The document provides demographic and economic information about Mexico: - Mexico has a population of around 108 million people, with one-third under 15 years old and 7% over 60. Life expectancy is 70-76 years. - The workforce is distributed between agriculture (4%), industry (26%), and services (70%). Exports are mainly to the US while imports come from the US, Canada, Germany and Japan. - Geographically, Mexico borders the US to the north and Guatemala/Belize to the south. It covers an area around twice the size of Texas with natural resources including petroleum, metals, and natural gas.

1. MEXICO Jim Fondriest Jeff Sferro Josie Berson Bertha Soto-Rodriguez

2. History and Geography

3. General Background Approx Population 108 million 33% under age of 15 7% over 60 Life expectancy Men 70.4 Women 76.4 There are about 96 men for every 100 women Adult literacy rate = 90.5% Approx 89%-94% of children attend school Average of about 7.5-8 years of school

4. Miscellaneous Economic Variables Workforce breakdown Agriculture: 4% Industry: 26% (mining/manufacturing) Services: 70% (banks, retail, educ, hosp) Trade breakdown Exports: 77% to U.S 5% to Canada Imports: 63.3% from U.S. 3.3% from Germany 2.5% from Japan

5. Per capita GDP: $6,000-$7,000 Average minimum wage: about 46 pesos/day Broken down into 3 different zones across country Zone A: 48.67 pesos/day Zone B: 47.16 pesos/day Zone C: 45.81 pesos/day Large disparity in pay by region State of Nuevo Leon enjoys the highest wage at about 35 pesos/hour Municipality of San Pedro (suburb of Monterrey) has the highest per capita income in Mexico Miscellaneous Economic Variables

6. Geography Borders North by the U.S Southeast by Guatemala and Belize Land Area: 1,972,544 sq. km. US about 9.8 million sq km About 3X the size of Texas Natural Resources petroleum, silver, copper, gold, lead, zinc, natural gas, timber Natural Disaster Concerns Hurricanes along the Pacific, Gulf of Mexico, and Caribbean Earthquakes and volcanoes extending through central and southern Mexico

7. Geography Mountain ranges Sierra Madre Occidental: West Sierra Madre Oriental: East

8. Geography Chihuahuan desert One of the most ecologically diverse places in the world

9. Chihuahuan Desert

12. History 2000 election of historical importance First time in 70 years the PRI loses power ( Partido Revolucionario Institucional ) Vincente Fox of PAN takes over ( Partido Acción Nacional) In 2006 Felipe Calderon, also of PAN takes over for Fox Candidates in MX can serve twice as President, but cannot run for consecutive terms

13. Pre-Classical Period 3500 BC-300 AD First settlers arrive about 50,000 year ago via Bering Straight Fist human corpse found 12,000 years ago, El Hombre de Tepexpan Agriculture begins about 7,000 years ago, ending nomadic lifestyle Civilizations advanced southward about 27 km every generation Cultures included Olmeca, Mixteco-Zapoteca, Maya, Teohtihuacan, Tulteca, Azteca

14. The Classical Period 300-900 AD Teotihuacan culture First great civilization in Mexico Advanced 100,000+ metropolis just north of where Mexico City would emerge. Reading and writing, numbering system, 260 day calendar Society based on agriculture, very influential throughout mesoamerica Mayan Culture throughout the Yucatan Mixteco-Zapoteca in Oaxaca

15. The Post Classical Period 900-1521 Tenochtitlan founded in 1325 by Cortes Rise of Aztec civilization and thriving culture Population estimates of over 200,000 Modern city design 4 quadrants, grid structure within each

16. Timeline Tenochtitlan conquered in 1521 by Cortes Including religious conquest, forcing their way of life upon the natives Mexico under Spanish rule for almost 300 years In 1810 the Mexican War for Independence begins Spearheaded by Miguel Hidalgo Iturbide and his armies become victorious August 24, 1821 the Treaty of Cordoba signed acknowledging Mexico’s independence Mexican Revolution in 1910 Civil war of political, social, and military turmoil Estimated that 1/15 th of the population died during the war Pancho Villa emerged as one of the leaders of the revolution against Porfirio Diaz

