely re!icte! in the 78@9s, altering the course of history' Largely because of his )ork, countries that ha! been foo! !eficient, like Mexico an! "n!ia, became self&sufficient in ro!ucing cereal grains' +More than any other single erson of this age, he has hel e! ro$i!e brea! for a hungry )orl!,, the Nobel committee sai! in resenting him )ith the Peace Pri-e' +*e ha$e ma!e this choice in the ho e that ro$i!ing brea! )ill also gi$e the )orl! eace', The !ay the a)ar! )as announce!, Ir' Borlaug, $igorous an! slen!er at ?@, )as )orking in a )heat fiel! outsi!e Mexico City )hen his )ife, Margaret, !ro$e u to tell him the ne)s' +Someone;s ulling your leg,, he re lie!, accor!ing to one of his biogra hers, Leon Hesser'

, p. 169

>Assure! that the Nobel A)ar! )as trueA, Borlaug ke t on )orking, saying he )oul! celebrate later' Criticism of TechniGues The 6reen <e$olution e$entually came un!er attack from en$ironmental an! social critics )ho sai! it ha! create! more !ifficulties than it ha! sol$e!' Ir' Borlaug res on!e! that the real roblem )as not his agricultural techniGues, but the runa)ay o ulation gro)th that ha! ma!e them necessary' +"f the )orl! o ulation continues to increase at the same rate, )e )ill !estroy the s ecies,, he !eclare!'

&&&&&&&&& Figure 8 Norman Borlaug, who helped teach the world to feed itself

&&&&&&&&&& Borlaug>s concern a(out 6o6ulation growt% is (ased on cancellations

, p. 170

s%own %ere in Cigures 0 and 1-* <%e 6ro(lem is t%at t%e (igger t%e 6o6ulation (ecomes, t%e faster t%at it grows a(solutely*

, p. 171

&&&&&& Cigure 0
TWO A3T;&?ATF5; M;T.O(S O8 MA0F?G WO&3( ,O,E3ATFO? ,&ON;"TFO?S* 1$55:2+5+ 1. Arit7metic Mode* :Linea*;, pro=ection based on past data of sma** n9mCers of persons in the /orld /hich increase at past rate of increase ?s. 2. #eometric Mode* :!on-Linear;, based on e.ponentia* 'ro>t7 rate /here the larger the 8uantity gets2 the faster it gro9s http://en.wikipedia.org/wiki/Exponential_growth

Year

Arit7metica*

Geometric

1955 1961 1972 1987 2000 2009 2020 2040 2050

2 779 968 031 3 080 461 502 3 862 348 766 5 022 989 632 6 085 478 778 6,800 000 000* 7 510 699 958 8 623 136 543 9 050 494 208

2 819 942 263 3 173 845 393 4 800 596 395 5 297 648 673 7 261 136 853 10 150 412 281 15 053 431 758 18 332 067 005

* Source: U.S. Bureau of the Census, International Data Base. Total for -id:2++$ I 6.# billion persons* accordin) to httpG11///.census.)o61ipc1///1popclocB/orld.ht-l

---------

, p. 172

Cigure 1Human Po6ulation 5rowt%, 107-&,-7(Crom ?o(ert Engelman, :Human Po6ulation 5rowt%;, Scientific American, 4ummer ,--0, 6* ,7)

, p. 173

YF+'"H B'C73'R5 O 3HERE 3E +EF OFF I1 HE JE5I++O PRE"I5E1CNZ Dn t%e meantime, Ledillo faced t%e 6ro(lem of one&6arty democracy in "e$ico and its control (y t%e Bfficial Party, w%ic% too often %ad (een aut%oritarian in nature (as from 10MH to 10/,)*

Ledillo>s greatest accom6lis%ment, in my view, was to work wit% o66osition leader Por0irio MuXo,-+e!o (P"L) to c%ange t%e way in w%ic% "e$ico voting takes 6lace*112 P"L convinced Ledillo to im6lement removal of t%e P?D&5o(ierno from its control over t%e corru6t IFE (Cederal Electoral 4ystem), t%e ne* IFE im6licitly 6aving t%e way for defeat of t%e P?D>s 6residential candidate in ,---* (4alinas %ad reformed t%e Dnstituto Cederal Electoral in 100H to give ma=ority control of DCE>s 5eneral Council to si$ non& 6artisan :citi)en counselors; elected (y a two t%irds vote in t%e C%am(er of 9e6uties*11!)

<oo, in 100M Ledillo ceded Presidential aut%ority to govern t%e 5istrito Fe!eral (9*C* or Cederal 9istrict w%ic% is also called Me)ico City) 11H to t%e new electoral system t%at allowed citi)ens to vote for t%eir 2efe de 5o(ierno
112

P"L did %is doctoral studies t%e University of <oulouse, Crance, (ut did not com6lete %is dissertation owing to %is (ecoming involved in t%e LEA government* 11! Cor a list of im6ortant legal reforms (etween 10/, and ,--M, see O* Larry 4torrs, %tt6@AAassets*o6encrs*comAr6tsA?4,,GM/T,--M-1,M*69*C*
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, p. 174

(also called (y some :?egente; or :"ayor;) and t%eir own legislative assem(ly (Asam(lea Legislativa)* As a result of t%e first voting, t%e P?9 won control of t%e 9*C, w%ic% is virtually (if not legally) "e$ico>s G,nd state* Dndeed t%e 9*C* is t%e most 6o6ulous :state; in "e$ico and t%e most im6ortant in terms of 6olitics and economics* <%e new mayor was Dng*117 uauhtAmoc CCr!enas "olor,ano #CC"9 son of former Presi!ent +C,aro CCr!enas&, w%o %ad im6licitly :won; (ut e$6licitly :lost; t%e 6residential election of 10//, and w%o %ad clearly lost t%e 100H 6residential election*) \F%>S9 FOR?>R5@ in ,---, CC4 would fade to t%ird 6lace in t%e 6residential contest*_

4ince 100., t%e P?9 %as controlled t%e Cederal 9istrict (9istrito Cederal, or 9*C*), w%ic% is actually a virtual state not %eaded (y a governor (ut (y a 2efe de 5o(ierno (formerly called ?egente or Head of t%e :9e6artment of t%e 9*C*; and, more recently, "ayor)* 116 <%e states fear t%at if t%e 9*C* were to (ecome a full& fledged state t%at its 6ower (already %uge as t%e ca6ital city of t%e country) would overw%elm all legislative activities and (udget resources at t%e e$6ense of t%e ot%er G1 states* 5iven t%is 6olitical struggle, t%e city is collo'uially known as :C(ilangolan!ia after t%e localsR nickname c(ilangos, w%ic% is used eit%er as a
115

:Dng*; is %e a((reviation for Dngeniero (:Engineer; in Englis%)U CC4 %ad done graduate studies and interns%i6s in civil engineering in Euro6e*) Dn "e$ico, t%e elite must %ave a title, es6ecially and even on t%e left to 6rove t%at t%ey are :some(ody im6ortant*; 116 The (.8. itself is di6ided into 16 2(ele)aciones*4 each of /hich has had since 1$$ its o/n Nefe de Gobierno de la (ela)aciCn ::the head /as for-erly na-ed by the Nefe de Gobierno of the (.8.L. Cor t%is ,--. u6date on t%e 9*C*, and for as6ects of its %istory, see %tt6@AAen*wiki6edia*orgAwikiA"e$icoTCityaCederalT9istrict

, p. 175

6e=orative term (y 6eo6le living outside "e$ico City or as a 6roud ad=ective (y "e$ico CityRs dwellers*

<%e 'uestion remains@ w%en will "e$ico City, now a de facto state government, gain t%e full de =ure 6owers of t%e ot%er "e$ican statesSQt%e 9*C* %as sent 4enators and 9e6uties to t%e ational Congress going (ack to t%e origins of t%e P ?U and since 100. t%e 9*C*>s :Legislative Assem(ly; (w%ic% %as succeeded t%e 6revious :Assem(ly; wit% a66ointed mem(ers) %as MM :re6resentatives; w%o are elected (y 6o6ular vote to t%is unicameral (ody* Dn effect, t%e 9*C* Assem(ly is t%e most im6ortant elected (ody in "e$ico after t%e ational Congress* <%e 9*C* %as in t%e 6ast set t%e trend for t%e nation as a w%ole, (utV*

\F%>S9 FOR?>R5@ Against t%e wis%es of President Calder!n, t%e Cat%olic C%urc%, and many conservative states suc% as 5uana=uato@ HiL Dn ,--., t%e 9*C a66roved same&se$ unions (etween two 6ersons and wit% rig%t to ado6t c%ildrenQit was t%e second federal entity in t%e country to do so after t%e state of Coa%uila)U and
HiiL Dn t%e 9*C* (ecame t%e first to allow con=ugal visits for

%omose$ual 6risoners*

, p. 176

HiiiL Dn A6ril ,--., t%e Legislative Assem(ly (ecame t%e first federal entity to e$6and a:ortion in "e$ico ((eyond cases of ra6e and economic reasons) to 6ermit it regardless of t%e reason s%ould t%e mot%er re'uest it (efore t%e t*elft( *ee4 of 6regnancy&&in t%e :ac4las( (y t%e end of ,--0, /D states %ave defined life as (eginning at conce$tion, effectively defining a(ortion as murder*
Hi6L Dn 9ecem(er ,--0, t%e Cederal 9istrict (ecame t%e first city in

Latin America, and one of very few in t%e world, to legali)e same-se) marriage*_

Dssues of a(ortion and same&se$ marriage were not t%e issues t%at Ledillo faced in 100., (ut rat%er t%e mid&6residential term elections of 100., in w%ic% t%e P?D loses control of t%e 9*C* as well as loses its ma=ority in t%e C%am(er of 9e6uties and its two&t%irds ma=ority in t%e 4enate* <%e elections demonstrated t%at t%e o66osition would %ave a new role in "e$ico* Dndeed, in 100. o66osition 6arties P?9 and PA win a ma=ority in t%e C%am(er of 9e6uties (w%en and if t%ey %eld toget%er), t%e P?9 and PA %old 7 of G, governors%i6s ,11 including t%e 9*C*, discussed a(ove

Dn ,--- t%e P?D lost t%e 6residential election, a result foreordained (y t%e inde6endent status of t%e ne* IFE and t%e fact t%at Porfirio MuXo,-+e!o #PM+
11

4ee O* Larry 4torrs*

, p. 177

(a! left t(e PR5 to run as t(e P'RM can!i!ate& s(ifte! (is su$$ort to Fo)0 PM+ *as t(e first maMor lea!er to s(ift (is su$$ortLim$ortant :ecause (e a:an!one! (is o*n cam$aign0

Also im6ortant in t%e Co$ win was t%e un6o6ularity of t%e P?D candidate Francisco +a:asti!a, w%o stated during %is cam6aign t%at %e would not legali)e t%e many t%ousands of :autos c%ocolate,; t%at is :used cars and 6icku6 trucks smuggled into "e$ico; to meet t%e needs of t%e 6oor* (<%e 6o6ular sector cannot afford to (uy new "e$ican car or even 6ay for used autos sold in "e$ico at %ig%er 6rices and on w%ic% one 6ays %ig% ta$es*)

