Why Is Mexico So Poor?

Why Is Mexico So Poor?

Mexico is a country rich in natural resources and captivating sights, which makes it a travel destination. When you think of tropical palms, white sand beaches and spectacular sunsets, the beaches and islands of Mexico instantly comes to mind. However, even with the influx of tourists to this country, its economy is still not in good shape.

People speculate that the reason for the country being poor is that there is a huge divide between the rich and the poor. There is so much corruption and red tape going on in the government that it discourages investors to bring in the money and invest in this country. The way the country is run by the elite few with no programs whatsoever for more two thirds of the population living below the poverty line is a big turn off for those with lots of money to spend and is willing to invest in the country. Also, the problems on drug trade and trafficking paints a bad image for the country driving away the possible investors.

You will think that the country will be able to support itself very well because of the wealth of natural resources that it has. However, the sad thing is that this does not happen. It all goes back to the government that runs the country. Since the people that comprise the government belong to the rich elite upper class, they do not see the reason why they must to something to alleviate poverty. So most of their programs benefit their own kind and not the whole population.

Labor is also very cheap in this country. So when the people have low spending power, this also affects the economy by bringing it down. The lack of education also further degrades the ability and skills of the people. If these areas can be fixed, then the divide between the rich and poor will be lessened.