This article discusses how the Mexican economy is affected by the decline of tourism due to the extreme violence of the nation. Violence has haunted Mexico for years, and this has affected one of the most important sectors of the Mexican economy, tourism. Tourism is Mexico’s third top source of income, after oil and remittances. Indeed, tourism is a “top income-earner” and employer” in Mexico, and therefore government officials and trade executives are looking for ways to reduce negative effects to this industry. Last week, six Spanish women vacationing in Acapulco were raped. This situation has increased fear among foreign visitors, but most importantly it shows that the Mexican government is having a hard time controlling crime.
Despite its problems, including a flu epidemic in 2009, the global economic crisis, and the violence, Mexico has been able to maintain a prosperous tourism industry. The government that left office last December assures they increased the number of tourists by more than 20%. The problem is that revenue does not show this increase. Revenue has not “rebound” to 2008, when it reached almost $13.4 billion. The number of tourists from the United States has decreased. Also, cruise lines eliminated Mazatlan as a port of call about two years ago. This is because Mazatlan is in the state of Sinaloa where Mexico’s largest drug cartel operates.
This article relates to class in two ways. First, Mexico as well as the majority of Latin American nations are still trying to build a stable economy. As we learned in class, independence left these nations with many economic and financial problems. Across the years, many Latin America nations have not been able to create strong economies. But there are some successful nations such as Brazil. Once again their economic problems are due to the political and social instability of these societies.
This article also relates to our class from a political perspective. Latin American nations still have a great political instability just as they did after independence. This political instability prevents the governments to control social problems such as violence and drug trafficking.