'lso9 :y -... muc( of t(e Me)ican $o$ulation (a! seen t(e vi!eo of t(e />>= massacre of 6eaceful 6easants (y 6olice at 'guas Blancas outside of Aca6ulco,11# 6lanned and carried out at t%e orders of t%e P?D governor, forcefully reminding "e$ico of t%e .1 years of P?D im6unity*

Dronically, some aut%ors see t%e end of t%e ?evolution as %aving occurred in ,---* Dndeed 9onald Hodges and ?oss 5andy im6licitly acce6t Cuente>s view t%at t%e end came wit% :stages of deat%; (ut do not see t%e stages ending in 1070 (t%e Cuentes date for final systemic (reakdown), (ut rat%er t%ey 6resent t%e

11#

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, p. 178

stages as (eing 10M/, 10/,, and ,---Qt%e last marking final deat% of t%e ?evolution * 4ee t%eir (ook "e$ico@ The .n! of the <e$olution'110 Df only issues were so clear (as Hodges and 5andy argue im6licitly) a(out "e$ico %aving %ad only one ?evolutionV*

/?c0 'ctive-"tatist Revolution In!er Presi!ent Kicente Fo) #-...--..A&9 *(o follo*s "alinas mo!el of 'ctive "tates9 even *(ile s$ea4ing in 'nti-"tate terms Co$ defeated t%e one&6arty system (ut not its (asis in (ureaucraciesU and t%e P?D,w%ic% continues to govern in more t%an %alf of t%e G, states

Under Co$ t%e 6o6ulation increases from 00 million in ,--- to 11, million in ,-1-*

Alt%oug% t%e P?D fell from 6residential 6ower in ,---, in early ,--/ t%e P?D was still t%e second most im6ortant 6ower in t%e nation>s 4enate, wit% ,M8 (and t%ird 6ower in t%e ational C%am(er of 9e6uties wit% ,18)Q t%us it is still t%e key 6layer to 6rovide a :coalition; to govern t%e country*1,"ost im6ortantly, since ,--/ t%e P?D still controls more t%an 7M8 of "e$ico>s G, state governors%i6s, MG8 of t%e G, state congresses, and G.8 of "e$ico>s munici6al governments* Alt%oug% t%e P?9 controls "e$ico City 6ro6er, over %alf of 5reater "e$ico City>s ,- million

11$ 12+

4ee %tt6@AA(ooks*google*comA(ooksSidWCk0231H-(2/CP6rintsecWfrontcover 9r* Cernando 5on)Ile) ?eynoso (Professor of 4ociology, Universidad Aut!noma de Ba=a California), 6resentation to my 5raduate 4eminar at UCLA, 9ecem(er 7, ,--.*

, p. 179

6ersons live under a P?D governor*1,1 Bf t%e "e$ican 6o6ulation, 7.8 live under P?D governors*1,, 4ince t%e P?D lost t%e 6residency in ,--- to t%e PA ista Jicente Fo) ("BA and former President of Coca&Cola de "#$ico), it %as (ecome t%e Cormer Bfficial Party or PRIUFOP, w%ic% continues to 6lay a ma=or role in "e$ican 6olitics* Co$>s 6ro(lem from t%e outset of taking office was t%at %e %ad won %is 6osition wit% only HG8 of t%e vote and %is 6arty was one of t%ree in t%e Congress, eac% not a(le to 6ass legislation wit%out gaining a tem6orary alliance wit% t%e ot%er* <%e main alliance t%at emerged for most votes was PA AP?D, (ut t%at was always tenuous*

As

President

of

"e$ico

(,---&,--M),

one of

Fo)s

greatest

accom$lis(ments *as to (ave !efeate! t(e PRI and take t%e 6residency from t%e Bfficial Party in ,---Q%e %imself sees Ledillo>s greatest 6residential success as %aving esta(lis%ed an inde6endent Cederal Electoral Commission (DCE) and for %aving announced on election nig%t t%at t%e DCE results %ad made Co$ President of "e$ico*

121

Bn 5reater "e$ico City, see %tt6@AAen*wiki6edia*orgAwikiA5reaterT"e$icoTCitya9emogra6%ics 122 P?D 5overnor 5ov* "ario "arNn of Pue(la was ta6e recorded (y %is wife in ,--7 as %e 6lanned %ow to kidna6 Lydia Cac%o, a re6orter investigating c%ild 6rostitution and se$ual a(use of young girls* 4ee Cac%o, Los Iemonios !el .!en, %tt6@AAgraficos*eluniversal*com*m$AaAaudiosAaudios*%tm

, p. 180

Anot%er of %is accom6lis%ments was to esta(lis% in ,--, a Free!om of Information 'ct to 6rovide t%e trans6arency necessary for civic grou6s to %old t%e government accounta(le for its actions*1,G Co$ also indicted LEA for genocide in t%e massacres of :leftists; in 10M/ (w%en %e was "inister of 5o(ernaci!n) and 10.1 (during %is Presidency*) LEA s6ent several years under %ouse arrest (efore winning %is a66eal t%at t%e statute of limitations %ad e$6ired* <%e very indictment of a former President, %owever, doomed LEA to live under self&im6osed :%ouse arrest; (ecause for %im to (e seen in 6u(lic meant %umiliation (y citi)ens w%o revile %im*

Dn ,--H Co$ esta(lis%ed "eguro Po$ular (4ystem of Po6ular Healt% Dnsurance)* A(out t%is 6lan and its im6lementation, 2ulio Fren4, "inister of Healt% of "e$ico, w%o develo6ed t%e countryRs M&year 6ro=ect to e$6and t%e %ealt%care system s6oke 6ositively on 4e6tem(er ., ,--M@ 1,H :<%is initiative was introduced to im6rove universal access to %ealt% insurance, medicines, and %eat% care and reduce t%e num(ers living in 6overty* Dn ,---, analysis of national data revealed t%at many "e$ican families suffered catastro6%ic e$6enditure or were forced (elow t%e 6overty line (y t%e cost of %ealt% care and medicines* <%is was directly related to %ealt% insurance (eing limited to salaried em6loyees in 6rivate firms or in 6u(lic&sector institutions* <o
12!

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1,H

cuoted from %tt6@AAwww*news&medical*netASidW100/M

, p. 181

address t%is 6ro(lem t%e 4eguro Po6ular sc%eme \%as_ made it 6ossi(le for \millions of_"e$icans to access 6u(licly su(sidi)ed %ealt% insurance*

:4eguro Po6ular (and its associated Cund for Protection against Catastro6%ic E$6enses) includes a s6ecific 6ackage of (enefits ena(ling 6eo6le to access more t%an ,7- %ealt% 6romotion and disease 6revention measures, including out6atient care and %os6ital care for t%e (asic s6ecialties, antiretroviral t%era6y, intensive care for new(orns, cancer care, and %aemodialysis* By t%e end of t%is year 4eguro Po6ular will %ave enrolled t%e \6lanned_ ,, million 6eo6le,; and is making an attem6t to ac%ieve universal coverage (y ,-11, unfortunately wit%out enoug% doctors, %os6itals, medicines, and $&rays to service t%is %uge grou6* Dn ,-1-, 4eguro Po6ular is adding enrollments of families in "e$ico t%roug% 6ayments (y workers to 4eguro 4ocial at "e$ican Consulates, raising again t%e num(er of 6ersons covered ( t%e "e$ican %ealt% system*
1,7

t%us

<%e real result, t%en, is not so 6ositive* <%eoretically t%e clinics and %os6itals of t%e "e$ican 4ocial 4ecurity 4ystem and t%e "inistry of Pu(lic Healt% are su66osed to o6en t%eir door to t%e uninsured, (ut given t%e fact t%at t%ey are already overw%elmed (y t%e insure! 6o6ulation w%ic% %as 6aid 6remiums it is %ard to find s6ace and time for a new 6o6ulation t%at %as not 6aid
See ///.i-pre.co-1noticias12+1+1111!1se)uro:popular:es:otra:opcion: 16#221:1.ht-l www*segu6o6ular*salud*go(*m$AcontenidosAseguroT6o6ularAseguroT6o6ular*%tml
125

, p. 182

for %ealt% coverage* Dndeed, t%e idea of offering free %ealt%care %as led to t%e 'uestion@ Ds it not a counter&incentive for 6ersons to 6ay 6remiumsS Curt%er, alt%oug% t%e 6o6ulation %as a rig%t to free medicines and $&rays, t%e "e$ican %ealt% systems are fre'uently out of stock of w%at is needed most, and 6ersons must 6urc%ase t%eir own ?$ or $&ray film to (e used (y t%e clinic or %os6ital* <%e middle class w%ic% 6ays into t%e 4ocial 4ecurity 4ystem tries not to use it, unless a friend w%o is a 6%ysician w%o works t%ere can cut t%roug% t%e red&ta6e and waiting times* Fet for t%e 6oor (t%e so&called :6o6ular sector;), 4eguro Po6ular is (etter t%an not%ing*

Bn t%e front of :land reform,; Co$ %ad t%e courage to reali)e t%at furt%er distri(ution of land into E=idos was counter&6roductive and s%ould not (e re'uired* <%us, in ,--, %e c%anged t%e land reform regulatory law to make EMi!al !istri:utions as o$tional and only for e$ce6tional reasons*

At t%e (e%est of P?BC"EE, Co$ (roug%t to "e$ico Hernando de 4oto, t%e Peruvian e$6ert in sorting out land titles in countries around t%e world* But de 4oto found t%at over %alf "e$ico>s land titles are so tangled in owners%i6 claims t%at %e could not %el6 e$6edite titles so t%at :owners; could 6ledge t%eir 6ro6erty as collateral to o(tain a loan*

, p. 183

Co$ %as stated t%at in %is view of si$ years as President t%at %e made ot%er ma=or gains,1,M %aving ac%ieved (in addition to t%e ot%er 6ositive factors given a(ove) more t%an@ ,7 millones de me$icanos en situaci!n de 6o(re)a reci(en los a6oyos del Programa B6ortunidades* M millones de nieas, nieos y =!venes cuentan con una (eca 6ara continuar sus estudios* G millones de familias cum6lieron el sueeo de tener una vivienda 6ro6ia*;

<%ings did not always go as well for Co$ as %e wanted* He in%erited from Ledillo a real foreign de(t total of U4[ 1/1 (illion, w%ic% %e reduced to U4[ 1GG (illion* <%e PA was 6roud of t%is ac%ievement, w%ic% its leaders

saw as taking a realistically conservative a66roac% to t%e role of t%e federal government, t%us continuing its long attem6t to (reak t%e 6ower of Cor6orativism and its attem6t to %old on to 4tatist 6ower*

5iven t%e failure of PE"EE to find and develo6 new reserves, Co$ toyed wit% t%e idea of inviting foreign ca6ital wit% t%e cas% reserves and tec%nology for dee6&water drilling in t%e 5ulf, w%ic% are (eyond "e$ico>s reac%, (ut %e gave u6 w%en t%e PE"EE sindicatos t%reatened to strike and
126

