http://www.onlinenigeria.com/government/?blurb=138
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Political Parties:
Saturday, February 28, 2009
Nigeria (put all table information here)
Federal or Unitary: Federal Constitutional Republic
Subunits: Thirty-six states and one Federal Capital Territory. The thirty-six states and one federal territory, are further sub-divided into 774 local government areas. Only three of these many states are at independence. This reflects Nigeria's violent history and troubles creating a united identity in the government when the national entity is so varied.
Presidential, Parliamentary, or Mixed: Presidential
The president is both the Chief of State and the Head of Government.
The president is currently Umaru Musa Yar'Adua .
Head of State/ Head of Government: The president is elected by popular vote to a maximum of two four year terms. The last election was on April 21 2007 and the next is in April 2011. The president is responsible for managing the day to day operations of the state and is also commander and chief of the armed forces. The president is not a member of the legislature but can go before the legislature to make statements on basic public policy issues on the initiative of either body. The president's power is checked by the National Assembly.
Name of Legislative Branch: The National Assembly.
Interest Groups:
Professional Associations
These associations were the most established interest groups in the country and included the Nigerian Bar Association (NBA), the Nigerian Medical Association (NMA), the Nigerian Society of Engineers, the Nigerian Economic Society, and the Nigerian Political Science Association. Many of these associations were mainly concerned with matters relating to the professional interests of their members. In pursuing professional concerns, however, they articulated and demanded important political actions. Between 1983 and 1985, for example, the NMA called a strike of medical doctors to demand an improvement in health care delivery. Its leaders were detained and the union banned until 1986. The NBA has been at the forefront of the movement for the observance of the rule of law and human rights in Nigeria. Most other associations held annual conferences at which positions were taken on national issues. The most distinguishing characteristics of professional associations were their elitist and urban base, and the nonviolent pursuit of their interests.
Trade Unions
The central trade union in the country was the Nigerian Labour Congress (NLC), which was formed in 1975 as the umbrella trade union and recognized by Decree Number 44 of 1976 as the sole representative of all trade unions in the country. The NLC had a national executive and secretariat, as well as state councils in all states. It had more than 100 affiliated unions. Although most labor matters were channeled through the NLC, the affiliate unions had engaged individually in union activities, such as strikes and lockouts. In the 1980s, the NLC was torn apart by leadership struggles, ideological differences, and other regional conflicts. The NLC nearly broke up in 1988 after disagreements over elections of its leadership, resulting in the federal government's appointing an administrator for several months. The NLC organized a nationwide workers' strike in 1986 to demand the retention of government subsidies on petroleum products and continued to articulate workers' demands on matters such as minimum wages and improved welfare conditions. Several other trade unions were also active. A few, such as the Academic Staff Union of Universities, were proscribed for alleged antigovernment activities.
Women's Organizations
Nigeria had several women's organizations, most of them professional and social clubs. The umbrella organization, recognized as the voice of women on national issues, was the National Council of Women's Societies (NCWS). Many of the women's groups were affiliated with the NCWS, which tended to be elitist in organization, membership, and orientation. Another major women's association was Women in Nigeria, composed primarily of university women and inclined toward Western feminist views. Conservative Nigerian Muslim women in the late 1970s began to indicate discontent with the liberal trends of these two organizations and in the mid-1980s created the Federation of Muslim Women's Associations of Nigeria, which had about 400 member bodies throughout the country. In the 1980s, women from lower social strata in the towns, represented mainly by the market women's associations, became militant and organized mass protests and demonstrations in several states. Their major grievances ranged from narrow concerns such as allocation of market stalls to broader issues such as increased school fees.
Other Interest Groups
Other notable interest groups included social clubs and fraternities, old boys' and alumni associations, and various voluntary associations. On the whole, the activities of interest groups and the roles they played in national politics depended on how narrow or broad the group's interests were, the resources available to it, its ties with those in authority, its affiliation with other groups, and the ideological character of its membership. The major interest groups were elitist, but other groups were also active at times.
Economic System: The Nigerian Economy is not good. While there have been moments of growth the country has not been able to improve the conditions of most of its citizens lives. Nigeria has a typical economy for a third world country. Most Nigerians live in utter poverty and it's economy is largely based on the export of "primary" products and the import of some food, most manufactured goods and almost all investment capital. This leaves third world countries vulnerable because it is so reliant on items whose prices fluctuate on the market. Nigeria's largest export is oil. Many observers expect oil revenues to turn Nigeria into one of Africa's, and perhaps the worlds, leading economic powers. The economy went into a tailspin in the mid 1980s and has not been able to recover, even though it adopted the structural adjustment policies of the International Monetary Fund,World Bank. Most urban Nigerians choose to trade on the black market than use the currency of Nigeria. In the 1980's Nigeria received considerable aid from both governmental and private sectors, which it used to help build universities, factories and modernize cities. Nigeria opened The Aladja mill, but it ultimately failed. The Nigerian government played a major role in this and other projects. Skilled labor is in short supply. Replacement parts and repairs are too expensive and Nigeria's corruption extends into the economy as well as politics. Even agriculturally even though more roads, support services, irrigation and machinery are resent agricultural production has not increased that much. There is very little quality control in what is produced and marketed, and like everything else corrupt trading has ruined the market. In the oil fields, Foreign investors can now own a fifty percent share of existing enterprises and a controlling ownership, or in some cases, total ownership. Debt remains high, and interest on the loans continues to destroy the governments annual budget. Nigeria's small increasingly wealthy elite are doing well. Economic inequalities have increased, and structural adjustment plans provide few, if any, incentives for the beneficiaries of economic growth to deal with poverty and the many other social problems.
