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Mexico Perspective: Ever Wonder About The Things You Don't Hear About In A
Travel Brochure?
May 5, 2007
To summarize, Mexico is a kleptocracy
and most of its problems as a nation and for its people stem from this fact.
The
problems in Mexico are large and not in benefit of the average
Mexican worker, which have been kept poor and desperate by their
own government's corrupt practices. Over 40% of Mexico's
citizens are living in extreme poverty while another 20%
comparable to US poverty standards. About 12% of the
population flourishes in great opulence while an estimated 90 families control
the vast majority of Mexico's key industries and wealth.
Here are some
basic facts US citizens might be interested in
knowing about our neighbor to the south (ironically, some key
problems are similar to those in the US with relation to trade
and labor, that have resulted in forcing poorer Mexicans from their own
country into the US).
Mexico's
Top 6
Industries By Financial Contribution To Mexican Economy
1)
Petroleum
2) Illicit drug trade, human trafficking,
and kidnapping.
3) Remittances:
Illegal Aliens in the US sending money to Mexico.
4)
Tourism.
5) Heavy
industry, mining, infrastructure, and export.
6)
General business enterprise and investment.
Business
Many
Mexican laws are anti-business in nature:
 |
Sales
and service receipts, in order to be used legally as a tax
write-off (known as "facturas"), must be
laboriously created and accounted for each time a
transaction is made---because the system is so cumbersome
and costly, most businesses work within the more common
underground economy that works on a "cash" basis
and therefore avoids taxation whenever possible. |
 |
Many
business processes are not tax write-offs, such as
entertaining a client, purchasing products or services in
the US for use in Mexico, etc.. |
 |
Accounting
and tax reporting laws are so severe that businesses often
have to hire 3 separate accountants or accounting companies
to comply: one to prepare the books, another to check the
books, and still another to verify the other two
accountants---otherwise, one small mistake could result in
the company being forfeit to the Mexican government (under
its laws). |
Hiring
 | Employment
laws are very convoluted, requiring legal specialist and
specialized contracts to keep employers from having to pay
employees, particularly ones they fire, large sums of money
as penalties. Such antiquated employment laws may it
difficult to hire and use the Mexican worker in their own country. |
Wages
 | The
average Mexican worker in Mexico earns between $50 and $100 per week
(the workweek is Monday through Saturday--half day on Saturday, 45 hour min.
workweek). In the US, the average
illegal worker earns between $50 and $75 per day for 8 hours work. |
Investment
 | Most
Mexican investors refuse to invest their money in Mexico due
to safety and security issues, choosing, instead, to invest
in other countries, such as Spain, Europe, and the US. |
 | Mexico routinely tries to borrow
money from the US and other countries to provide themselves with much needed
infrastructure. |
 | Investments in Mexico are subject
to high risk of loss. With organized crime entrenched throughout Mexico and
its most lucrative industries and government, legitimate companies often find themselves
compromised by racketeering or kidnapping schemes, which can siphon off most
or all of a company's treasure and put undue stress on working executives or
company heads and their families operating and living in Mexico. |
 | Key executives and family members are often targets
of kidnappers. It is not uncommon for victims to have body parts removed or
be killed even if ransoms are paid. |
Loans
(Personal & Business)
 |
Percentage
rates are often triple or higher than those paid in the US
when borrowing money for business or real estate. |
 |
Few people
or businesses qualify for loans. |
Inflation
 | Mexican
inflation rates are often triple or more than those found in the
US (historically). |
Migrant
Workers
 |
Farmers
and manufacturers, particularly in southern Mexico, often
hire illegal alien migrants (from Nicaragua, Guatemala, etc.)