4ee@ %tt6@AAfo$*6residencia*go(*m$Avicentefo$A

, p. 184

(low u6 6roduction facilities* <%e good news, %owever, was t%at Co$ in%erited a country of diverse e$6orts&&in 10/- oil e$6orts accounted for M,8 of total e$6ortsU (y ,--- it was only .8, 127 t%e word :only; can also (e used ironically to reflect t%e corru6tion of PE"EE and t%eft of millions of oil daily to sell it to t%e 6rivate sector*

But Co$>s critics as slow learner in t%e (attle to circumvent t%e Cor6orativist (ureaucracy, w%ic% 6revented %im from making e$6enditure s6ending aut%ori)ed funds*

<o avoid intrigue in "e$ico, Co$ s6ent a %uge amount of time traveling t%e world,1,/ w%ere %e felt :safe; from internal criticism in "e$ico* Even t%ere, Co$ often got into trou(le w%en %e revealed %is low level of cultural literacy and %ad to defend %imself for not knowing t%e name of t%e world famous Argentine aut%or 2orge Luis Borges@ X3ell, t%ey critici)ed me (ecause D said b0os4 Luis Borgues,R; Co$ saidU :(ut surely, anyone can make a bilingual sli6 of t%e tongueX*1,0 Fet for many %e seemed muc% more literate t%an %is fellow 6resident and fellow %older of an "BA to t%e nort%QBus%
12

4ee %tt6@AAen*wiki6edia*orgAwikiAEconomyTofT"e$ico 8ox's -e-oirs are /ritten in the 2F4 for- Hbut are co:authored by &ob AllynL. They focus on his /orld tra6els and people he has co-e to Bno/. The -e-oirs contain fe/ insi)hts hidden in muc% insignificant gossi6 (6er%a6s t%e way %e saw t%e world@ <e$olution of ho e# the life, faith, an! !reams of a Mexican resi!ent ( ew Fork@ Jiking, ,--.)U Edition in 46anis%@ La <e$oluci3n !e la .s eran-a# La $i!a, los anhelos y los suenos !e un resi!ente*
12# 12$

4ee www*(arcelonametro6olis*catAenA6age*as6SidW,,PuiW/0P6rev odeWG7PtagDdW4ergi8,-9oria

, p. 185

DD, w%o also 6retended to (e a cow(oy* Dn anot%er revealing sli6, Co$ called %is friend Bus% DD a :3inds%ield Cow(oy; (ecause %e seemed to (e afraid of %orses w%ile visiting t%e Co$ ranc% in "e$ico and 6referred to ride t%e range in a =ee6*

Dn t%e meantime, Co$ was ridiculed for making %is own cow(oy (oots into %is trade&mark sym(ol of mac%ismo, and %e made t%em t%e official gift to t%e world leaders w%o %e visited* But %is usage of t%at sym(ol (ackfired@ (oots are not made for riding %orse(ack, not walking* Co$ damaged %is s6ine from wearing t%em constantly, and in "arc% ,--G %ad to undergo (ack surgery&&from w%ic% %e %as never fully recovered* Alt%oug% %e sto66ed wearing (oots, (ack 6ain did not make %is difficult 6residency any easier* <%e surgery raised a serious issue, w%ic% remains unresolved@1GBecause "e$icoRs constitution does not s6ell out w%o is in c%arge w%en t%e "e$ican 6resident cannot govern, t%e 'uestion arose a(out t%e need to create t%e 6osition of vice 6resident in "e$ico* Presidential transition itself was difficult in ,--M, (ut resolved* /?! Feli$e Cal!erGn #-..A--./-& im6licity rules for 'ctive-"tate Policy9 even t(oug( (e cam$aigne! in 'nti-"tate terms

1!+

4ee %tt6@AAairwolf*lmtonline*comAnewsAarc%iveA-G1G-GA6agea1-*6df*

, p. 186

9uring t%e H years from ,--.&,-1-, t%e $o$ulation increase! from /.A million to //- million, growt% a:ette! :y t(e I0"0 closure of its :or!er *it( Me)ico9 !e$ortation from t(e I"' of Me)icans *or4ing *it(out I0"0 !ocuments or foun! guilty of even minor crimes9 an! t(e voluntarary return to Me)ico :y t(ose *(o lost Mo:s !uring 5e$ression II in t(e I"'* Cal!erGn of t%e PA won t%e 6residency 2uly ,, ,--M, and took office

9ecem(er 1, after a (itterly dis6uted 6artial electoral recount*

Dt was t%e a66ro6riate time for PA

was a(le to recall %ow long it %ad

soug%t to 6revent t%e rise of 4tatism since t%e Party>s founding in 10G0* Calder!n, w%o cam6aigned in Anti&4tate terms converted to Active 4tate actions w%en %e took office*

Calder!n :reali)ed; t%at t%e vision of "e$ico>s accumulated 6ran!es Problemas Nacionales (w%ic% %ad last (een u6dated and attacked wit% verve under 4alinas>s Active 4tate Policy) needed to (e revised and attacked anew*

Calder!n, t%en, wit%out announcing a Plan t%at would (ring down t%e wrat% 6er%a6s all of t%e ma=or interest grou6s in "e$ico, (egan to articulate t%e (asis for reviving strong 'ctive "tate Policy not seen since t%e 4alinas 1,&years in 6ower* As we see, many elements %ave (een added to %is Plan as %e %as maneuvered %is way t%roug% t%e "e$ican 6olitical scene, as we see (elow*

, p. 187

Cortunately for Calderon, (y t%e time %e took office, two 6rotest grou6s w%ic% once seemed to t%reaten t%e 6ower of "e$ico government %ad faded into t%e (ackground, wit% only a s6utter in ,--.* #i& <%e Peo$les Revolutionary Party (E?P, E=#rcito ?evolucionario del Pue(lo) emerges now and t%en from its %ideouts in t%e mountains of 5uerrero and Ba$aca (w%ere it was founded in 100M) to a66ly t%e lessons learned (y guerrillas around t%e world* (<%e E?P was among t%ose w%o watc%ed t%e U*4* face 6ro(lems in t%e (om(ing of oil 6i6elines in Dra')* "ore t%an 1- ma=or (om(ings in "e$ico in ,--. disru6ted oil and gas su66lies and sto66ed industrial 6roduction w%ile 6i6elines are re6aired*

But t%en suddenly t%e (om(ing of t%e oil 6i6elines sto66edQleading many o(serves to 'uestion w%et%er t%e (om(s were 6laced (y t%e E?P, 1G1 or (y dissidents in t%e PE"EE 4indicato, w%o may %ave (een warding t%e government against allowing foreign 6rivate ca6ital to (ecome involved in t%e e$traction of oil* (<oo, someone wit% e$act knowledge a(out t%e oil 6i6eline system %ad to %ave set t%e (om(s, and t%at would need guidance from 6ersons inside PE"EE*) #ii& "u:coman!ante Marcos %ad won im6licit recognition as a 6olitical grou6 (not a guerrilla grou6) w%en in ,--1 President Co$ invited t%e ELL to

marc% to "e$ico City and make "arcos>s case in Congress* <%e 6resentation
1!1

Dn recent communi'u#s, t%e E?P mainly 6rotests a(out disa66earance of mem(ers at t%e %ands of authorities* threatenin) action unless the disappeared are -aBe to reappear.

, p. 188

resulted in t%e release of most EJ+1 6risoners and 6ermitted t%em to move freely a(out "e$ico* Dndeed in ,--M, "arcos conducted %is :Bt%er Cam6aign; (as Comandante Lero) against 6residential candidates Calder!n and A"LB* Dn t%e end, %e endorsed A"LB, (ut too late to make a difference* "arcos still calls for an :Dndigenous ation; wit%in t%e "e$ican ation* But after t%e 6residential

electoral recount, w%ic% "arcos %ad 6redicted would never take 6lace, (let alone a real election), %e lost relevance*

Dn terms of t%e economy, Real 85P gro*t( rates under t%e PA declined dramatically, as t%ey %ad under t%e P?D* Crom 10/1 t%roug% ,---, t%e P?D>s yearly average %ad fallen to -0ER* (:?eal 59P; removes t%e effect of inflation from t%e data, w%ic% ot%erwise understates 6ast c%ange and overstates current c%ange*) "e$ico>s low 59P growt% was influenced (y t%e ,--1 attack on t%e U4A 0A11* <%e PA >s average ?eal 59P growt% rate from ,--1 t%roug% ,--M was not t%e .*78 6romised, (ut also only -0ER (see Cigure 11), in s6ite of increasing remittances from "e$ican workers in t%e U4A (U4[ ,M (illion in ,--M) and rising /orld oil prices H/hich reached ESJ 1%# per barrel in Nuly 2++ H6s. ESJ 2+ in 2+++L. Mexico's blend of petroleu- sells for 1+: 2+O less than E.S. West Texas Fnter-ediate* /hich is the /orld bench:-arB price that had reached only ESJ 1++ per barrel in

, p. 189

2++ . In 2(() t7e $.S. price co**apsed to t7e +5( per CC*. ran'e, )ra6ely affectin) Mexico's inco-e fro- oil exports. (urin) the transition fro- 2++$ to 2+1+* oil has ho6ered near J#+* /ith up/ard tendency.

<%e ?eal 59P of "e$ico>s growt% rate reac%ed 7*,8 in ,--M (t%us winning 6residential votes for Calder!n), (ut %as su(se'uently fell (ack to an average of ,*G8 during Calder!n>s first two yearsQ,--. and ,--/*1G, (4ee Cigure 11, for gra6%ic views*)

1!2

4ee %tt6@AAwww*tradingeconomics*comAEconomicsA59P&5rowt%*as6$S4ym(olW"E

, p. 190

&&&&&& Cigure 11 "e$ 59P

, p. 191

8i)ure 12 3or*d #" 2(1( H2;cono-ic and 8inancial Fndicators* ),onomist* (ece-ber $ 2+1+L -o**apse, 2((8-2((), %eco8er6 for t7e %ic7 in

, p. 192

8i)ure 1! 3or*d Oi* rices and -apita* F*o>s, 2((1-2(()

H-inan,ial %imes2 Oct. 1!* 2++$L XNan. !* 2+11* Oil ,rice I ESJ $2 per barrelT

, p. 193

In -..>9 85P suffere! t(e *orst colla$se of any maMor country in t(e *orl!9 falling D0/R9 e)cee!ing even t(e fall of t(e Russian an! Hungarian 85Ps #-D0.R&*1GG

/?!0/ Cal!erGn Faces +G$e,-O:ra!or #'M+O&9 3(o 3ants 'narc(y to Restore "tatist Revolution 'n!rHs Manuel +G$e,-O:ra!or (w%o ran t%e :"ain Cam6aign; against Calder!n in t%e Presidential Election of ,--M) %as 6roclaimed %imself to (e t%e :Legitimate President; (,--M&,-1,), and %e still 6romises to lay t%e (asis for s%ifting "e$ico (ack to 4tatism* His foreign allies do not include t%e U4A (ut, C%Ive) in Jene)uela, t%e Oirc%ners in Argentina, Evo "orales in Bolivia, ?afael Correa in Ecuador, Lula in Bra)il, and w%at is left of Cidel Castro in Cu(a* He :6ro%i(ited; mem(ers of t%e P?9, including t%e "ayor of "e$ico City, to %ave any relations wit% t%e Calder!n Administration, alt%oug% t%e "ayor>s c%ief assistants were allowed to negotiate in order to kee6 federal su(sidies flowing to t%e largest city in "e$ico*

A"LB considered t%e P?9 to (e :His; Party of t%e 9emocratic ?evolution #PR5& w%ic% %e :owned; as :2efe de 2efes; w%en t%e 6arty (ase
1!!

