Tuesday, March 8, 2011

Mexico's Hot Money Challenge

by Manuel Perez-Rocha from Foreign Policy in Focus

The article illustrates how international "free trade" agreements restrict the options that individual governments have to provide stability for their economies. An economy is merely the systems whole societies use to supply the material needs of its citizens. Free trade policies have been imposed on many nations by the Empire to serve the interests of its ruling capitalist classes while reigning havoc on the lives of working people.
For a country like Mexico, which is suffering from the escalating violence of President Felipe Calderon’s drug war, the volatility of financial flows could have a devastating impact on long-term stability.