MexicoMexicoDoes everyone else understand world political finances? I do not pretend to but here is what I have noticed. Since Bush started the war, the United States dollar has collapsed on the world market. I mean when Megan and I went to Europe, the US dollar was worth 1.10 Euros Now it is worth 0.8 Euros: we lost 1/3 of the dollar. A couple of years ago, the US dollar was worth 1.5 Canadian dollars. Now it is worth 1.2 Canadian dollars: we lost almost 1/3 of the dollar. We were at point point worth 12 Mexican Pesos. Now we are at slightly worse that 11 Pesos to the dollar. A loss of a dime on the dollar. We can go through the rest but the pattern is clear: the world's economies are relatively more stable and more prosperous than ours. More prosperous? You learn about that in first semester economics: you cannot produce both guns and butter and producing guns does not improve prosperity.. We are producing guns. The rest of the world is not -- not on the same scale.
Why is Mexico depreciating slower than the US? Because Mexico's economy is in the pits. Mexico is still devaluing at the same rate. It is just that the US has started devaluing faster. The cost of war is inflation and the loss of prosperity. Yeah. Right. WW II took us out of the depression by putting everybody in the army or in the factory. But the prosperity returned when the war ended. We need to end this war so we can get back to addressing our failing economy.
Mexican Presidente Fox really did it this time. He again complained that the treatment of Mexicans illegally in the US is inhumane and not to the advantage of the USA. He included the statement that these aliens take jobs that not even the blacks would take. This is, of course, true -- but politically incorrect. President Fox has apologized to the major leaders taking offense. But the problem is not the jobs in the USA. It is the lack of jobs in Mexico. If Mr. Fox would work to improve the Mexican Economy rather than maintaining the 'rich-get-richer' status quo in his own country, Mexicans would not be endangering their lives to get out of his country. It is not the rich or even the middle class who are fleeing Mexico. It is people who want to work and want to improve their lives that are fleeing to the USA.