2;cono-ic and 8inancial Fndicators*4 %he ),onomist * Nan. $* 2++$.

, p. 194

decided t%at %is refusal to negotiate wit% Calder!n andAor coo6erate wit% t%e Calder!n government was making t%e P?9 irrelevant* <%e goal in ,--0 t%en (ecame %ow to sideline A"LB and give t%e P?9 aut%ority to work constructively wit% t%e government*

Dn seeking 6revent t%e 6rivati)ing of PE"EE or t%e "e$ican Electricity Dndustry, A"LB %as refused to consider even doing so in 6art, even wit% t%e 4tate maintaining ma=ority control* Dndeed, A"LB seeks to end PE"EE from making service contractsQironically, e$ce6t for Coca&Cola to 6rovide (everages for PE"EE workers* <%e 6ur6ose of service contracts, e*g*, is to 6ermit PE"EE to %ire dee6&water drilling e$6ertise from a(road&&e$6ertise w%ic% PE"EE lacks*

Dn late ,--/, A"LB lost %is (id to continue %is control of t%e P?9 w%en 2esYs :C%uc%o; Ortega defeated A"LB>s candidate to (ecome t%e new President of P?9* 2esYs (and %is c%ief o6erator 2esYs Lam(rano) w%o deem t%emselves to (e :Los C%uc%os;) now are seeking to 6ortray t%e P?9 as t%e :Rene*e! PR50 3it% A"LB dis6laced (y ,--0, %e is wit%drawing from t%e P?9*

Dn s%ort, C%uc%o (t%e nickname of all t%ose named :2esus) won t%e P?9 6residency (y (asing %is cam6aign to recogni)e Calder!n as President and work

, p. 195

wit% t%e P?9 (and P?D) to solve "e$ico>s 6ro(lems, t%us defeating A"LB>s anarc%ical 6olicies*1GH

Dn t%e meantime t%e two P?9 founders Porfirio "ueo) Ledo and Cuau%t#moc CIrdenas (w%o %ave long (een enemies) %ave taken different 6ositions@ t%e former su66orting A"LB, t%e latter o66osing %im and suggesting t%at %e %imself (Cuau%t#moc) s%ould again (e candidate for President of "e$ico*

<%e E:rar! 3ing of t(e PR5F1G7 "arcelo E:rar! (currently :"ayor; of "e$ico City and 2efe de 5o(ierno of "e$ico>s Cederal 9istrict t%at includes "e$ico City) must 6osition %imself as a rationale, inde6endent 6olitical leader* E(rard %ad followed A"LB>s orders not to meet 6ersonally wit% any officials of t%e Calder!n government*

E(rard>s critics argue t%at %e governs "e$ico City t%roug% t%e use of kommissars (s6ies w%o 6olitici)e all activities as 6otential cons6iracies, as in t%e old U44?)* His su66orters include "anuel Camac(o-"ol6s9 w%o during t%e 4alinas era of t%e P?D served as "ayor of t%e 9*C*, 10//&100G* Critics of Camac%o claim t%at %e is intent on reviving t%e :Bld Aut%oritarian P?D 4tyle,; (ut t%is statement seems e$aggerated*
1!%

4ee 2o%n ?oss, :<%e 9emise of t%e P?9,; %tt6@AAwww*counter6unc%*orgAross-71.,--/*%tml 1!5 4ee www*angelfire*comAtnAtiem6osA6oliticaAte$toG1H*%tml

, p. 196

/?!0- 1arcotraficantes #5rug raffic4ers& "ee4 'narc(y to 1eutrali,e Police % Military 1arcotraficantes kill "e$ican 6olice and soldiers to disru6t t%e 6olice 6ower of t%e government, w%ic% seeks to 6ut t%e drug dealers out of (usiness* <%e arcotraficantes are (etter 6aid and %ave (etter communication t%an t%e

6olice and army* <%ey certainly %ave (etter wea6ons (including s%oulder&fired missiles) t%an t%e 6olice and often outgun even most military units* <%ey 6ay enormous (ri(es to avoid scrutiny (y government internal security :forces*; Df t%ey successfully create anarc%y (y 6araly)ing t%e role of 6olice and army, t%ey win t%e rig%t to freely traffic in drugsQt%ey do not want to try to govern "e$ico* Per%a6s to s%ow 6ersonal strengt% =ust days after (eing sworn into office 9ecem(er 1 ,--M (wit% a (are winning margin of only *7/8 of t%e vote), Calder!n declared 1- days later t%at %e was sending Cederal troo6s to sto6 t%e drug violence in %is %ome state of "ic%oacIn* <%is act would turn into t%e 3ar on 9rug Cartels t%roug%out "e$ico* But even more im6ortant t%an any 6olitical weakness for Calder!n decision to take on t%e 9rug Cartels is t%e fact t%at Calder!n %ad t%e 6ersonal courage to reali)e t%at t%e Cederal government could no longer ignore t%e increasingly violent arcotraficantes w%o decade (y decade since t%e 10/-s %ad (ecome evermore murderous as t%ey :c%allenged; t%e "e$ican 4tate* <%us, in %is first mont% in office Calder!n sent an initial M,7-- troo6s to 'uas% a ras% of e$ecution&

, p. 197

style killings (etween two rival drug gangs in "ic%oIcan*1GM 4ince ,--M, t%e num(er of troo6s %ave risen as t%ey s6read t%roug%out "e$ico to sur6ass H7,--in t%e struggle against t%e 9rug Cartels* Also, in ,--M Calder!n undertook t%e first of many cam6aigns to clean u6 6olice corru6tion in "e$ico w%en %is 6u(lic security minister 8enaro 8arc6a+una removed ,/H federal 6olice commissioners on corru6tion c%arges and re6laced t%em wit% a %and&selected grou6 of officers w%o successfully arrested several drug king6ins* <%e gangs %ave res6onded wit% w%at seems to (e an endless stream of violenceQmore t%an 1M,--- 6eo6le %ave (een killed in drug& related crimes during t%e last t%ree years 9ecem(er ,--M to 9ecem(er ,--0, t%e vast ma=ority (eing narcotraficantes (ut also including innocents caug%t in t%e cross&fire a well as over 17- 6olice and troo6s* <%e total killed 6ersons, about )hom are kno)n, t%e total %as risen to G,,--- for t%e 6eriod ,--M&,-1- is s%own yearly in Cigure 1H *

For t*o analyses of *(at can only :e calle! t(e faile! I0"0 3ar on 5rugs an! I0"0 (istorical conte)t of many mu!!le! matters in (el$ing to resolve Me)ican issues to com:at t(e narcotraficantes9 see* e*g*, Claire 4udda and P%ili6 Ca6uto* 4udda, \:"e$ico>s_ 3ar on 9rugs,; "arc% ,7, ,--0, is at www*time*comAtimeAworldarticleA-,/700,1//.H//,--*%tml and Ca6uto on (e Fall of Me)ico, Atlantic Maga-ine, 9ec* ,--0 is at www*t%eatlantic*comAdocA,--01,Ame$ico&drugs
136

, p. 198

But let us not forget t%e %istory dating (ack to t%e 10/7 murder of 9EA agent Enri'ue Camarena, w%en "e$ico and t%e U4A (ecame fully aware of t%e danger 6osed (y arcotraficantesQsee 1Ga, a(ove* El C%a6o was ca6tured in 100G (ut esca6ed 6rison in 1007 on t%e eve of %is e$tradition to t%e U4AQas of t%e end of ,-1- %e %as still at large* Dn ,--/, El C%a6a was listed at .-1 on the (orbes= list of ric%est 6eo6le in t%e world wit% an estimated net wort% of [, (illion, w%ic% infuriated "e$ican aut%orities w%o saw %is inclusion on t%e list as an insult to t%e civili)ed world* &&&&& Cigure 1H 7no*n num:er of $ersons 4ille! in Me)icos 5rug 3ar0 -..A--./.O
("ay (e U6 to GM,--- or "ore)

?-9... totalO (including crossfire)gg E@A 9ec* ,--M -9EDD in ,--. (including G-- in 2uIre)) A9->. in ,--/ (including 1,M,- in 2uIre)) D9D-E in ,--0 #including ,,MM- in Ciudad 2uIre)ggg) /=9.-? in -./. #inclu!ing?9/// in 2uCre,P a:out -=R of of t(e cities /0E million $ersons (ave fle! g<%is total since ,--M agrees wit% t%at of "e$ican officials w%o disagree wit% t%e total of G-,,-- given (y "e$ico>s Attorney 5eneral Arturo C%Ive) (see Press<J, 2an* G, ,-11@ %tt6@AAwww*6resstv*irAdetailA17/G//*%tml

, p. 199

Bt%er sources claim t%at C%Ive) %as a data (ase wit% ?A9... names of 6ersons killed in t%e 9rug 3ars, see Gardenia Mendoza Aguilar, Dec. 17, 2010
http://www.impre.com/noticias/2010/12/17/son !" mil muertos por la narc 22#"!# 1.html$comments%loc& gg4tatistics on t%e loss of life are com6licated in "e$ico, t%us t%ere is no

single list (ut rat%er many, de6ending on t%e focus of t%e com6iler, w%ose lists include@ "en and women murdered, %uman (ones found (ut not identified andAor identifia(le, 6ersons killed in (attles (etween drug cartels andAor wit% t%e military, 6ersons killed (y crossfire, 6ersons killed in kidna66ings andAor ro((eries, migrants killed, a66arent suicides, c%ildren murdered (y family andAor foe, women killed (y :4atanic Cults,; women factory workers w%o are missing and also missing and 6resumed dead, etc, Dn ,--0 Oen Ellingwood articulated in %is August / article for t%e Los Angeles Times t%e sudden rise of missing women w%o are students leaving (e%ind sta(le middle&and working& class familiesQsee ///.lati-es.co-1ne/s1nation/orld1/orld1la:f):
=uare>:-issin)$:2++$au)+$*+*%!5 #+ .story

ggg<%e Ciudad 2uIre) total includes 10H cases of : femici!e; in ,--0 and total of .7- women since 100GQt%e latter figure is given in t%e Dnter& American Court of Human ?ig%ts ?e6ort 'uoted in %tt6@AAwww*el6asotimes*comAciT1G0/1G10 Cemicide is t%e mass murder of women sim6ly (ecause t%ey are women* Dt is t%e term t%at %as (een coined in res6onse to t%e %undreds of women murdered and missing on t%e U*4*&"e$ico (order in t%e city of 2uare), =ust across t%e (order from El Paso, <e$as* 4ome lists s%ow :only; G7- women missingAdead from 100G&,--0, ot%ers give figures in t%e H7- range* <%e %ig% is .7-*
"ourceF 9rawn from@ %tt6@AAen*wiki6edia*orgAwikiA"e$icanT9rugT3ar as well as from t%e always e$cellent re6ortage (y 8ar!enia Men!o,a-'guilar9 www*im6re*comAlao6inionAnoticiasA,--0A1,A,/Amas&(ar(aros&los&actos&de&los&&1M7./M& 1*%tml and Doan 5rillo, X"e$icoRs Cocaine Ca6ital*X %ime. Au)ust 1%* 2++#* www*time*comAtimeAmaga)ineAarticleA-,01.1,1/G,/7H,--*%tml See a $o= htt+=>>www;+re$$t3;ir>,etai >1*&'&&;ht% /8an; ', :(112

