ABSTRACT

In the sphere of geopolitics, Mexico was identified since the turn of the 21st century as one of nine 'pivotal states' in the developing world with which US foreign policy had to keep special engagement because of their regional weight. In a nutshell, Mexico's political economy will continue to be dominated by what the author identifies as a landscape characterized by mismatched monopolies. Productive use of significant foreign inflows could act as a catalyser that enables sustained, high domestic as well as export-oriented growth in Mexico. The 1940–1970 period, known as the 'Mexican miracle' delivered average annual gross domestic product growth of 6%–7% and low inflation rates of 2%–4%. Central political authority and the exercise of power by the executive continued to weaken during the Partido Accion Nacional years in government, in spite of the attempt by President Felipe Calderon to reverse it.