First World/ Third World: Third World
Nigeria has never come close to creating an effective government or a modern economy despite all the human and natural resources within its boarders. Five socioeconomic indicators that place NIgeria in this category are: illiteracy, ethnic strife, corruption, underdevelopment, and environmental decay.
Supranational Organizations: Nigeria was a founding member of the Organization for African Unity (now the African Union), and has tremendous influence in West Africa and Africa on the whole. Nigeria has additionally founded regional cooperative efforts in West Africa, functioning as standard-bearer for ECOWAS and ECOMOG, economic and military organizations respectively.With this African-centred stance, Nigeria readily sent troops to the Congo at the behest of the United Nations shortly after independence (and has maintained membership since that time); Nigeria also supported several Pan African and pro-self government causes in the 1970s, including garnering support for Angola's MPLA, SWAPO in Namibia, and aiding anti-colonial struggles in Mozambique, and Zimbabwe (then Rhodesia) military and economically.
Nigeria retains membership in the Non-Aligned Movement, and in late November 2006 organized an Africa-South America Summit in Abuja to promote what some attendees termed "South-South" linkages on a variety of fronts. Nigeria is also a member of the International Criminal Court, and the Commonwealth of Nations, from which it was temporarily expelled in 1995 under the Abacha regime.Nigeria has remained a key player in the international oil industry since the 1970s, and maintains membership in Organization of the Petroleum Exporting Countries OPEC which it joined in July, 1971. Its status as a major petroleum producer figures prominently in its sometimes vicissitudinous international relations with both developed countries, notably the United States and more recently China and developing countries, notably Ghana, Jamaica and Kenya.
Public Policy:
on them, they yield no good results in terms of satisfying customers. It is
estimated that annual returns on them have been well below 10 per cent.
- They are ravaged by corruption as a result of which governments are losing
billions of naira.
-To achieve improved government efficiency by lessening the burden on the
shoulders of the government through privatization.
- To achieve improved efficiency of the affected firms.
-To reduce the resources controlled by the government because it has been
observed that government in Nigeria consume too many resources while
their level of responsiveness to the people is low.
- To achieve increased government revenue because in the first place,
purchase of government firms and shares would make much money
available to the government. A drastic reduction of subsidy due to
deregulation would also enable the government to conserve its funds.
In spite of many reasons for privatization, some people still believe it will
not serve the interest of a greater number of Nigerians. Greater opposition
comes from workers’ unions. Some scholars are also against privatization purely
on ideological grounds.
According to those who oppose privatization,
- it will lead to workers losing their jobs.
- Nigerians will suffer as a result of increased service charges.
- Most of the public utilities are national heritage, collective
property whose transfer to private hands will not be in the nation’s
interest.
- Privatization of large monopolies like NEPA, Liquefied gas project
seaports etc may not lead to competition.
Subunits: Thirty-six states and one Federal Capital Territory. The thirty-six states and one federal territory, are further sub-divided into 774 local government areas. Only three of these many states are at independence. This reflects Nigeria's violent history and troubles creating a united identity in the government when the national entity is so varied.
Presidential, Parliamentary, or Mixed: Presidential
The president is both the Chief of State and the Head of Government.
The president is currently Umaru Musa Yar'Adua .
Head of State/ Head of Government: The president is elected by popular vote to a maximum of two four year terms. The last election was on April 21 2007 and the next is in April 2011. The president is responsible for managing the day to day operations of the state and is also commander and chief of the armed forces. The president is not a member of the legislature but can go before the legislature to make statements on basic public policy issues on the initiative of either body. The president's power is checked by the National Assembly.
Name of Legislative Branch: The National Assembly.
A bicameral legislator consisting of the Senate(upper house) and the House of Representatives(lower house). The Senate (109 seats, 3 from each state plus 1 from Abuja; members elected by popular vote to serve four-year terms) and House of Representatives (360 seats; members elected by popular vote to serve four-year terms). The current President of the Senate is David Mark and the current Speaker of the House is Dimeji Bankole. The Assembly has a broad range of functions and has the power to set up committees of members to analyze bills and the conduct of government officials. The Senate can impeach judges and other high officials of the executive branch, but this power has to have been priorly requested by the president. The senate also confirms the President's nomination of senior diplomats, members of the federal cabinet, federal judicial appointments and independent federal commissions. The House and Senate must agree before any bill is passed as law, which in turn must receive the President's approval. Should the President delay or veto the bill, the Assembly may pass the law by two-thirds of both chambers and overrule the veto and the President's consent will not be required.
Name of Judicial Branch: Supreme Court (judges recommended by the National Judicial Council and appointed by the President); Federal Court of Appeal (judges are appointed by the federal government from a pool of judges recommended by the National Judicial Council). The Supreme Court is the highest court of the land. One important new feature to the judiciary is an appellate court for Sharia law in Abuja and any other state that wishes to establish one. If a case involves issues that touch on Islam, either the plaintiff or defendant can refer it to these religious courts rather than the secular courts.
Bureaucracy/ Cabinet: Nigeria has a lot - a lot of bureaucracy. Has the typical federal, state and local levels. Many committees exist in Nigeria.
cabinet: Federal Executive Council
the President and his ministers form the Federal Executive Council, with the President as the Chairman. This body initiates the policies and programs of the Federal Government and ensures that they are properly implemented after they have been passed into law.
Political Recruitment: The difference between the elites and average citizens is very pronounced and politically important in Nigeria. There is a category of political and bureaucratic officials who have used their positions for personal gain and who, have been able to protect their wealth and power under civilian and military rule. Nigerian elite are willing to violate rules of the democracy, this was especially seen in the first two republics, and overstep their authority wen the military was in power. This corruption among the elite went beyond any particular religious, ethnic or regional group.
