The Mexican economy in its neoliberal labyrinth

This article evaluates the performance of the Mexican economy during six governmental periods (of six years each) in which a neoliberal economic strategy was applied (1983-2018); as well as its effects on the functional distribution of income, employment and social welfare. It analyses the policy instruments of this economic strategy and contrasts them with the instruments of the State-led economic development strategy applied in Mexico during the 1935-1982 period. It also compares the results of both strategies. Mexico's real GDP grew at an annual rate of 6.1% in the 1935-1982 period, while in 1983-2018 the annual rate of growth was only 2.3%; real GDP per capita grew 3.2 and 0.7% annually, respectively. The author also presents a comparative analysis of the neoliberal strategy applied in Mexico vis a vis the heterodox development strategy applied in China during the 1982-2018 period, contrasting its results: in 1982, Mexico's economy was bigger than that of China; today, China's economy is 10 times bigger than the Mexican economy. Finally, the author presents a succinct analysis of the origins of neoliberalism in Mexico, its rise to power in the 1980s, and the international and national contexts of this process.