Introduction

The Mexico-United States economic relationship is a mixture of conflict and cooperation. As trade and economic interaction between the two countries grew, so too did the conflicts; but there is also cooperation across a broad spectrum of economic activities. There is ample evidence of the cooperation. Conflict is inevitable when two countries are so interdependent. This conflict is sharpened because the interdependence is asymmetrical; Mexico depends more on the United States than the reverse. Basic US industries that are declining in output or employment, like steel, automobiles, trucks and parts, and textile products, are precisely those which are growing in Mexico. The Mexicans have been inclined toward centralized planning. While each administration has formulated its own industrial plan—and its own overall economic and financial plan—there is a certain continuity in method and substance. Industrial policy in Mexico has meant selecting industries for special treatment.