Other important institutions:
There are four distinct systems of law in Nigeria:
▪ English law which is derived from its colonial past with Britain;
▪ Common law, a development of its post colonial independence;
▪ Customary law which is derived from indigenous traditional norms and practice, including the dispute resolution meetings of pre-colonial Yorubaland secret societies;
▪ Sharia law, used only in the predominantly Muslim north of the country. It is an Islamic legal system which had been used long before the colonial administration in Nigeria but recently politicised and spearheaded in Zamfara in late 1999 and eleven other states followed suit.
Media: Nigeria has one of the most vibrant media scenes in Africa, with a reasonably free press throughout most of the country's history. The media is often referred to as the fourth estate or the "societal watchdog," and has the responsibility to "uphold the accountability of the Government to the people," as outlined in the 1999 constitution. There are hundreds of newspapers and magazines that reflect a wide range of opinions on nearly every issue, though the key to feedback in Nigeria is the country's radio and television outlets. Few Nigerians are literate enough to read a newspaper or wealthy enough to afford to buy one.
Key Political Leaders:
Citizens: There is little that Nigerians like about their political system. In 2002 an Afroscope survey found that sixty-eight percent of Nigerians believed that "democracy is preferable to any other kind of government." However this new support for democracy has not transcended into support for any of the country's regimes. Nigerians have grown more skeptical and cynical. Nigeria is one of the worlds most fragmented along with overlapping religious and ethnic lines. Nigerians do think of themselves as Nigerian;however, their ethnic identification matters more as a source of pride. Most Nigerians live in abject poverty and the gap between rich and poor has grown dramatically. In rural NIgeria almost everyone accepts the hierarchical relationships when it comes to politics. However in cities observers are highly politicized and people are willing to take a stand on almost any issue at any time. They are also full of highly dissatisfied people, alienated form the government that cannot provide jobs, healthcare or housing.Name of Judicial Branch: Supreme Court (judges recommended by the National Judicial Council and appointed by the President); Federal Court of Appeal (judges are appointed by the federal government from a pool of judges recommended by the National Judicial Council). The Supreme Court is the highest court of the land. One important new feature to the judiciary is an appellate court for Sharia law in Abuja and any other state that wishes to establish one. If a case involves issues that touch on Islam, either the plaintiff or defendant can refer it to these religious courts rather than the secular courts.
Bureaucracy/ Cabinet: Nigeria has a lot - a lot of bureaucracy. Has the typical federal, state and local levels. Many committees exist in Nigeria.
cabinet: Federal Executive Council
the President and his ministers form the Federal Executive Council, with the President as the Chairman. This body initiates the policies and programs of the Federal Government and ensures that they are properly implemented after they have been passed into law.
Political Recruitment: The difference between the elites and average citizens is very pronounced and politically important in Nigeria. There is a category of political and bureaucratic officials who have used their positions for personal gain and who, have been able to protect their wealth and power under civilian and military rule. Nigerian elite are willing to violate rules of the democracy, this was especially seen in the first two republics, and overstep their authority wen the military was in power. This corruption among the elite went beyond any particular religious, ethnic or regional group.
Other important institutions:
There are four distinct systems of law in Nigeria:
▪ English law which is derived from its colonial past with Britain;
▪ Common law, a development of its post colonial independence;
▪ Customary law which is derived from indigenous traditional norms and practice, including the dispute resolution meetings of pre-colonial Yorubaland secret societies;
▪ Sharia law, used only in the predominantly Muslim north of the country. It is an Islamic legal system which had been used long before the colonial administration in Nigeria but recently politicised and spearheaded in Zamfara in late 1999 and eleven other states followed suit.
Legitimacy: Legitimacy in Nigeria has varied greatly between charismatic and rational-legal throughout the country's rather tumultuous history. Its history can be divided between four established republics with constitutional justification for leadership and periods of military rule established without much regard for the legal system. Weakness of the Nigerian state has contributed greatly to this phenomenon, as the institutions (with the exception of the civil service) have rarely lasted more than a few years.
Features of Constitution: The current Nigerian constitution was written in 1999, shortly after that year's elections. Unique features of the constitution include the prohibition of official State religion (1.2.10), the mode of altering provisions of the constitution (2.9.1 - the National Assembly may do so with relative ease), and the inclusion of a section regarding national ethics (2.23 - discipline, integrity, dignity of labor, social justice, religious toleration, self-reliance, and patriotism).
Ethnic Cleavages: There are about 374 ethnic groups in Nigeria, though the three major ones make up roughly 65% of the population. These major groups include the mostly orthodox Muslim Hausa-Fulani of the north, the Yoruba of the west, and the Igbo of the southeast. The dominance of the population by these three ethnic groups was accentuated by the governmental structure of the 1950s, which gave each major group its own region. As a result, Nigeria has witnessed the development of three major political and ethnic cleavages: (i) between the Muslim north and the Christian south (this includes the gender cleavage - in the north, women are subject to the prejudices of Shari'a Law), (ii) between the three major ethnic groups, and (iii) between the three major ethnic groups and the minor ethnic groups. Ethnicity structures life within Nigeria - where people live, what they believe in, how they conduct their lives, how jobs are allocated, and whom they support politically. The issue has also made it hard for democracy to survive, and has led to the coups of 1966, 1983, and 1993, countless riots, and the civil war of 1967-70.
Role of Political Elites: The group of political elites in Nigeria has been what amounts to a bourgeois class whose wealth stems from the control of the state. These political and bureaucratic officials have often used their positions for personal gain, and have managed to protect their wealth and power under civilian and military rule alike. Above all, they are willing to violate rules of the democratic game in the name of greed.