17. Present Day Mexico 2000 election of historical importance First time in 70 years the PRI loses power ( Partido Revolucionario Institucional ) Vincente Fox of PAN takes over ( Partido Acción Nacional) In 2006 Felipe Calderon, also of PAN takes over for Fox Candidates in MX can serve twice as President, but cannot run for consecutive terms NAFTA, effective in 1994, opened up Mexico to trade among the United States and Canada. NAFTA’s effect felt the most by the Zapatistas in the south Some of the poorest people in the world who suffer from the deal Cannot compete with mass-produced US agricultural products Symbolizes struggle of indigenous and oppressed people of Mexico

18. Slide of Interest

19. Mexican Demographics

20. Population 108,700,891 (July 2007 est.) Age Structure (July 2007 est.) 0-14 years: 30.1% (male 16,696,089/female 16,011,563) 15-64 years: 64% (male 33,624,812/female 35,925,372) 65years and over: 5.9% (male 2,917,563/female 3,525,492) Median age 25.6 years

21. Population Continued Population Growth Rate : 1.153% (2007 est.) Birth Rate : 20.36 births/1,000 population Death Rate: 4.76 deaths/1,000 population Infant Mortality rate: 19.63 deaths/1,000 live births Life Expectancy: 75.63 years Fertility Rate: 2.39 children born/woman

22. Ethnic Groups 60% Mestizo (American-Spanish) 30% Amerindian or predominantly Amerindian 9% White 1% other

23. Religions 76.5% Roman Catholic 6.3% Protestant 1.4% Pentecostal 1.1% Jehovah’s Witnesses 0.3% other 13.8% unspecified 3.1% none

24. Languages Official Language is Spanish About 50 different languages spoken by indigenous people Nahuatl, Zopotec, Otomi, Mayan etc.

25. Literacy 91% of people 15 and over can read and write 92.4% are male 89.6% are female

26. Government Country name: Estados Unidos Mexicanos Government Type: Federal Republic Capital: Mexico (Distrito Federal) Flag Description: three equal vertical bands of green, white, and red; the coat of arms (an eagle perched on a cactus with a snake in its beak) is centered in the white band

27. Mexican States 31 states and 1 Federal District Aguascalientes, Baja California, Baja California Sur, Campeche, Chiapas, Chihuahua, Coahuila de Zaragoza, Colima, Distrito Federal*, Durango, Guanajuato, Guerrero, Hidalgo, Jalisco, Mexico, Michoacan de Ocampo, Morelos, Nayarit, Nuevo Leon, Oaxaca, Puebla, Queretaro de Arteaga, Quintana Roo, San Luis Potosi, Sinaloa, Sonora, Tabasco, Tamaulipas, Tlaxcala, Veracruz-Llave, Yucatan, Zacatecas

28. Independence Independence was declared Sept. 16 th 1810 Independence was recognized by Spain Sept. 27 th 1821 Independence Day celebrated on Sept. 16 th (1810)

29. Executive Branch Chief of State, Head of Government and President: Felipe de Jesus Calderon Hinojosa Cabinet: appointed by the President Elections: presidential elections by popular vote, for a single six year term Election results for 2006: Felipe Calderon 35.89%, Andres Manuel Lopez Obrador 35.31%, Roberto Madrazo 22.26%, other 6.54%

30. Political Parties National Action Party (PAN) Institutional Revolutionary Party (PRI) Party of the Democratic Revolution (PRD) Convergence for Democracy (CD) Labor Party (PT) Mexico Green Ecological Party (PVEM) New Alliance Party (PNA)

31. Economy Free Market Economy Recently entered the trillion dollar class Contains a mixture of modern and outmoded industry and agriculture, dominated by private sector Per capita income is one-fourth that of the US NAFTA has tripled trade with US and Canada since 1994 Has 12 free trade agreements with over 40 countries

32. Challenges Need to upgrade infrastructure Modernize the tax system Modernize labor laws Allow private investment in energy sector Calderon’s Priorities: Reduce poverty Creating jobs

33. Labor Force Labor force: 38.09 million Labor force by-occupation: 18% agriculture, 24% industry, 58% services Unemployment rate: 3.2% Underemployment: 25% Population below poverty line: 40%

34. Unemployment Rate

35. Communication Main Line Telephones: 19.861 million Cellular Telephones: 57.016 million Internet users: 22 million

36. Transportation Airports: 1,839 Roadways: 116,751 km paved 118,919 km unpaved Waterways: 2,900

37. Military Branches Secretariat of National Defense Army Mexican Air Force Secretariat of the Navy Mexican Navy

38. Mexican Culture

39. The culture of Mexico reflects the complexity of their history through the blending of pre-Hispanic civilizations and the culture of Spain, imparted during Spain's 300-year colonization of Mexico. Influences from the United States have shaped Mexican culture, and to a lesser extent, influences from Europe, Africa, and Asia.