&&&&&

, p. 200

Dn ovem(er ,--0, (orbes Maga-ine ranked 2oa'uNn 5u)mIn as t%e H1st of M. most 6owerful 6eo6le in t%e world , angering American and "e$ican officials* 9uring t%e early ,---s im6rovements in illegal flig%ts detection 6rom6ted El C%a6o to diversify trans6ortation met%ods and routes* 5u)mIn is well known for %is use of so6%isticated tunnels to smuggle cocaine from "e$ico into t%e United 4tates in t%e early 100-s* Dn 100G a .*G ton s%i6ment of %is cocaine, concealed in cans of c%ile 6e66ers and destined for t%e United 4tates, was sei)ed in Ba=a California**1G. Presidents Bus% and Calder!n agreed, in ,--.,1G/ to t%e "#rida Dnitiative for eventually 6roviding [1*M (illion to "e$ico and ot%er countries over t%ree years to %el6 com(at drug smuggling and violence* Bf t%e [1*1 (illion allocated to "e$ico (via t%e transfer of military e'ui6ment and t%e training of 6olice, 6rosecutors, and =udgesQnot (y direct transfer of funds), t%e end of ,--0 saw only [/G million (.8) wort% of goods and service %ad (een received (y "e$ico and t%at re'uired B(ama>s 4ecretary of 4tate, Hillary Clinton9 to 6ersonally cut t%roug% t%e U*4* (ureaucracy to %el6 "e$ican (egin to mount a greater o6erations level, w%ic% %ad stalled under Bus% in ,--. and ,--/ and under B(ama in ,--0*
1!

1G0

4ee %tt6@AAen*wiki6edia*orgAwikiA2oa'u8CG8A9nT5u)m8CG8A1nTLoera

See httpG11en./iBipedia.or)1/iBi1M\ridaRFnitiati6e On the 2failure4 of M\rida initiati6e to -o6e QuicBly* see #ardenia MendoAa-A'9i*ar*
1!# 1!$

, p. 201

By late ,--0 and early ,-1-, %owever, t%e U*4* Electronic 4urveillance, 6ayments to informants, and analysis of Xlife stylesX %as guided "e$ican forces to suc% key narcotraficantes as Arturo BeltrIn Leyva (killed in a 9ecem(er ,--0 s%ootout in Cuernavaca and %is (rot%er Carlos arrested in CuliacIn wit%in days) and El <eo 4imentel (arrested in La Pa), Ba=a California, 2anuary ,-1-* Dn s6ite of t%e lack of U*4* :virtual funds; 6romised to %el6 "e$ico, t%e Calder!n government announced t%e :,--0 scorecard; wit% some 6ositive results in t%e "e$ico 9rug 3ar* Cigure 1M gives t%e scorecard* (Jirtual su66ort is an :insult; to t%e "e$ican government (ecause t%e U*4* Congress %as mandated t%at U*4* 6ayments (e made directly to t%e 6rovider of services and not t%roug% t%e "e$ican government* <%is insult %as (een 6artially :com6ensated; (y t%e U*4* 6roviding electronic tracking su66ort to locate ca6os*) Low 6ay military is a 6ro(lem for "e$ico (ecause t%e arcotraficantes offer muc%, muc% more in 6ay and (enefitsQsee Cigure 17 Cigure 17
"ont%ly Earnings in "e$ico arco 3ars (U4[) Army 4oldier ,--M [ GM,-1- [ MHU4[ 1-O AO&H., 4UJ, :c%ain&saw;, cell 6%one, %ome for family )nd to6 'uality medical 6lan U4[ 7- 6er killing (y a 4icario 4ome 4icarios may now claim to (e :under6aid; arco 3arrior (Estimated) :4icario; Common Hit&"an

,-11 [ .,- (6lan) Bonuses are set in increase

///.i-pre.co-1laopinion1noticias12++$11212#1-as:barbaros:los:actos:de: los::165 #6:1.ht-l

, p. 202

in lig%t of t%e arrest of an American 1,&year&oldg was 6aid [,-- weeklygg in ,-1- ((ut t%at salary included torture and dismem(erment) TTTTTTTTTTTTT gCor news and video of :El Ponc%is;, see %tt6@AAwww*(orderland(eat*comA,-1-A11Arut%less&sicario&is&only&1,&years&old*%tml gg Cor an interview wit% :El Ponc%is,; see %tt6@AAwww*immortaltec%ni'ue*co*ukA<%read&El&Ponc%is&1H&FEA?&BL9& A?C&<HA<& 4LD<&<H?BA<4&CB CE44E4

&&&&& Cigure 1M Cal!erGns Positive an! 1egative 5rug 3ar "corecar!9 -..>
(Df you need a translation, see t%e Course 3e(site) oticias 6ositivas@ f Presuntos narcotraficantes detenidos 11 mil ,0. f Princi6ales ca6os caNdos@ El eo eo!oro 8arc6a-"imentel,g =efe de =efes en <i=uana, 1&1,&,-1-, fundador de la Xnarcoguerra sin reglas y sin 6iedadX en a(ril de ,--/ 'rturo BeltrCn-+eyva, e$ =efe del cartel de 4inaloa, killed 1,&17&,--0 Kicente Carrillo-+eyva9 %i=o del e$tinto 'ma!o Carrillo Fuentes9 fundador del cartel de 2uIre)U Kicente Jam:a!a-1ie:la, alias El Jicentillo, %i=o de Ismael bEl Mayo Jam:a!a, uno de los =efes del cartel de 4inaloa* f Cuncionarios involucrados con el narcotrIfico@ GM,U incluyendo 7H militares f 9ecomiso de cocaNna 1, toneladas f 9ecomiso de ve%Nculos 7,//, f 9ecomiso de armas 17 mil f Erradicaci!n de mari%uana y ama6ola 1.,7MG %ectIreas oticias negativas@ & E=ecutados 6or los narcotraficantes (andAor killed in crossfire)@ .,7-& 9Na mIs violento@ 1. de diciem(re con MH muertos &&&&&&&&&&
gXEl <eo, 'uien %a(Na sido reclutado en 1007 6or RamGn 'rellano-FHli), en a(ril de ,--/ rom6i! con el cIrtel de <i=uana su6uestamente al mando de Fernan!o "Cnc(e,-'rellano bEl Ingeniero 6ara dar inicio a la bnarcoguerra> \sin reglas, sin 6iedad_* XEs cuando toma el control de la estructura del crimen y narcotrIfico en Ba=a CaliforniaV* Para mantener el financiamiento de su estructura o6erativa El eo recurr6a al secuestro !e em$resarios y comerciantes en sus $rinci$ales ,onas !e o$eraciGn9 Ensena!a Rosarito9 iMuana y ecate;0 En esa narcoguerra em$ie,an a surgir !eca$ita!os9 colga!os y ca!Cveres !isueltos en

, p. 203

Cci!o0 +os bnarcomensaMes !an cuenta !e los motivos !e ca!a uno !e los cuer$os <ue se locali,a:an rega!os en la ciu!a! Yen la :atallaZF El <eo vs* El Dngeniero,V XEl <eo se le vincula con la mayorNa de las e=ecuciones de 6olicNas munici6ales, estatales y federales, asN como de funcionarios 6Y(licos, como el de ?ogelio 4Inc%e)&2im#ne), em6leado del go(ierno del estado, a 'uien encontraron desnudo y con %uellas de tortura, colgado de un 6uente en <i=uana el / de octu(re de ,--0* :Luego se incrementaron las amena)as en contra del 6rocurador estatal ?ommel "oreno, y del =efe de la 6olicNa local, 2uliIn Ley)aola* :En ,--H, =unto con su %ermano "arco Antonio 5arcNa&4imental, bEl C%ris>U EfraNn P#re)& Pasuengo, bEl Efra>, y 2orge Aureliano&C#li$, bEl "acum(a>, \El <eo se %a(iI integrada_ a la estructura o6eracional del trasiego de droga a Estados Unidos,; segYn 2orge "orales&Aldama, www*im6re*comAnoticiasA,-1-A1A1GA6olicia&me$icana&ca6tura&a&el&&1M/,,G&1*%tm

4ource@ Ada6ted from #ardenia MendoAa-A'9i*ar* 2MWs @Wrbaros los

actos de los ?arcos*4 *a :pini.n * (ece-ber 2#* 2++$ at ///.i-pre.co-1laopinion1noticias12++$11212#1-as:barbaros:los:actos:de: los::165 #6:1.ht-l

Ma$ E (e Reac( of Me)icos 5rug Cartels9 -..>

, p. 204

&&&& Cigure 1. Me)ican 5rug Cartels an! (eir Ca$osL+iving an! 5ea!9 -..>
E$cluding on&Cunctioning Cartels and ew Possi(le 4trong Cartels, e*g* %tt6@AAen*wiki6edia*orgAwikiALosT egros ("any Ca6os are 4till Living, But in Prison@ see Dnteractive Link@ %tt6@AAen*wiki6edia*orgAwikiA<imelineTofTt%eT"e$icanT9rugT3ar ame of Cartel Beltran Leyva Cartel 4inaloa um(er of Ca6os M 4till living at t%e end of ,--0 G (ut Carlos arrested in CuliacIn 1,&G-&-0 (1H days after El 2efe 'rturo killed in Cuernavaca (y Elite "e$ican avy 4'uad)g ,, t%e "a$imum Leader :El "Is Loco; %aving (een killed in late ,-1-, t%e "e$ican 5overnment announced t%is gang of arcotraficantes now :disarticulated*; But not (efore (loody (attles in w%ic% t%e gang effectively sealed off for some days t%e state ca6ital of "orelia* 11 (ut one in U*4* 6rison ( 8arciC-':rego) P one (Osiel CCr!enas-8uillHn) in "e$ican insecure 6rison w%ere %e can still o6erate t%e Cartel, %owever, see :Letas,; (elow for Alliance . (ut t%e notorius Rafael Caro-Wuintero Prison in "e$ico, and Miguel Caro-Wuintero is in U*4* 6rison / (ut, e*g*, Miguel `ngel FHli)-8allar!o is in %ig% security 6rison M (ut, e*g* :El eo "imentel an! - su:c(iefs ca6tured in in 2anACe(* ,-1-U "* `* C#li$& 5allardo is in %ig% security 6risonU S (ut as leaders are arrested or killed, new ones are a66ointed to maintain t%e (myt%icalS) 46ecial Corce :Clu( of G1 mem(ers;U in 2uly ,--0 U*4* <reasury names H leaders as