Historical Evolution of Political Traditions:
- British Colonial Rule: Great Britain did not plan on establishing a colony in Nigeria until after the Berlin conference of 1885, during which European powers tried to mediate their differences by establishing official spheres of influence in the African continent. In 1914 the British created a single Nigerian colony, but ruled the north and the south separately and by different means (indirect in the north, direct in the south), which deepened already existing divisions within the area. Historically, the British are said to have "created" Nigeria as well as "undeveloped" it. Up to the point of colonial rule, Nigeria had been able to produce enough food to feed all its people, and had a functional system of manufacturing and trade. The British destroyed that, creating difficulties that the country is still trying to overcome. Colonial rule also created "tribes" where none had previously existed, thus providing the basis for vehicles that would eventually serve as the base of support for the parties that would steer Nigeria toward independence.
- Independence: The road to independence was a gradual and surprisingly peaceful one. Great Britain acknowledged earlier movements toward self-government (championed by the Nigerian National Democratic Party of 1923, the 1938 Nigerian Youth Movement Charter, and the 1944 National Council of Nigeria and the Cameroons) once the end of World War II made independence for all colonies inevitable. As a result, they staggered the development towards an independent Nigerian state in a way that laid solid foundations without incurring a revolution. In 1946, the British began the transition to Nigerian self-government by promulgating a constitution that created assemblies for each region, solidifying borders that would later create problems for the state. 1948 hailed the "Nigerianization" of the civil service, and the 1950s brought two more constitutions that established a federal structure. In 1959, the first federal election under universal suffrage was held, and Nigeria became an independent country within the British Commonwealth of Nations on October 1, 1960.
- Creation of the Fourth Republic: Military leader Sani Abacha took power in 1993, beginning Nigeria's most repressive and corrupt rule. The government was famous for its extensive purges, imprisonments, and executions, as well as its poor economic policies and other human rights violations. Five years into its reign, the military began to lose its grip on power. The final nail was driven into the coffin when Abacha died mysteriously in the summer of 1998 and his successor, General Abdulsalami Abubakar, made it clear that he was not planning to perpetuate military rule. He created a timetable for the recreation of political parties and set a date for a free election, which took place in 1999. Obasanjo was put into office as president, officially establishing Nigeria's Fourth Republic. The centerpiece of the new federal system is its American-stye presidency, which does not have to answer to the National Assembly.
- Nnamdi Azikiwe: Azikiwe got his start in Nigerian politics as an ardent supporter of Nigerian nationalism in the period before the country's independence, and was crucial to the movement as a result of his creation of the National Council of Nigeria and the Cameroons in 1944. He was the first president of Nigeria, holding the office from 1963 until 1966. His political philosophy is known as Zikism, and includes the following elements: spiritual balance, social regeneration, economic determinism, mental emancipation, and political resurgence.
- Olusegun Obasanjo: His first term in office was as a military leader from 1976 to 1979, during which he was known for his political repression and rapid industrialization. Years later, as a member of the Peoples Democratic Party, he won the presidential elections of 1999 and 2003 in Nigeria's Fourth Republic. He has spent the bulk of his presidency trying to reduce the power concentrated in the hands of any one individual as well as reduce the chances of the military ever returning to power, thus gaining tepid support from the West for Nigeria's new democracy. Obasanjo has also made a major attempt to reduce corruption in the government, earning the international community's first stamp of approval in 2005. Under him, the Nigerian economy has noticed an increase in its growth rate, improving along with the rising prices of oil under better government management.
- Umaru Yar'Adua: Yar'Adua is the current president of Nigeria and a member of the Peoples Democratic Party. His 2007 election caused international controversy with allegations of vote-rigging (he was the handpicked successor of Obasanjo). He pledged to continue the economic and social reforms made under Obasanjo's rule, though there is little concern that he is a puppet of the former president.
Political Parties:
- People's Democratic Party: This centrist political party has won the elections of 1999, 2003, and 2007 in Nigeria, earning it the title of the dominant party of the Fourth Republic. The PDP favors free-market policies which support economic liberalism and limited government regulation, and maintains a conservative stance on social issues on "moral and religious" grounds. Under the rule of the PDP, Nigeria has witnessed a decrease in government spending due to conservative fiscal policies as well as the deregulation and privatization of numerous industries in the service sector. However, the PDP does have a more leftist stance towards poverty and welfare, as is demonstrated by its creation of the National Health Insurance Scheme (NHIS), which ensures that every Nigerian has access to basic healthcare services.
- All Nigeria People's Party: This conservative political party is the household party of the extreme north, primarily due to its mass appeal. As the strongest opposition party in Nigeria, it controls seven of the thirty-six Nigerian states, and works to maintain the status quo of radical politics in the country.
- Action Congress: In 2006, several minor parties merged to form this classical liberal political party in order to put up a stronger front of opposition to the PDP. The basis of this party's platform is freedom, free markets, and limited government, with an emphasis on basic human rights. Its self-proclaimed core values are "honor and dignity of man and his God-given rights to life, property, freedom and happiness, equity and social justice, and private enterprise."
Interest Groups:
Professional Associations
These associations were the most established interest groups in the country and included the Nigerian Bar Association (NBA), the Nigerian Medical Association (NMA), the Nigerian Society of Engineers, the Nigerian Economic Society, and the Nigerian Political Science Association. Many of these associations were mainly concerned with matters relating to the professional interests of their members. In pursuing professional concerns, however, they articulated and demanded important political actions. Between 1983 and 1985, for example, the NMA called a strike of medical doctors to demand an improvement in health care delivery. Its leaders were detained and the union banned until 1986. The NBA has been at the forefront of the movement for the observance of the rule of law and human rights in Nigeria. Most other associations held annual conferences at which positions were taken on national issues. The most distinguishing characteristics of professional associations were their elitist and urban base, and the nonviolent pursuit of their interests.