who will work for less wages
than they have to pay their Mexican citizen workers, often
displacing hundreds of thousands of Mexican workers while
abusing the slave-like labor of illegal aliens (sound familiar?). |
Farming
 |
The
practice of "free trade" has destroyed Mexico's
small-farm industry and displaced millions of farmers
who once earned a living on their small acreages of land for themselves and
their families. |
 | Crops are routinely given
pesticides that are banned in the US - even though foods from Mexico are
exported into the US. |
Environment
 |
Mexico's air pollution is among the
worst in the world. In Mexico City, it is not uncommon for visitors to
report burning and stinging eyes just hours after arriving; those with repertory
problems are told to avoid Mexico City's air. |
 |
Lake Chapala, the nation's largest
lake, has been essentially killed due to industrial pollution that is
routinely poured into the lake from adjoining factories on its shores
(typically throughout the industrialized parts of Mexico). |
 |
Raw or untreated sewage from towns
and cities are routinely dumped into nearby oceans and seas, ensuring that
most population centers have high levels of toxins and bacteria harmful to
humans in their recreational or resort waters. |
 |
Although toxic chemical dumping is technically
illegal in Mexico, it is not uncommon (when caught, business owners simply
pay authorities small bribes to look the other way). |
Real
Estate
 |
Except
for portions of land extending beyond about 67 miles inland from the coast
and waterways, most real estate can not be owned by
Americans (or foreigners), except through a bank trust (and banks have been
known to break the trust and transfer land ownership to
others, leaving the original foreigner or American owner with
nothing). |
 |
Mexican
court systems rarely uphold legal cases brought forth by
Americans or foreigners. |
 | Real
estate law in Mexico recognizes that anyone may hold a claim
to land ownership even though they are not on public record,
which means that unscrupulous (or legitimate) operators may
make claims against your real estate purchase, even years
after the fact, and effectively take ownership through the
court system. There is no "Quiet Title Action"
available in Mexico to ensure against this happening. |
 | Courts
can take up to 15 years to process real estate claims,
effectively rendering the property unusable during a strong legal
action. Unscrupulous business competitors may enjoin your
property toward stalling your commercial progress toward ensuring their own. |
 | It is not uncommon for unscrupulous
operators to use laws regarding abandonment and vacancy to their favor to
win legal ownership of real estate assets: For example, if an absentee
foreigner purchases a home then leaves for long periods of time (6 months or
more) they may ultimately return to find they are no longer the property
owner. The process works by the unscrupulous Mexican simply filing
abandonment proceedings, providing false witnesses and taking possession
through the courts during the absence of the owner). |
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Medical
 |
Nobody,
particularly Americans, may receive medical services unless
they are paid for in advance (this includes life and death
emergencies, such as when someone is bleeding
to death). |
 | Less
than 20% of the Mexican population is covered through
employers paid government healthcare programs, and when care is offered, it is often
substandard and dramatically minimal. |
 | Medical malpractice is not a major
legal aspect for doctors in Mexico so often those who have committed egregious
medical negligence in the past are not barred from further medical practice. |
 | Equipment and training for doctors
and dentist in Mexico is considered several decades behind that of the US in
terms of development and practical applications. |
Welfare
 |
None
exist in Mexico. |
Housing
Subsidies
 | The Mexican
government does provide for government housing but the
projects are rare and the cost reductions often
insignificant while the waiting list highly corrupted. |
Education
 |
Mexicans
must pay for their children's education at every level. |
 |
Many
Mexicans in border areas avoid paying for their children's
education by commuting them across the border daily to
attend free schools in the US. |
Voting
 |
Only
Mexican citizens can vote or have a political voice. Any
person who immigrates to Mexico and who is not considered a
birthed citizen of Mexico, is prohibited from voting. |
Political
Voice
 |
Public
activism and anti-government displays are not legal in
Mexico and often not allowed and quelled with violent
police action. |
 |
Foreigners, such as
Americans, are not allowed to protest in the streets
ever. |
 | It is crime to criticize the
Mexican president or their cabinet. |
Voting
System Integrity
 |
Mexico
has had a long history of voting issues with many
allegations of system fraud. |
Illegal
Immigration (From Mexico's Southern Border)
 |
Trespassers
on Mexican soil are often shot at, beaten, raped, murdered,
robbed, and imprisoned with little food or water. |
 | Americans found to be in Mexico illegally are fined. Those failing to pay the fine
are immediately deported and barred from return. |
Southern Border With Guatemala
 |
About every 500 yards (in the most frequented areas)
there are towers with machineguns, which are legally able to shoot to kill
any would-be trespasser. |
 |
Posted along the border are signs that read (in
essence), "use of deadly force authorized if you trespass onto Mexican
soil." |
 |
Hundreds of illegal aliens are wounded and some killed
every year along these border areas. |
Law
Enforcement Protection
 |
When
an American calls the police to report a crime, the standard
procedure for the police is to side with the Mexican citizen
that is accused of the crime---Mexicans are rarely
arrested for crimes against Americans and are often let go
on the way to the police station. |
 |
Jurisdiction---Mexican
law enforcement loves to send Americans on a wild goose
chase from state, to federal, to city, and other law
enforcement agencies when a crime has been committed, particularly
car theft---rarely do they want to take a report or catch a
criminal on behalf of an American victim. |
 |
Many
Mexican citizens refuse to report crimes like kidnapping,
murder, drug trafficking, car theft, and other crimes because
of the an entrenched cultural norm and understanding that
laws are optional and that the police are
most likely involved with the criminal affair--often
working hand in hand with organized crime in the area. |
 |
Few
Mexicans are willing to provide witness statements or court
witnessing for many crimes, as they feel their lives and
their family's lives may be put in danger by law enforcement
officials working in conjunction with organized crime. |
 | Police
are becoming more criminally embolden, often stripping a
person of their identification documents and money prior to
or upon arrest---those confronted never see their
possessions again---an illegal practice in Mexico but not
investigated or prosecuted. |
 | Mexico ranks as one of the highest
countries in the world statistical for the murder of its investigative
journalist. |
 | An estimated 2/3 of all police in
Mexico are considered corrupt and are often also on mafia payrolls (police
are paid about $150 a week in Mexico, hence they are easily driven toward
corruption in order to supplement their paychecks). |
Social
 |
Due
to the immense and generational-sustained poverty in Mexico,
the Mexican government has conducted research and concluded
that the average Mexican believes it's okay to take things
that do not belong to them. From 1999 to 2004, the Mexican
government has held public relations messages across the
country on television attempting to educate its people into
"unlearning" this societal norm. [One research
study turned into a public service message showed 10 out of
10 Mexicans (men and women) entering a restroom and stealing
a single new bar of soap left on the counter]. |
Legal
Realities
 | As an
American, if
you have to use a lawyer, you may be in for for a costly ride.