La Camilia "ic%ocIna

1-

5ulf Cartel

1,

2uIre) Cartel 4inaloa Cartel <i=uana Cartel

/ / M

Letasgg

G1

, p. 205

:9rug Oing6ins; of LcetasA5ulf Cartel g4ee www*google*comA%ostednewsAcanadian6ressAarticleAALe'"7=-n4LA'7dnPn?twgckA4l'%<gAec ggDn addition to conducting activities along t%e (order, t%e Letas Cartel is active t%roug%out t%e 5ulf Coast region, in t%e 4out%ern states of <a(asco, Fucatan, cuintana ?oo, and C%ia6as, and in t%e Pacific Coast states of 5uerrero, Ba$aca, and "ic%oacIn, as well as in "e$ico City* At times it %as o6erated in Ciudad 2uIre) in su66ort of remnants of t%e old Carrillo Cuentes Cartel, and 6er%a6s ot%er grou6s w%o o66ose t%e Caro&cuintero Cartel* 4BU?CE@ La 5 ini3nU %tt6@AAen*wiki6edia*orgAwikiA<imelineTofTt%eT"e$icanT9rugT3ar P
%tt6@AAen*wiki6edia*orgAwikiALosTLetas as well as %tt6@AAtreas*govA6ressAreleasesAtg,,-*%tm

&&&&&

Cor t%e 9rug 3ar results of ,-1-, see t%e continuously u6dated site at %tt6@AAen*wiki6edia*orgAwikiA<imelineTofTt%eT"e$icanT9rugT3ar

/?!0? (e 3orl! 8reat 5e$ression II9 -..@-+os 8ran!es Pro:lemas 1acionales II YIr:an an! Rural Me)ico in t(e 3orl!Z9 -..AL "e$ico is gravely im6acted (y t%e 3all 4treet&caused 3orld 9e6ression DD, (ut t%e (rig%t is t%at it %as taken an event not seen since 10,0 for it (ecome clear to Calder!n t%at a new vision is necessary* Cigure 1/ reveals t%e e$tent of t%e today>s crisis as it interacts wit% %istorical crises to :demand; 6olitical c%ange* <%us, Calder!n %as called for limiting (and 6resuma(ly later ending) Partidocracy in w%ic% Congressional 6ositions are selected (y t%e 6olitical 6arties* <o succeed, accounta(ility t%roug% direct election (y t%e 6o6ulace is necessary* 3it% no 6ossi(ility of reelection, voters %ave little c%ance to evaluate

, p. 206

t%eir :elected; 9e6uties and 4enators at t%e outset (ecause t%ey are all c%osen to run (y t%e 6olitical 6arties, and t%ey s%ift (ack and fort% (etween t%e two c%am(ers of Congress in (etween serving as 5overnor or %ead of an autonomous government agency* (e Cal!erGn 'C IKE-" ' E P+'1 is com6re%ensive* Cor e$am6le, in ,--0 %e set out to (egin ending su(sidies to corru6t autonomous government agencies (suc% as Lu) y Cuer)a del Centro)140U continue %is effort to c%ange t%e law, at least o(li'uely, so as to 6ermit PE"EE to seek foreign %el6 for t%e PE"EE (w%ic% will not (e 6rivati)ed (ut rat%er follower t%e Bra)ilian "odel)U (egin to end Partidocracy (y 6ermitting re&electionU ra6idly ado6t t%e rig%t to oral trials, finally ending in "e$ico t%e a6oleonic Code>s :guilty until 6roven innocent;U :legali)e; 6syc%otro6ic drugs for 6ersonal and to (e a(le to move freely wit% u6 to G&7 days 6ersonal su66lyU restructure t%e mess at t%e "inistry of Healt% (w%ic% %ad not %ad t%e tec%nology to identify t%e 4wine Clu (efore it s6read to all "e$ico and t%e 3orld in ,--/U and (since ,--M) soug%t to (ring down t%e :"en wit% 5uns; (t%e (rutes seen in film director 2o%n 4ayles movie of t%e same name) w%o %ave (ecome :su(&%uman Beasts;* <oo Calder!n %as to (e sure t%at "e$ico reali)e t%at t%e esca6e valve of workers going to t%e U4A is now closed and many "e$icans returning on t%eir own (ecause of t%e U*4* unem6loyment crisis as well as de6ortation (y Presidents Bus% DD and B(amaQt%e latter de6orting more t%an 1,, million
1%+

%tt6@AAwww*internationalview6oint*orgAs6i6*6%6Sarticle1.70

, p. 207

migrants for (eing in t%e U4A wit%out documents, and (uild a 4u6er&Port at Colonet, Ba=a California, to 6ermit s%i66ers to (y6ass 'uickly and ine$6ensively t%e com6licated Ports of Los AngelesALong Beac% to reac% rail lines into t%e U4A* Unfortunately, in t%e economic crisis of ,--/ and ,--0 and amid a 9rug 3ar, and ot%er ma=or 6ro(lems, Calder!n %ad to delay Colonet* Calder!n %ad to im6licitly take on t%e 6ro(lems t%at D list in Cigure 1/*

&&&&&&&

Figure /@ Many-Pronge! Crisis9 -..A--./. 3os Grandes ,roble-as ?acionales FF


" ' I" BC <HE CBLLB3D 5, w%ic% constitute BB4<ACLE4 <B 9EJELBP"E < Bil reserves in colla6se and Congress refuses to aut%ori)e entry under even under 4tate control of foreign ca6ital wit% e$6ertise and rare dee6&water rigs needed drill at least ,-,--feet (elow 5ulf surface Bil 6rice colla6se since ,--/((ut modest recovery end of ,-1- offset (y t%eft of oil and gas (y PE"EE 4indicato, arcotraficantes, and ot%er criminals Coreign and domestic investment dramatic decline since ,--/ wit% modest recovery since launc% of 5reen Autos to (e made in "e$ico (y U*4* and ot%er foreign com6anies ?emittances from workers in U4A to families in "e$ico from [,7*1 (illion in ,--/ to

, p. 208

[,1*, (illion ,--0, (ut 6er%a6s (S) regained to [,,*, in ,-1-

%tt6@AAwww*im6re*comAlao6inionAnoticiasA6rimera&6aginaA,-1-A1A,/A(a=an&las& remesas&a&me$ico&1.-70/&1*%tml and %tt6@AAwww*im6re*comAlao6inionAnoticiasA6rimera&6aginaA,-1-A1A,/A(a=an&las& remesas&a&me$ico&1.-70/&1*%tmlacommentsBlock

in tan!em *it( :Closure; of U*4* =o( market as an esca6e valve for "e$ico>s innovative and e$cess la(or* B(ama increases in ,--0 raids on U*4* 6lantsAfields to increase de6ortations (y at least /8 more t%an Bus% DD, raising t%e total to G//,--- (including families) for workingA(eing in U4A wit%out immigration documents* ?ise and fall of "e$ican undocumented migrants in t%e United 4tates (w%ic% stood at an estimated ,*, million in 10/1,*- million in ,--M), fall to less t%an 11*- million in ,--0*
%tt6@AAwww*migration6olicy*orgA6u(sAD"E&2an,-1-*6df %tt6@AAwww*migrationinformation*orgAdata%u(Acountrydata*cfmSD9WH/,

D"44 (alreadly underfunded for needed %os6itals, medicalAstaff, medicinesAE&rays) colla6sing under weig%t of non&mem(ers added (y 4eguro Po6ular (no worker contri(utions re'uired) Pu(lic Healt% 4ystem near colla6se in ,--0, owing to V* "*ine Flu Crisis caused in "e$ico and world (y U*4* transnational 4mit%field Carms Pu(lic Healt% la(s need to (e u6graded to detect disease at outset, not weeks later affect sam6les sent to Canada and U4A for first and second o6inions 9engue Cever swee6s ,H of "e$ico>s G, states, over H7,--- cases in areas under H,7-- feet elev* o vaccine against infected mos'uitoes until 6er%a6s ,-1H

, p. 209

%tt6@AAwww*im6re*comAlao6inionAnoticiasAlatinoamericaA,--0A11A1.Asu( en&alerta&6or&dengue&en&me$&170G7-&1*%tml

Adult dia(etes in "e$ico is at :e6edemic; levels@ "e$ican&American "igrants %ave (een found to %ave ,$ more 6ro6ensity to fall ill wit% 9ia(etes , t%an :w%ite non&%is6anics (11*.8 com6ared to H*/8), owing to Dndigenous genetics, %eredity, intensive work style in t%e U4A, and diet* 4ee@ %tt6@AAwww*im6re*comAeldiarionyAvida& Curt%er, .G8 of "e$icanAmerican migrant woman are overweig%t and wit% 9ia(etes , com6ared to M1*M8 of non Latinas in t%e U4A* 4ee

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%tt6@AAwww*im6re*comAlao6inionAnoticiasA6rimera&6aginaA,-11A1A,Ael& suentildeUo&americano&les&r&,G1G7/&1*%tmlacommentsBlock

C%ild %ealt% G78 of c%ildren under 1, are o(ese owing to e$cessive consum6tion of =unk foods and %ig% num(er of tortillas (many 6oor consume u6 to 1. tortillas dailyQno meat, fis%, milk, eggs, or even vegeta(les 6reviously consumed in (etter times), addition to c%i6s, (reads and ot%er car(o%ydrates, suc% as sugar&coated cereals and drinks, e$cessive use of t%e wrong cooking oils (e*g* (eans refried in lard) lack of 6rotein and e$ercise, etc*, according to "e$ico>s Pu(lic Healt% "inister 2os# Angel Cordo(a, 'uoted in La 5 ini3n, 1&1G&1www*im6re*comAlao6inionAnoticiasAlatinoamericaA,-1-A1A1GAengo rda&en&me$ico&mal&de&o(esi&1M/,1-&1*%tml <ourism to "e$ico@ arrival of foreigners su(=ect to decline amid 9rug 3ars, kidna66ings, and (outs of disease E$6orts and Dm6orts decline in t%e world :(oom and (ust; economy <rans6ortation (ottlenecks@ %undreds of roads need to (e made H&lane and maintainedU rail routes need to (e dou(leU trackedU %eritage airlines are making international travel so %ig% cost as to in%i(it

, p. 210

economic growt%Qand t%ey %ave given u6 coastal flig%t to U4A to U*4* airlinesU mono6oly domestic routes %urting tourismU Construction industry decline Agricultural 6roduction 6ro(lems owning to & worst droug%t (since 10G/) in ,--0&,-1& "e$ico (like C%ina, Dndia, U4A wastes and overuses ground water W declining resource
%tt6@AAwww*sciencenews*orgAviewAgenericAidAHMG,,AtitleABigT5ul6,TAsianTstyle

& decline in tourism cri66les muc% agricul* 6roduction owing to colla6se restaurant industry ,--0&,-1& t%reats to cactus industry@ t%eft of 6lants to sell in U4AU no6alillo infection W some 6lants die & still no federal agricultural e$tension & lack of credit for ag 6roducers as well as e=idos Coreign 9irect Dnvestment decline Credit availa(ility to (usiness and consumers endsU new credit cards and loans not generally availa(le :?easona(le; (anking fees and interest %as come to an endQ :reasona(le in "e$ico can mean u6 to dou(le t%at c%arged (y U*4* (anks otarial %istorical costs were su66osed to (e reformed (ut colla6se of c%ange makes legal transctions too costly for most 6ersons (U*4* otaries c%arge [7 to verify sigature on ma=or documentsU "e$ican notaries c%arge 8 of transaction cost on t%eory t%ey t%ey are guaranteeing all t%e statements in t%e documents to (e true Dm6lemenation of <itle Dnsurance only (eginning is few 6laces and limited circumstancesCom6uteri)ation of title recording develo6ing too slowly Consumer sales colla6se since ,--/