Trade Unions
The central trade union in the country was the Nigerian Labour Congress (NLC), which was formed in 1975 as the umbrella trade union and recognized by Decree Number 44 of 1976 as the sole representative of all trade unions in the country. The NLC had a national executive and secretariat, as well as state councils in all states. It had more than 100 affiliated unions. Although most labor matters were channeled through the NLC, the affiliate unions had engaged individually in union activities, such as strikes and lockouts. In the 1980s, the NLC was torn apart by leadership struggles, ideological differences, and other regional conflicts. The NLC nearly broke up in 1988 after disagreements over elections of its leadership, resulting in the federal government's appointing an administrator for several months. The NLC organized a nationwide workers' strike in 1986 to demand the retention of government subsidies on petroleum products and continued to articulate workers' demands on matters such as minimum wages and improved welfare conditions. Several other trade unions were also active. A few, such as the Academic Staff Union of Universities, were proscribed for alleged antigovernment activities.
Women's Organizations
Nigeria had several women's organizations, most of them professional and social clubs. The umbrella organization, recognized as the voice of women on national issues, was the National Council of Women's Societies (NCWS). Many of the women's groups were affiliated with the NCWS, which tended to be elitist in organization, membership, and orientation. Another major women's association was Women in Nigeria, composed primarily of university women and inclined toward Western feminist views. Conservative Nigerian Muslim women in the late 1970s began to indicate discontent with the liberal trends of these two organizations and in the mid-1980s created the Federation of Muslim Women's Associations of Nigeria, which had about 400 member bodies throughout the country. In the 1980s, women from lower social strata in the towns, represented mainly by the market women's associations, became militant and organized mass protests and demonstrations in several states. Their major grievances ranged from narrow concerns such as allocation of market stalls to broader issues such as increased school fees.
Other Interest Groups
Other notable interest groups included social clubs and fraternities, old boys' and alumni associations, and various voluntary associations. On the whole, the activities of interest groups and the roles they played in national politics depended on how narrow or broad the group's interests were, the resources available to it, its ties with those in authority, its affiliation with other groups, and the ideological character of its membership. The major interest groups were elitist, but other groups were also active at times.
Economic System: The Nigerian Economy is not good. While there have been moments of growth the country has not been able to improve the conditions of most of its citizens lives. Nigeria has a typical economy for a third world country. Most Nigerians live in utter poverty and it's economy is largely based on the export of "primary" products and the import of some food, most manufactured goods and almost all investment capital. This leaves third world countries vulnerable because it is so reliant on items whose prices fluctuate on the market. Nigeria's largest export is oil. Many observers expect oil revenues to turn Nigeria into one of Africa's, and perhaps the worlds, leading economic powers. The economy went into a tailspin in the mid 1980s and has not been able to recover, even though it adopted the structural adjustment policies of the International Monetary Fund,World Bank. Most urban Nigerians choose to trade on the black market than use the currency of Nigeria. In the 1980's Nigeria received considerable aid from both governmental and private sectors, which it used to help build universities, factories and modernize cities. Nigeria opened The Aladja mill, but it ultimately failed. The Nigerian government played a major role in this and other projects. Skilled labor is in short supply. Replacement parts and repairs are too expensive and Nigeria's corruption extends into the economy as well as politics. Even agriculturally even though more roads, support services, irrigation and machinery are resent agricultural production has not increased that much. There is very little quality control in what is produced and marketed, and like everything else corrupt trading has ruined the market. In the oil fields, Foreign investors can now own a fifty percent share of existing enterprises and a controlling ownership, or in some cases, total ownership. Debt remains high, and interest on the loans continues to destroy the governments annual budget. Nigeria's small increasingly wealthy elite are doing well. Economic inequalities have increased, and structural adjustment plans provide few, if any, incentives for the beneficiaries of economic growth to deal with poverty and the many other social problems.
First World/ Third World: Third World
Nigeria has never come close to creating an effective government or a modern economy despite all the human and natural resources within its boarders. Five socioeconomic indicators that place NIgeria in this category are: illiteracy, ethnic strife, corruption, underdevelopment, and environmental decay.
Supranational Organizations: Nigeria was a founding member of the Organization for African Unity (now the African Union), and has tremendous influence in West Africa and Africa on the whole. Nigeria has additionally founded regional cooperative efforts in West Africa, functioning as standard-bearer for ECOWAS and ECOMOG, economic and military organizations respectively.With this African-centred stance, Nigeria readily sent troops to the Congo at the behest of the United Nations shortly after independence (and has maintained membership since that time); Nigeria also supported several Pan African and pro-self government causes in the 1970s, including garnering support for Angola's MPLA, SWAPO in Namibia, and aiding anti-colonial struggles in Mozambique, and Zimbabwe (then Rhodesia) military and economically.
Nigeria retains membership in the Non-Aligned Movement, and in late November 2006 organized an Africa-South America Summit in Abuja to promote what some attendees termed "South-South" linkages on a variety of fronts. Nigeria is also a member of the International Criminal Court, and the Commonwealth of Nations, from which it was temporarily expelled in 1995 under the Abacha regime.Nigeria has remained a key player in the international oil industry since the 1970s, and maintains membership in Organization of the Petroleum Exporting Countries OPEC which it joined in July, 1971. Its status as a major petroleum producer figures prominently in its sometimes vicissitudinous international relations with both developed countries, notably the United States and more recently China and developing countries, notably Ghana, Jamaica and Kenya.