40. Community Citizens take pride in their lifestyle and economic independence. In Mexican culture the expectation of working and socializing together is a key component of society, and has a basis in the strong ties formed within the family.

41. Religion With the Spanish conquest and colonization of Mexico, Catholicism was established as the dominant religion of Mexico. Weekly church attendance is forty-six percent of the Mexican population.

42. Our Lady of Guadalupe Our Lady of Guadalupe is a 16th century Roman Catholic Mexican icon depicting an apparition of the Virgin Mary. Some historians speculate the icon was meant to syncretically represent both the Virgin Mary and the indigenous Mexican goddess Tonantzin.

43. Religion In many Mexican communities, curanderos (traditional healers) use indigenous folk medicine, spiritual, and Christian faith healing to treat ailments and "cleanse" spiritual impurities.

44. Day of the Dead The origins of Day of the Dead celebrations in Mexico can be traced back to the indigenous peoples such as the Aztec, Maya, P'urhépecha, Nahua, and Totonac. Some Mexicans feel that death is a special occasion, but with elements of celebration

45. Day of the Dead

46. Mexican cuisine is known for its intense and varied flavors, colorful decoration, and variety of spices. Mexican food varies by region, because of local climate and geography and ethnic differences Cuisine

47. Sports Soccer ( fútbol in Spanish) is by far the most popular sport in Mexico. The country hosted the Summer Olympic Games in 1968 and the FIFA World Cup in 1970 and 1986.

48. Tequila In Mexico, contrary to popular belief, Tequila is drunk straight without salt and lemon. S angrita —a sweet, sour and spicy drink typically made from orange juice, grenadine (or tomato juice) and hot chilies. 2006 Tequila Trade Agreement

49. Music Most popular way of expression. The most widely known “product” of the Mexican music history is The Mariachi . Among the Mexican music played by Mariachis there are famous tunes like “La Bamba”, “Cielito Lindo”, “La Cucaracha” and the extensively known Mexican hat dance.

50. Music Carlos Santana (born July 20, 1947), is a Grammy Award-winning Mexican-born American Latin rock musician and guitarist.

51. Thalía is a successful Latin Grammy-awarded Mexican singer and actress. She is amongst Mexico's most famous telenovela actresses and has sold more than 12 million albums worldwide.

52. Television Televisa is the largest media company in the Spanish-speaking world La Academia ( The Academy ) is a Mexican reality television show shown on TV Azteca. 14-21 people are selected to live together in a house isolated from the rest of the world, spending their days taking classes in singing, dancing, acting. http://samuel-castelan.net/pagina/

53. International Relations

54. European Union and Mexico In Brussels on December 8 th , 1997, the European Union and Mexico signed an agreement made up of three pillars: an Economic Partnership, Political Cooperation and Cooperation Agreement which laid the basis for the negotiation of a free trade agreement between Mexico and the European Union. It is known as the "Global Agreement“ and governs relations between these two entities. This Agreement is based on democratic principles and on the respect for human rights With respect to trade, the Agreement sets out the objective of establishing a free trade area in goods and services, the mutual opening of the procurement markets, the liberalization of capital movements and payments, as well as the adoption of disciplines in the fields of competition and intellectual property rights.

55. Organization for Economic Cooperation and Development Mexico is the only Latin American country member of the Organization for Economic Cooperation and Development (OECD). It was originally signed by 20 countries in 1960. Mexico joined on the18th of May, 1994 Mexico city serves as an OCED center, along with Berlin,Tokyo and Washington, and Paris. Salon de l'Horloge, Quai d'Orsay, Paris; December 14,1960 The OECD is made up of some of the wealthiest countries in the world The 2007 budget was 340 million Euros

56. Global Partners OECD member countries Countries invited to open talks on potential membership Countries to which OECD is offering enhanced engagement

57. Organization for Economic Cooperation and Development The mission of OECD is to: support economic growth boost employment raise living standards maintain financial stability assist other countries’ economic development and contribute to growth in world trade