, p. 211

Business (ankru6tcy laws do not necessarily 6rotect non&(usiness 6ro6erty Parti&docracy W Parties name H-8 of t%e 9e6uties and ,78 of t%e 4enators, meaning t%at t%ose :winners; do not cam6aign for votes of t%e 6o6ulation (ut only for 6ower wit%in t%eir Party %tt6@AAen*wiki6edia*orgAwikiA4enateT8,/"e$ico8,0 o re&election means no accounta(ility so Party %olds control, not voters Catal 6olitical flaw W conflicting systems@ Presidential, semi6residential, o 6arliamentarySQ Porfirio MuXo, +e!o notesU "e$ico suffer from confusion of 46anis%, Crenc%, U*4* laws, and Dndigenous :usos y costum(res; 5overnment workers do not %ave civil service =o( 6rotection@ in most federal agencies and in most state and local :administrations; c%ange in leaders%i6 results in w%olesale c%ange in =o( %olders, t%us disru6ting knowledge a(out %ow t%e levels interact as well as t%e flow of work 5overnment a(ility to s6end moneyQrigid e$6enditure rules (:normatividad;) re'uire do)ens of signatures (y (ureaucrats at all level w%o fear (eing 6rosecuted if any kick(acks or corru6tion is later discoveredQ(etter not to sign 5overnment a(ility to s6ur (usiness com6etition and regulate "ono6olies is very lowQ a com6etitiveness commission e$ists (ut is 6owerless and frig%tened eed to increase t%e terms of mayos from G to at least H years and c%ange t%e com6licated civil code t%at :free)es; actions (y t%ose mayors, w%o cannot afford t%e legal advice to kee6 t%em (eing c%arged wit% violation of rigid e$6enditure rules (normatividad) eed for laws to regulating drug trade (e$ce6t for legali)ation of

, p. 212

relatively large amounts for :6ersonal useX w%ic% already e$its) eed for effective, %onest Police forces (w%ic% %ave always e$isted only in written 6lans) (ecause low 6ay re'uires 6olice to collect a living wage only (y demanding (ri(es* "ilitary 6ay is also to low to com6ete wit% arcotraficantes 2udicial system continues to (e %am6ered (y corru6t use of am6aro 2udges su(=ect to 6ressure (:convict and you and your family die;) as in t%e ,-1- Esco(edo case w%ere defendant confessed and led t%e 6olice to t%e victim>s remainsQ(ut %e was released :for lack of evidence;U :good sign; was t%e sus6ension of t%e =udges and %ig%er court reversal of t%e ac'uittal, ;(ad sign; was t%at it was too late to re&arrest t%e murderer, w%o %ad fled

%tt6@AAwww*w%atsonsanya*comAnews&1H-H1&me$ican&victim&s&mum& marisela&esco(edo&killed&too&w%ile&demanding&=ustice*%tml

4erious need to reform 6rosecutorial, =udicial, and 6rison systems@ from 9ec* ,--M to 9ec* ,-1-, federal aut%orities made 7H-,--- 6reliminary investigations, 6rosecuted H--,---, and saw /,,7-- 6ersons im6risoned, a rate of only178 of t%e original total* 4ee@
%tt6@AAwww*im6re*comAnoticiasA,-1-A1,A1.Ason&GM&mil&muertos&6or&la& narc&,,/MG/&1*%tmlacommentsBlock

eed to assess more cases in lig%t of ,--. data t%at are not as 6ositive@ Bf /.. Crimes, only -= are re6orted and only E0A investigated, /0A 6ersons are 6rosecuted, and /0/ 6ersons sentenced to 6rison*
To2ard a Ne2 riminal Fustice S,stem (,-1-), <a(le G*

4ee 5uillermo Le6eda Lecuona, :Criminal Dnvestigation and 4u(version of 2ustice 4ystem Princi6les,; on t%e internet as Fudicial Re0orm in Mexico:

eed to verify data t%at indicate H-- 6ersons %ave (een e$tradited to

, p. 213

t%e U4A (y "e$ico (etween ,--. and ,-1-, 71 (illion does of cocaine, %eroine and mari=ana %ave (een sei)ed, at a total value of U4[ 11*/ (illion* 4ee@
%tt6@AAwww*im6re*comAnoticiasA,-1-A1,A1.Ason&GM&mil&muertos&6or&la& narc&,,/MG/&1*%tmlacommentsBlock

Basic need to reform 6risons to sto6 esca6es@ "an %ave fled from 6rison@ in ,-1-, e*g*, G71 6ersons esca6ed in t%e state of <amauli6as (on t%e <e$as (order)U and in ,--0, 7G esca6ed in Lacatecas (acked (y narcotraficantes dressed as 6olice, w%o entered t%e 6rison wit% a 1.&car convoy and a %elico6terU etcV*
%tt6@AAwww*latimes*comAnewsAnationworldAworldAla&fg&me$ico&6rison1/& ,--0may1/,-,HG10/,/*story

eed to reform 6risons, w%ere 6risoners ruleQ6risoners wit% cas% can %ave a live&in wife or mistress and catered meals, use of cell 6%one, and easy access to drugs and wea6ons Laws 6reventing kidna66ing t%eoretically go into force in ,-11 finally to define kidna66ing in "e$ico as starting from t%e first moment of forced detainment (rat%er t%an, say, ,H or H/ %ours after t%e kidna66ing, de6ending on %ow eac% state %andles :E$6ress Oidna66ings;), :ut enforcement may(e difficult in t%e case of 'uick E$6ress Oidna66ings (often (y 6olice), and :Bride kidna66ing; (a term often a66lied loosely, to include any (ride, usually a minor) Ra(ductedR against t%e will of %er 6arents, (ecause t%e young girl may (e willing to marry t%e Ra(ductorR %tt6@AAwww*6ittsre6ort*comA,-1-A1,Ame$ico& ,A%tt6@AAen*wiki6edia*orgAwikiABrideTkidna66ing Lack of Dnnovation in industry, mining, and agriculture&& most innovation now located in Bra)il ("e$icoRs main com6etitor in Latin America) Continuing foreign and domestic de(t over%ang totals H78 of 59P Z including su(total for CBBAP?BA (100-) and DPAB (100/) w%ic% are u6 to 1,8 of 59P, according to 9r* 2uan "oreno P#re)*

, p. 214

-----Com6are "e$ico>s 6ro(lems to t%e view (y Andreas Olut% (t%e California corres6ondent for The .conomist2, w%o in ,-1- saw California as t%e first failed state of t%e U4A@ If a state can no longer a!!ress or solve t(e $ro:lems it faces9 t(en it (as faile!0 California easily meets t(at criterion0 PrisonsF California %as t%e worst recidivism rate in t%e country* 3aterF itRs an infrastructure and a climate issue (ut itRs also a governance issue0 E!ucationF California (uilt t%e (est 6u(lic university system in t%e country, w%ic% it is currently dismantling (ecause it is now a failed state* Bu!getsF a state is su66osed to %ave a (udget, to 6ass it on time, and California never does* <%at started well (efore t%e recession* Bur o66onents may argue t%at as soon as t%ereRs a recovery t%ese 6ro(lems will recede* DtRs not true* 3arren Buffett says itRs only w%en t%e tide goes out t%at you learn w%oRs swimming naked* Calfornia %as (een undressing since t%e 10.-sVsince t%e infamous Pro6osition 1G* <%is is somet%ing called direct democracy t%at t%e founders of t%e nation were very afraid of* *enty-four states (ave Yciti,enZ initiatives0 Only one !oes not allo* its legislature to amen! initiatives t(at its voters (ave $asse!9 no matter (o* insane0 Dn only one state do t%e inmates run t%e asylum* %tt6@AAwww*newsweek*comAidA,G,7.7 (1&,M&1-)

A ma=or issue of t%e cam6aign was to (ring an :end; to c%aos created (y criminals (narcotraficantes, kidna66ers, and crooked 6olice) and re&esta(lis% 5overnment aut%ority over t%e entire country* <%ese are still ma=or unresolved issues facing t%e country*

Alt%oug% t%e PA

is anti&state in 6olitical terms, t%at is not t%e case in soug%t unsuccessfully in ,--. to defeat t%e

social terms* Calder!n and t%e PA

P?9 legislation w%ic% %as resulted in Cederal 9istrict (ecoming t%e second federal entity in t%e country (after t%e state of Coa%uila) to a66rove same&se$ unions, and t%e first to allow con=ugal visits for %omose$ual 6risoners*

"ost im6ortantly, in ,--. under t%e P?9 t%e 9*C*>s Legislative Assem(ly e$6anded 6rovisions on a(ortions, (ecoming t%e first federal entity to e$6and a(ortion in "e$ico (eyond cases of ra6e and economic reasons* <%e 9*C* 6ermits

, p. 215

a(ortion, regardless of t%e reason, s%ould t%e mot%er re'uest it (efore week 1, of 6regnancy* Acting out of religious doctrine rat%er t%an legal 6olicy, mem(ers of t%e Calder!n government %ave set u6 a confrontation wit% t%e 9*C* (y refusing to 6ermit federal %os6itals in t%e 9*C* to 6erform a(ortions, t%us in=ecting t%e state into t%e 6rivate life of individuals*

Calder!n faces t%e fact t%at PE"EE (t%e ma=or source of income for t%e government) is e$%austing "e$ico>s oil reserves and does not %ave t%e ca6a(ility to drill in t%e dee6 5ulf of "e$ico w%ic% %as a %uge oil reserve w%ic% it :s%ares; wit% t%e U4A* Curt%er, faces t%e same 6ro(lem at t%e (order wit% t%e U4A, w%ere "e$ico s%ares an underground 6ool of oil wit% %is neig%(or to t%e nort%* (How t%e two countries s%are t%ese 6ools of oil wit%out one :draining; t%e ot%er>s s%are is not even (eing discussed*)

Dn t%e meantime, even t%oug% t%e PE"EE work force %as (een reduced (y %alf during t%e Anti&4tate 6%ase since 10/G, it still %as twice as many workers as needed, and 1-8 vacant, t%e 6ay of t%e 6%antom workers reverting to t%e PE"EE Union for its own activities* <A%e Union itself %olds :sweet%eart contracts (guaranteed %ig%&6rofit, low&yield results) wit% PE"EE*

, p. 216

<%e a(ility of "e$ico>s wealt%y mono6olists to defeat t%e federal government Com6etitive Commission is ty6ified (y t%e (e%avior of Carlos 4lim, w%o %as com6eted wit% 5ates for t%e status of :ric%est 6erson in t%e world*; Unlike 5ates (w%o %as %ad %is own 6ro(lems of 'uas%ing t%e com6etition), 4lim %as donated virtually not%ing to 6%ilant%ro6yQ5ates donated U4[ G- (illion* 4lim>s use of t%e am6aro to 6revent "e$ico from forcing %im to cut %is incredi(ly %ig% tele6%one rates is not%ing s%ort of criminal, say %is critics* Cor t%e (est analysis of 4lim and %is failure to invest et%ically in "e$ican (usiness, see t%e 6u(lic& service analysis (y 9enise 9resser@ :B6en Letter to Carlos 4lim; (dated Ce(ruary 17, ,--0)@ %tt6@AAeacm*(logs6ot*comA,--0A-GAo6en&letter&to&me$ican& mogul&carlos*%tm