Public Policy:
- Move toward better governing and a fight against corruption: Since the audit of the oil and gas industry by the Nigerian Extractive Industries Transparency Initiative for the period 1999-2004 was completed corrective steps have been taken, including the appointment of auditors to audit the oil and gas sector for 2005 and 2006. Following the successful and sustained fight against corruption, advanced fee fraud, and cyber crimes by the Independent Corrupt Practices Commission and the Economic and Financial Crimes Commission, Nigeria has been removed from the list of non-compliant countries. The authorities want the legislation passed to help reforms that are supposed to create a better environment for the people, economic growth, poverty reduction and development. The need to speed up action in passing the bills into laws being held up because they want the bills to be discussed and agreed not only by the National Assembly and civil servants in the federal and state governments, but also to have local governments and rural population make inputs as the laws will be enforced nation-wide.
- Improving spending: The authorities are intensifying structural reforms in many areas, including introduction of medium-term sector planning, procurement and accounting processes to improve the quality of spending. The Medium-term Sector Strategies (MTS), through which the 2007 budget requests of 18 major federal government agencies, accounting for 75 percent of all outlays, were harmonized, form the basis for integrating the goals of the National Economic Program and the MDGs. The strategy is aimed at enhancing cost-benefit analysis of spending and greater coordination with state governments. A procurement manual has been prepared to reinforce due-process procedures. Implementation of projects is actively monitored before payments are released. Reforms in accounting are also continuing, and the Automated Transaction and Reporting System is being rolled out to additional agencies to strengthen their operations, while funding will be withheld from agencies that do not produce monthly reports. On the monetary side, the Central Bank is exploring ways of developing improved strategy for managing international reserves as new regulations allow domestic banks to partner with international banks to manage a portion of official reserves.
- Privatization:For government to establish and invest in state-owned companies is no longer considered sound economic policy worldwide. According to President Obasanjo, there are over 1000 state-owned enterprises in Nigeria. There are some reasons for the Nigerian government to consider selling or leasing these public enterprises. Some of these reasons are:
on them, they yield no good results in terms of satisfying customers. It is
estimated that annual returns on them have been well below 10 per cent.
- They are ravaged by corruption as a result of which governments are losing
billions of naira.
-To achieve improved government efficiency by lessening the burden on the
shoulders of the government through privatization.
- To achieve improved efficiency of the affected firms.
-To reduce the resources controlled by the government because it has been
observed that government in Nigeria consume too many resources while
their level of responsiveness to the people is low.
- To achieve increased government revenue because in the first place,
purchase of government firms and shares would make much money
available to the government. A drastic reduction of subsidy due to
deregulation would also enable the government to conserve its funds.
In spite of many reasons for privatization, some people still believe it will
not serve the interest of a greater number of Nigerians. Greater opposition
comes from workers’ unions. Some scholars are also against privatization purely
on ideological grounds.
According to those who oppose privatization,
- it will lead to workers losing their jobs.
- Nigerians will suffer as a result of increased service charges.
- Most of the public utilities are national heritage, collective
property whose transfer to private hands will not be in the nation’s
interest.
- Privatization of large monopolies like NEPA, Liquefied gas project
seaports etc may not lead to competition.
Mexico: Government Websites & News Links
Comprehensive Country Studies:
News Websites:
Political Parties:
Mexico (put all table information here)
Media: Mexican newspapers, magazines, and television stations are ostensibly independent of government control; however, there is a certain degree of reluctance to broach controversial issues regarding the PRI government and its policies. The mass market press has failed to report on electoral fraud and other flagrant violations of the law and of democratic principles because the government wields a great deal of influence over it. The government itself declares freedom of the press nearly absolute because more often than not, the press censors itself and prints bland stories or stories fueled by information from government officials. More independent outlets reach the relatively well educated and affluent, but most of the Mexican public accesses government influenced news.
Federal/Unitary: Federal Presidential RepublicSubunits: The United Mexican States are a federation of thirty-one free and sovereign states which form a Union that exercises jurisdiction over the Federal District and other territories. Each state has its own constitution and congress, as well as a judiciary, and its citizens elect by direct voting, a governor (gobernador) for a six-year term, as well as representatives (diputados locales) to their respective state congresses, for three-year terms.
Presidential, Parliamentary, or Mixed: Presidential
The current President is Felipe Calderon.
Head of State/ Head of Government: The President, who is the head of state and government, as well as the commander-in-chief of the Mexican military forces. The President also appoints, with Senate approval, the Cabinet and other officers. The President is responsible for executing and enforcing the law, and has the authority of vetoing bills. The President of Mexico, the governors of Mexico and the members of the Chambers of Senators and Deputies are elected by popular vote of the citizens of Mexico. The judges are appointed by the Executive branch. Presidential elections have been held every six years since 1934. The president is elected by direct, popular, universal suffrage. A simple plurality of all the votes cast in the country decides who becomes president.
Name of Legislative Branch: The legislative branch of government is the law making branch, which is charged with the review and determination of when and where laws are necessary. This branch receives assistance from the Executive branch by its proposal of laws and at times by its rejection of laws passed by the legislative branch.
The legislative body is composed of a chamber of deputies (similar to that of the house of representatives in the US) and a chamber of senators (similar to that of the senate in the US). The proposals of law must pass both chambers before being brought to the President for his ratification.
Name of Judicial Branch: The Supreme Court of Justice, comprised by eleven judges appointed by the President with Senate approval, who interpret laws and judge cases of federal competency. Other institutions of the judiciary are the Electoral Tribunal, collegiate, unitary and district tribunals, and the Council of the Federal Judiciary.
