Why Did the Mexican Economy Lose Its Ability to Grow? From Structural Expansion to Persistent Stagnation

El Financiero

Lean Right

Factuality

Ownership

During much of the 20th century, the Mexican economy showed a remarkable capacity for growth. Between 1950 and 1981, the country achieved rates higher than 6% annually, driven by industrialization, the expansion of the domestic market and strong public investment. Today, in contrast, Mexico faces a different reality: it grows little, unstablely and without a clear long-term engine.The loss of this capacity is not the result of an isolated shock,…

Expansion

Factuality

Ownership

The Mexican economy has historically grown at the rate of the expansion of the United States . However, a divergence has recently been observed. Data show that in two of the last four quarters , Mexico’s GDP recorded contractions at an annual rate , although the US economy progressed at rates above 3% , a level that Mexico has not reached since the third quarter of 2023 . In the last reading , Mexico’s GDP contracted 0.8% at a quarterly rate and…