Facts about the Mexican middle class

1. The ranks of the middle class — defined as $7,200 to $50,000 a year — have risen to about ten million families.

2. That is almost 40 percent of all Mexican households.

3. The country is in the middle of a housing boom.  560,000 new homes were built last year — a record — and 750,000 are expected for 2006.

4. Annual inflation is down to about three percent and over the last two years interest rates on 20-year mortgages have fallen from 18 to 8 percent.

5. Sales of home appliances have tripled in the last ten years.

Those facts are from Business Week, 13 March edition.  Each time I visit Mexico, the more I am convinced that country has turned the corner.  Here is an earlier post on undervalued nations.  See here also.

Comments

Re-reading the undervalued nations thread, it's pretty clear now that Iraq wasn't undervalued.

- Josh

Comments for this post are closed

To what extent could we attribute this to free trade?

Comments for this post are closed

[If in dollars, why define middle class that way? There is huge spread, going from 7k to 50k a year (esp. in a country like Mexico!)]

Middle class status in other countries is not defined relative to the US.

Comments for this post are closed

Perhaps an increasing middle class will push
for a reform that decreases political and
government corruption. Then Mexico and America
can be true economic partners in which both
citizens prosper mutually. Or am I dreaming?

Comments for this post are closed

$7,200 to $50,000, eh? That is quite a spread. Anyone care to wager
which end of that most of these 10 million families are clustered? And
remember Mexicans have bigger families than Americans. I suspect the mean
family from Tyler's survey earns $14,000 for a family of six. That's not
"middle class" in any sense Americans would recognize. You can call it
middle class if you want, but it's still $2,333 per person per year.

Come on, Tyler. You're usually reliably realistic!

Comments for this post are closed

Poor roads, poor infrastucture, no socials services. It is a shame that a nation with so many hard working people and so much in natural resources should suffer this way due to an inept kleptocracy.

Comments for this post are closed

Comments for this post are closed