Bureaucracy/Cabinet: It consists of eighteen Secretaries of State, the head of the federal executive legal office and the Attornet General. In addition to the legal Executive Cabinet (Gabinete Legal) there are other Cabinet-level administration offices that report directly to the President of the Republic(Gabinete Ampliado). Officials from the legal and extended Cabinet (Gabinete Legal y Ampliado) are subordinate to the President. The Executive Cabinet members are appointed by the President. Cabinet Secretaries are often selected from past and current governors, senators, and other political office holders. Private citizens such as businessmen or former military officials are also common Cabinet choices.
Political Recruitment: All elected executive officials are elected by plurality(first-past-the-post). Seats to the legislature are elected by plurality and proportional representation at the federal and state level. The Chamber of Deputies of the Congress of the Union is conformed by 300 deputies elected by plurality and 200 deputies by proportional representation with closed party lists for which the country is divided into 5 electoral constituencies or circumscriptions. The Senate is conformed by a total of 128 senators: 64 senators, two per state and the Federal District elected by plurality in pairs; 32 senators assigned to the first minority or first-runner up (one per state and the Federal District), and 32 elected by proportional representation with closed party lists for which the country conforms a single electoral constituency.
Legitimacy: The Mexican government, though often referred to as "semidemocratic," has historically been put into power by fair, open, and competitive elections. The constitution is not a sham document as it was in the Soviet Union, but works as an active and strict source of rational-legal legitimacy.
Features of Constitution: The Political Constitution of the United Mexican States of 1917 is Mexico's current constitution. Unique features of the constitution include: Article 4, which holds all people equal but places the "development of the family" under the responsibility of the woman; Article 22, which prohibits cruel and unusual punishment, including the death penalty; and Article 83, which outlines the President's six-year term but stipulates that "a citizen who has held the office of President of the Republic...can in no case and for no reason again hold that office."
Historical Evolution of Political Traditions:
Key Political Leaders:
Ethnic Cleavages: The Mexican population is remarkably diverse as a result of the Spanish conquistador influence throughout the sixteenth century. Marriages or sexual relations between Spanish men and Indian women resulted in the mestizo group of Mexicans, the largest group today. There is also a black influence in the country stemming from slaves brought to Mexico; the state of Veracruz along the Gulf Coast is often seen as more Caribbean than Mexican. Despite the mixture of ethnicities in the country, Mexico is notably less sensitive to or less prejudiced about race than is the United States; however, Indians are still viewed as the most marginalized group of Mexican society, often perceived as being "lazy," among other things. Women, though treated slightly differently than men in the "macho" Latino tradition, are viewed as equal partners under the law and in the development of family life.
Political Parties:
Federal/Unitary: Federal Presidential RepublicSubunits: The United Mexican States are a federation of thirty-one free and sovereign states which form a Union that exercises jurisdiction over the Federal District and other territories. Each state has its own constitution and congress, as well as a judiciary, and its citizens elect by direct voting, a governor (gobernador) for a six-year term, as well as representatives (diputados locales) to their respective state congresses, for three-year terms.
Presidential, Parliamentary, or Mixed: Presidential
The current President is Felipe Calderon.
Head of State/ Head of Government: The President, who is the head of state and government, as well as the commander-in-chief of the Mexican military forces. The President also appoints, with Senate approval, the Cabinet and other officers. The President is responsible for executing and enforcing the law, and has the authority of vetoing bills. The President of Mexico, the governors of Mexico and the members of the Chambers of Senators and Deputies are elected by popular vote of the citizens of Mexico. The judges are appointed by the Executive branch. Presidential elections have been held every six years since 1934. The president is elected by direct, popular, universal suffrage. A simple plurality of all the votes cast in the country decides who becomes president.
Name of Legislative Branch: The legislative branch of government is the law making branch, which is charged with the review and determination of when and where laws are necessary. This branch receives assistance from the Executive branch by its proposal of laws and at times by its rejection of laws passed by the legislative branch.
The legislative body is composed of a chamber of deputies (similar to that of the house of representatives in the US) and a chamber of senators (similar to that of the senate in the US). The proposals of law must pass both chambers before being brought to the President for his ratification.
Name of Judicial Branch: The Supreme Court of Justice, comprised by eleven judges appointed by the President with Senate approval, who interpret laws and judge cases of federal competency. Other institutions of the judiciary are the Electoral Tribunal, collegiate, unitary and district tribunals, and the Council of the Federal Judiciary.
Bureaucracy/Cabinet: It consists of eighteen Secretaries of State, the head of the federal executive legal office and the Attornet General. In addition to the legal Executive Cabinet (Gabinete Legal) there are other Cabinet-level administration offices that report directly to the President of the Republic(Gabinete Ampliado). Officials from the legal and extended Cabinet (Gabinete Legal y Ampliado) are subordinate to the President. The Executive Cabinet members are appointed by the President. Cabinet Secretaries are often selected from past and current governors, senators, and other political office holders. Private citizens such as businessmen or former military officials are also common Cabinet choices.
Political Recruitment: All elected executive officials are elected by plurality(first-past-the-post). Seats to the legislature are elected by plurality and proportional representation at the federal and state level. The Chamber of Deputies of the Congress of the Union is conformed by 300 deputies elected by plurality and 200 deputies by proportional representation with closed party lists for which the country is divided into 5 electoral constituencies or circumscriptions. The Senate is conformed by a total of 128 senators: 64 senators, two per state and the Federal District elected by plurality in pairs; 32 senators assigned to the first minority or first-runner up (one per state and the Federal District), and 32 elected by proportional representation with closed party lists for which the country conforms a single electoral constituency.
Legitimacy: The Mexican government, though often referred to as "semidemocratic," has historically been put into power by fair, open, and competitive elections. The constitution is not a sham document as it was in the Soviet Union, but works as an active and strict source of rational-legal legitimacy.