It is not uncommon for most lawyers to be generalist,
proclaiming to be specialist in the area of law that you
need help in. You will, likely as not, find yourself bouncing
from lawyer to lawyer with your checkbook ringing off
the hook as you seek the quality assistance you need to
solve your legal problem (but usually will never find). |
 |
Forget
bringing a lawsuit---it's common practice for lawyers to
make backroom deals with your adversary and then turn around
and use creative ways to dissuade you to drop the
case---often telling you your hopes are lost or simply
delaying until you lose interest. |
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Language
 |
All
legal documents are in Spanish only (the law does not
recognize any language but Spanish). |
 |
All
business documents and services are in Spanish only (no courtesy
English alternatives). |
 | All
education to children is strictly taught in Spanish (except
second language classes). |
 | Few
Mexicans beyond the border regions and tourist centers speak
a foreign language like English. |
 | Most
illegal aliens in the US only speak Spanish. |
Safety
and Security
 |
Most
homes in Mexico must have unsightly security bars over their
windows, as home break-ins are a major and common concern for
all residence. |
 | Petty
and violent crimes are on the rise in Mexico, particularly
against the middle-class who are perceived "to have
money." (Crimes include, car jacking, robbery, rape,
murder, battery, and more). |
 |
Car
theft and break-ins in areas or businesses where Americans
gather is typically very high. |
 |
Many
malls, although they have security toll booths and limited
access, are often the primary targets of organized crime
rings for car theft. |
 |
It is
common practice to be pulled over by a police officer and
rather than pay a traffic ticket, pay a "mordida"
or bribe if you are a foreigner. |
 |
It is
not uncommon for some business owners to make backroom deals
with local crime gangs that allow the gangs to routinely
steal or break into autos when at the business location. |
 | Guns
are used in most violent crimes against both Americans and
Mexicans even though guns are essentially illegal in Mexico
(criminals have no problem getting guns, including machine guns, in Mexico).
Law abiding citizens are typically unarmed and therefore considered
easy targets while those who have armed bodyguards are
rarely attacked in comparison. |
 | Most
murders in Mexico are by gun death even though guns are all
but illegal in Mexico. |
 | Mexico now ranks as one of the
world's leading countries for kidnapping, business extortion, and money
laundering. |
Hate
Crimes
 |
Along
many border areas, hate crimes against Americans are
increasing due, many claim, to immigration enforcement and
border security policies in the US (some even perpetrated
by Hispanic gang members from the US who travel south of the
border). |
Racism
 |
Mexico applies a unique caste
system: Native Indian descendants are considered the lowest class, next are
foreigners and those of foreign races (i.e. Asians, Blacks, Germans,
Canadians, Americans, etc.), the next class level is the Mestizo
(Indian-Spanish descendants) who make up the vast majority of the country's
population, and the top rung is held by the Euro-white class (typically
Spanish or French descendants) who make up most of the aristocracy of Mexico
(about 12% of the population). |
 |
Each class looks down harshly on the
next class in Mexico and discrimination is very normal. |
 |
Mexico has never underwent the pains
of learning from a Civil Rights movement, hence racism remains very high in
the Mexican culture (as it does with most Latin countries). |
Employment
 | Some
areas throughout Mexico are experiencing a labor shortage of
trained workers (i.e. construction, manufacturing), as most
have left to the US to work illegally. |
Murder
For Hire
 |
It is
well known throughout Mexico that nearly anyone can hire a
murderer or even a team of murderers for as little as one thousand dollars
per murder (many newspapers have reported that police chiefs
and other high ranking officials have been murdered for less than
$10k using 10 assassins). This fact alone makes working in
Mexico for foreigners a much more difficult and dangerous
endeavor. |
News
Reporter Murders
 | The
murdering of news reporters is so common in Mexico it has
become a mundane subject. Reporters are virtually unable to
trust anyone they come in contact with it the sectors of authority. |
Safe
Harbor For Criminals
 | Mexico
harbors many American criminals as well as Mexican ones. It
is not uncommon to hear that your neighbor, or someone you
have met, is wanted on the other side of the border by law
enforcement. |
 | Mexican
police often shake down American criminals in order to
increase their own personal income, and in exchange, allow
the criminal to remain