By 6reventing innovation and kee6ing costs %ig% for 6oor service, avers 9resser, 4lim %as almost single&%andedly stunted "e$ico>s economic develo6ment*

Calder!n %as called for develo6ment of a new 6ort at Colonet and a railroad to link wit% t%e 3est&East railroad route from Los Angeles across t%e U4A (t%us relieving congestion at t%e 6orts of Long Beac% and Los Angeles* But "e$ico>s com6licated normative rules (see (elow) as well as t%e world financial crisis of late ,--/ and ,--0 t%at %as dried u6 t%e flow of credit*

, p. 217

Cor t%e P?BC"EE&University of Ba=a California 6lan to develo6 t%e Ba=a Crontier as a 46ecial Economic Lone to com6ete wit% C%ina, see t%e "niciati$a HABC ara la creaci3n !e la (rontera !e Ba%a California&6lobal 1(BC&

6L5BAL B9L92 como Primera Mona .con3mica .s ecial !e M4xico, (y 2ames 3ilkie and "iguel Angel ?ivera ?ios*1H1

Calder!n %as (een a(le to win a controversial ta) reform from Congress, (ut it %as alienated muc% of t%e 6rivate sector (ecause :usinesses are ta)e! on gross recei$ts (not 6rofits) and deductions are limited*

"e$ico>s real foreign de(t of U4[ 1G, in ,--/ (down from U4[ 1GG (illion w%en %e took office in ,--M) is not a real 6ro(lem in making e$6enditure, (ut rat%er Calder!n faces a tangle of Cor6orativist normative laws made more difficult (y Co$>s trans6arency laws t%at 6revent e$6enditure of funds after %e t%e President %as ordered t%at t%e e$6enditures (e made* (Bureaucrats, w%o are aut%ori)ed to make %is e$6enditures, are always fearful of Congressional audits t%at will find t%em guilty of violating rules wit% :catc%&,,s*; <%is serves to remind us of t%e near failure of 2o%n C* Oennedy w%en, 6ur6ortedly, %e ordered t%e Pentagon to :get t%e damned 2u6iter missiles out of <urkeyQt%ey are t%reatening my deal wit% t%e ?ussians to get t%eir missiles out of Cu(a; (or words

1%1

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, p. 218

to t%at effect)*

eedless to say, it took si$ mont%s to get t%e missiles out of

<urkey, t%e Pentagon resisting to t%e (itter end*1H,

Calder!n faces one 6ositive situation in t%at t%e "e$ican countryside %as generally recogni)ed t%at "e$ico must s6read t%e use of tractors* 3%ere 6revious Presidents %ad failed to interest farmers to acce6t t%e 6lan to (uy and distri(ute 1-,--- tractors in "e$ico, in ,--. t%e Confederaci!n acional Cam6esino ( ational Peasant Cederation) signed a contract to 6urc%ase ,7,--- tractors from C%ina*1HG 3%ile t%e U4A, Canada, 2a6an, and t%e Euro6ean Union %ave H-tractors for eac% 1,--- farmers, "e$ico %as only 1, tractors for eac% 1,--farmers*1HH

Car (e%ind Bra)il and its use of sugar (w%ic% is far su6erior to corn) to 6rovide (io&fuel at t%e 6um6, "e$ico was only a(le to 6ass a law in ,--/ t%at seeks to (ring "e$ico u6&to&date@1H7

"e$ico>s ,--/ Law on 9evelo6ment of Bio&fuels esta(lis%es t%e (asis for 6roduction, trans6ortation, storage, distri(ution, and marketing of new fuels* Dt includes em6%asis on 6rotection of t%e environment and reduction of air 6ollution
1%2 1%!

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, p. 219

emissions* <%e Bio&fuels Law also esta(lis%es measures for 6rotection of "e$icoRs self&su66ly of critical agricultural 6roducts, suc% as corn*

----CO1C+I"IO1 3I HOI E15

4ur6riseS <%e P?D is t%e ,-1- favorite to win (ack t%e Presidency in ,-1,* <%e P?9 %as s6lintered, (adly damaged (y t%e antics of A"LB, w%o is seen as %o6elessly out of touc% wit% reality, even in t%e Party t%at %e led from 100M to ,--0Q1G years attem6ting to (ecome a new 2efe "I$imo smas%ed %is 6ersonal re6utation* Alt%oug% t%e P?D lost t%e Presidency to t%e PA in ,---, t%e P?DRs

system of XCor6orativismX remains largely in 6lace at t%e federal level as well as at t%e 4tate and <ownACityACounty levels of government to 6revent muc% of t%e c%ange t%at Anti&4tatists and Active 4tatists %ave soug%t to im6lement* By t%e time of t%e P?DRs .7t% anniversary in "arc% ,--H, t%e P?D could claim t%at it %eld G.8 votes cast nationally&&a 6ercentage t%at understated its 6ower and t%e 6ower of t%e Cor6orativist system t%at it left in 6lace* Dn early ,--0 t%e P?D %eld 7,8 of t%e "e$ico>s G, governors%i6s, G/8 of t%e G1 state legislatures (G1 e$cludes t%e 9*C), and G.8 of t%e country>s ,,H7. mayors%i6s* <%us, t%e P?D %as more governors%i6s and more control of

, p. 220

legislatures and mayors%i6s t%an any ot%er 6olitical 6arty* 4ee t%e P?D we(site in Englis% www*6ri*org*m$APriistas<ra(a=andoAP?Den"e$icoAenglis%*as6$ 5iven t%e un6o6ularity of t%e PA owing to t%e long 9rug 3ar and ta$ation c%anges in t%e face of t%e resurging P?D, in ,-1- t%e PA moved toward an alliance wit% t%e new P?9, w%ic% %ad seen A"LB for t%e leftist Partido de <ra(a=o (P<)* A"LB %o6ed to s6lit t%e P?9 and make t%e P< into t%e new 6ower on t%e left, (ut all t%is did was drive t%e P?9 and PA into eac% ot%er>s arms as t%ey looked for ways to (eat t%e P?D in coalitions suc% as develo6ed in 4inaloa (w%ere t%e P?D lost t%e governors%i6 for t%e first time in /1 years* <%e same alliance was also successful in Ba$aca, w%ic% also finally saw t%e P?D loose t%e governors%i6 after /1 years* "ost o(servers t%ink t%at t%e PA %as no via(le candidate for "e$ico>s Presidency in ,-1,, (ut 6er%a6s 9iego CernInde) de Cevallos (:El 2efe;) %as :saved t%e day;, some argue* He was :kidna66ed; in "ay and released in 9ecem(er ,-1-, su66osedly %aving :negotiated t%e ransom down from U4[ 1-- million to [ G- million* But t%e :victim;, w%o will (e .1 in "arc% ,-11, a66eared to (e in suc% good s%a6e after more t%an seven mont%s in ca6tivity t%at s6eculation (egan@ He %ad arranged a :self&kidna66ing; to %el6 create sym6at%y for t%e PA , for w%ic% %e ran as 6residential candidate in 100H* El :2efe 9iego; %as said not%ing a(out %is ca6tors, (ut a (ranc% of t%e ELL claimed in a message to "e$ico t%at %e %ad (een %eld at t%e orders of former 4u(&Comandante "arcos, w%o %ad seemingly disa66eared from t%e scene*

, p. 221

Claiming in t%eir message t%at t%ey are t%e :E$&"ysterious Oidna66ers;, t%ey took %im %ostage as t%e arc%&leader of eo&Li(eralism and enemy of t%e Dndigenous Peo6le* At t%is writing, cons6iracy t%eory is rising* 3%at does all t%is mean, w%ic% is t%e tone for e$am6le of new articles, for e$am6le, (y ECE (t%e 46anis% ews Agency (ased in "adrid), w%ic% referred to t%e :su66osed message from t%e bELL > and t%e :link; to "arcos*1HM

Celi6e Calder!n, inaugurated 9ecem(er 1, ,--M, (elieves t%at Cor6orativism must (e ended along wit% t%e costly and inefficient remainders of 4tatism (suc% as t%e PE"EE and electricity mono6olies), (ut %e cannot say so directly owing to PE"EE (eing seen (y many as t%e sym(ol of "e$ican economic inde6endence in t%e world* Fet Calder!n did take on "in!icato Me)icano !e Electricistas main o6erations in t%e center of t%e country, in Bcto(er ,--0 a(olis%ing t%eir 6ower over t%e com6any and installing real accounting* (?ogue agents of t%e 4"E are still (lowing u6 6ower transformers to claim t%at no ot%er e$6erts can maintain t%em like t%e e$6erts of t%e 4"E*)

Unfortunately for Calder!n, %is administration %as coincided wit% 3orld 9e6ression DD, and many voters do no understand t%e com6licated
1%6

Secuestro de 8ernWnde> Zpor ;P3?*'4 *a :pini.n * Nanuary 2* 2+11.

, p. 222

international relations%i6s t%at %ave (roug%t ma=or economic 6ro(lems to all countries of t%e world

Bt%ers argue t%at X4tatismX is not t%e issue (ut rat%er t%e develo6ment of an XActive 4tateX t%at can take care of t%e 6o6ulation un6rotected (y t%e Xfree market,X w%ic% needs serious regulation to sto6 t%e greed of CEBs willing to destroy entire economies for t%eir yearly (onus t%at is (ased on failure if not success*

<%e arcotraficantes continue to find t%emselves s6lintered into internecine warfare among com6eting cartels, trying to stay alive and if in =ail not e$tradited to t%e U4A* Dn t%e meantime t%ey constitute a t%reat to "e$ico>s self&confidence and safety of t%e general 6u(lic* 3it% lawlessness seemingly on t%e rise, kidna66ers ((e t%ey arcotraficantes, 6olice, andAor inde6endent criminals) %ave

emerged to %am6er t%e role of domestic and foreign tourism in "e$ico*

"e$ico is not a :failed 4tate,; as t%e Pentagon suggested in ,--0, (ut one in w%ic% arcotraficantes seek a state of anarc%y in relation to 6olice and military a(ility to sto6 t%eir activities* 4ee "a6 H for t%e sway of si$ areas w%ere at least seven cartels struggle wit% eac% ot%er and wit% t%e "e$ican government*

, p. 223

But t%e very fact t%at Calder!n %as (een a(le develo6 a vision, w%ic% D articulate %ere as :Los 5randes Pro(lemas acionales DD, augers well for "e$ico attem6ting to resolve 6ro(lems, including do)ens of B(stacles to 9evelo6ment (age&old %alf&solved, %alf&understood, and accumulating faster t%an any can (e :solved; is (ased on t%e reali)ation, D %o6e, t%at we all recogni)e t%at t%ere are no final solutions, (ut only ada6tations to %istory as it advances into t%e 6resentQ always su(=ect to re inter6retation in t%e lig%t of new events and findings*

<ame k%em c%oS