58. Economic Survey of Mexico Every 1 ½ to 2 years an economic survey is published for each OECD country. The 2007 survey for Mexico was released October 4 th . The survey found the following: Mexico’s per capita has increased and broad macroeconomic stability has been achieved. Although its fiscal GDP position is good, Mexico has to reduce the heavy reliance of the budget on oil revenue The new government is planning a large scale public finance reforms. Currently Mexico relies heavily on world oil prices, which are not stable. There is also a large demand on the budget for things such as basic infrastructure, education, health and poverty alleviation. A tax reform is needed to increase revenues. Mexico has made significant progress in reducing barriers to trade and foreign direct investment (FDI), and this has boosted GDP per capita growth. Barriers to FDI remain high, particularly in some services and infrastructure sectors, such as telecommunications and domestic land transport. Transport infrastructure efficiency has a direct effect on domestic and international trade flows and overall growth by lowering delivery times and transport costs, while efficiency in telecommunications and energy influences the cost competitiveness of Mexican firms.

59. On June 1, 2006, Angel Gurría of Mexico took the reins as secretary general of the Organization for Economic Cooperation and Development (OECD). OECD has Mexican President

60. Facts The EU is Mexico’s second trading partner after the USA. According to EUROSTAT, bilateral trade between the EU and Mexico in 2005 totaled € 25.8 billion. This represents a 20% growth in comparison to 2004 with an even higher increase for Mexican exports. The Free Trade Agreement (FTA) covers a broad spectrum of economic aspects. It includes: a full liberalization of industrial products by 2003, for the EC, and by 2007 - with a maximum 5% tariff applied by 2003 - for Mexico; substantial liberalization for agricultural and fisheries products; and, as regards rules of origin, a satisfactory balance between EU policy of harmonization and market access considerations. The FTA will also provide EU operators with access to the Mexican procurement and services markets substantially equivalent to NAFTA. In the 6 years following the entry into force of the FTA, bilateral trade between the EU and Mexico grew by nearly 90 %. This in accordance with both parties' imports data. EU foreign direct investment flows have increased by 120%. The EU is now the second major investor in Mexico behind United States.

61. Free Trade Agreement Mexico and the European Union The EU-Mexico FTA also covers agriculture, services, public procurement, investment, competition and intellectual property rules, and dispute settlement. On both services and procurement, the terms agreed upon by the EU and Mexico will grant the EU treatment similar to NAFTA partners. On July 1, 2000, the EU-Mexico FTA eliminated duties on an additional 22% of Mexican industrial goods, bringing duty-free coverage to 82% of all industrial products. EU tariffs on the remaining 18% of Mexico’s industrial products was eliminated by January 1, 2003. While EU tariffs are generally low, there are areas of tariff peaks where the EU-Mexico FTA could affect U.S. sales to Europe by making Mexican products more competitive.

62. US Mexico Relations NAFTA Initialing Ceremony, October 1992

63. NAFTA North American Free Trade Agreement Since the North American Free Trade Agreement (NAFTA) entered into force in 1994: US – Mexico trade grew at an annual average rate of 16% US – Mexico trade tripled pre-NAFTA levels. On average, the US and Mexico trade more than US$ 720 million every day.

65. Mexico & Foreign Investment Mexico benefits from extensive free trade agreements with both the United Sates and the European Union. Mexico provides security and legal protection for foreign investors through Bilateral Investment Treaties (BIT’s) negotiated with 20 countries . Mexico is the second largest foreign direct investment (FDI) recipient among developing countries. Foreign direct investment in Mexico between 1995 and 2002 surpassed 119 billion dollars. Combined, Mexico offers foreign investors a low risk and high return. *Guaranteed market access *Legal certainty and clear rules of operation *Macroeconomic stability *Political stability and democratic governance *Growing internal demand *Access to competitively priced and international quality inputs *Improvement of services and reduction of costs LOW RISK HIGH RETURN

66. Mexico & Exporting Mexico is the seventh largest exporter in the world (Total exports in billion dollars, 2002)

67. Common Mexican Exports

68. Protests to NAFTA and FTAA

69. Possible NAFTA Super Highway

70. Border Issues Fox says U.S. will need Mexican labor by 2010 Mexican President Vicente Fox predicted that border tensions with the U.S. will ease because the retirements of baby boomers will create a demand for workers