in Mexico undetected. |
Money
Laundering
 | Organized
crime plies its trade of money laundering by often
seeking legitimate business owners out, particularly
the large ones, to press them into service under the threat of
violence. |
 |
Those
who refuse are murdered or have their family members kidnapped
until they submit. |
 |
The
police cannot be called in as they are often involved in the
criminal activity, leaving the otherwise law abiding Mexican
business owner at the mercy of the criminals. |
As An
American Living in Mexico
 |
Your
house can be broken into at any time by your local
neighborhood locksmith. (Although there are laws against the
practice, in practicality, anyone can hire a locksmith to
come to somebody's house, change the locks, and thereby
enter the house at will and with impunity). |
 |
Prejudice,
although mild, is normal against Americans who are often
viewed as a necessary evil with wallets full of money. It is
not uncommon for Mexicans in the border areas to speak ill of an American (in Spanish) who might be
sitting next them in public. |
 |
As an
American, be prepared to be charged a lot more for goods and
services than Mexicans---a clear double standard is in full
operation in most places along the border and tourist areas of Mexico
where Americans are found. |
 |
As an
American, freedom of speech is not something guaranteed in
Mexico and many things that might be allowed in the US could
land you in jail or subject you to charges of slander. |
Information
Sharing Dangers To Americans
 |
US
law enforcement and other government agencies are increasing
the amount of information on US citizens that they give to
Mexican officials. As the Mexican
standards for preserving the security of information is all
but non-existent, the information, when possible, is commercialized
into criminal activity and is often sold or given to
criminal organizations. |
Banking,
Government & Kidnapping
 |
Kidnappers
often "grab" bank employees in Mexico and force
them to print customer lists showing the balance in personal
and business bank accounts so they can identify lucrative
kidnapping targets. |
 | The
same techniques are applied to government officials and
administrators in order to obtain sensitive information on
individuals, such as assets owned, number of children,
addresses, and more. |
Business
Operators
 |
The
average business owner in Mexico tries to operate as best
they can, in a legal and respectable manner comparable to
the US. |
 |
Many
businesses are operated by family and extended family
members. |
 |
Most
agreements with the customer are honored. |
 | Customer service is not on a par
with the US - the operator and its employees typically maintain a "take
it or leave it" attitude (and is often uneducated as to modern business
practices used by Americans in service related industries). |
Families
(The Good Guys)
 |
Most
parents try to instill a strong moral and religious behavior
in their children. |
 |
Family
units are typically strong and the divorce rate, although
low, is now beginning to rise in Mexico. |
 |
Sunday
is the traditional day of rest, relaxation, and celebration
for families. It is not uncommon for the male Mexican worker
to get inebriated on this day. |
 |
The
Christmas holiday season is considered the single most
important time of the year for the Mexican family, as it
represents a time of rest, relaxation, seeing extended
family members, worshipping, and celebration---so important
to most that they will not hesitate to leave even a great
job to participate in this 2-3 week annual tradition. |
Tourism
 |
Mexico
has one of the most diverse ranges of scenery on the planet,
from jungles in the south to deserts in the north and
thousands of miles of beaches dotted with resorts and
friendly service attendants. |
 |
Historical
sites throughout Mexico make it one of the richest cultural
countries in the world, including Toltec monuments, to
pyramids, to colonial buildings of government and more. |
 | Tourists used to be generally safe and treated well in many tourists areas,
as the local governments had generally kept a strong eye on tourist
focused crime or take aggressive steps to protect tourism
reputations but this increasingly not the case today. Today, an alarming
trend toward tourist kidnapping is occurring throughout Mexico, with particular focus on the border
areas (most of these crimes go unreported and are not shown in crime
statistics with either the FBI or the Mexican government). |
 |
Most
crimes against tourist are classified as minor when they do
occur and are not unlike those encountered in most
countries. However, a growing trend of hate crimes against
Americans has been registered by many newspapers and even
noted by the US Consulate who is now issuing travel warnings
for Americans visiting or living in Mexico. |
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