Features of Constitution: The Political Constitution of the United Mexican States of 1917 is Mexico's current constitution. Unique features of the constitution include: Article 4, which holds all people equal but places the "development of the family" under the responsibility of the woman; Article 22, which prohibits cruel and unusual punishment, including the death penalty; and Article 83, which outlines the President's six-year term but stipulates that "a citizen who has held the office of President of the Republic...can in no case and for no reason again hold that office."
Historical Evolution of Political Traditions:
- Constitution of 1917: After a long and tedious revolution against the dictatorship of Huerta, chief of the northern coalition Carranza invited all revolutionary leaders to a military conference at Aguascalientes to determine the future of Mexico. Unable to agree, four of the leaders established dissident governments, sending the country into another period of civil war and anarchy. Carranza eventually won the war, and his government was officially recognized by the United States. To consolidate his power and institutionalize the Revolution, he called for a meeting at Queretaro, where constitutionalists drew up a new supreme law for Mexico. The Congress of Queretaro met for the first time on December 1, 1916, when the constitutional draft was presented. It was similar in many ways to the Constitution of 1857, but gave extensive powers to the executive and gave additional rights to the Mexican people. The Constitution of 1917 was an expression of popular will that guaranteed civil liberties, no presidential succession, and protection from foreign and domestic exploitation.
- The Presidency of Lazaro Cardenas: The populist Indian leader and minister of war was elected in 1934, and would use his term to produce concrete results in Mexico's economic sector. He nationalized the oil industry, placing the refineries under the control of a single firm, PEMEX, which helped make rapid industrialization and economic growth possible. The nationalizations did cost the government considerable support from the United States and Great Britain, among other nations. As a result of the numerous problems throughout his term, Cardenas selected a moderate Catholic minister of war, Manuel Avila Camacho, to succeed him in place of another reformer. Cardenas's withdrawal from office and from politics altogether after the conclusion of his term set the precedent for all subsequent Mexican presidents. His retirement was viewed as the end of the revolutionary period in Mexican history.
- Mexico Joins NAFTA: After a period of extensive economic deficit and difficulty in Mexico, the U.S. felt that a free-trade accord would be the next logical step in opening up the economy and continuing the debt reduction and liberalization. On June 11, 1990, the two governments agreed to negotiate a "comprehensive free-trade agreement" that would eliminate tariff barriers, among others, to the free flow of goods, services, and capital between the two nations and Canada. The agreement fit perfectly into then-president Salinas's vision of a modernizing Mexico, and what would eventually become NAFTA was approved by the legislature to take effect on January 1, 1994. Some argue that NAFTA has been good for Mexico, as the country has witnessed a decline in poverty rates and a real increase in income across the board, but others are wary because of the negative effect the cheap food imports from the U.S. has on Mexican farmers.
Key Political Leaders:
- Ernesto Zedillo: An economist first, he served as the President of Mexico from 1994 to 2000, the last of the uninterrupted seventy-year line of Mexican presidents from the PRI. Almost as soon as he took office, Zedillo was greeted by a significant financial crisis, known as the December Mistake, that required foreign loans (including a $50 billion one from the U.S. to rescue the banking system); he also faced numerous scandals and, soon enough, the plummeting popularity of both his party and his government. Though his term is most remembered for the crises that accompanied it, Zedillo did make one lasting reform. He created Progresa, a poverty-fighting program based on subsidizing the poorest families provided their children go to school.
- Vincente Fox: Fox, a member of the opposition National Action Party, served as the President of Mexico from 2000 to 2006. He was one of the few Mexican presidents to avoid a major financial crisis during his term, though the economy did grow at its slowest rate in history (this was blamed partially on the slowdown of the U.S. economy). One of Fox's most interesting moments occurred when he acknowledged and promised to respect the separation of powers between the executive and legislative branches in Mexico, though this relationship soon became and continued to remain strained. Another notable aspect of Fox's term was the shift from the Estrada Doctrine to the "Castenada Doctrine," which called for an openness and acceptance of criticism from the international community, and the increase of national involvement in foreign affairs.
- Felipe Calderon: Calderon, another member of the National Action Party, is the current President of Mexico (his term will end in 2012). As a practicing Roman Catholic, Calderon is against abortion, euthanasia, and gay marriage. He is proposing more liberal economic policies, including balanced fiscal policies, flat taxes, and free trade. Calderon is known for his stance on political struggle, noting that the challenge is not between the right and left but between "the past and the future." His "future" would represent privatization, liberalization, market control of the economy, and political freedom. The current president holds onto strong approval ratings and received an almost 95% "confidence" level from the Mexican public.
Ethnic Cleavages: The Mexican population is remarkably diverse as a result of the Spanish conquistador influence throughout the sixteenth century. Marriages or sexual relations between Spanish men and Indian women resulted in the mestizo group of Mexicans, the largest group today. There is also a black influence in the country stemming from slaves brought to Mexico; the state of Veracruz along the Gulf Coast is often seen as more Caribbean than Mexican. Despite the mixture of ethnicities in the country, Mexico is notably less sensitive to or less prejudiced about race than is the United States; however, Indians are still viewed as the most marginalized group of Mexican society, often perceived as being "lazy," among other things. Women, though treated slightly differently than men in the "macho" Latino tradition, are viewed as equal partners under the law and in the development of family life.
Political Parties:
- Institutional Revolutionary Party (PRI): Though officially part of Socialist International, the PRI has policies that often reflect those of a center-right party. It is sometimes described as a "state party" because of its non-competitive history and its inextricable connection to the Mexican state for most of the 20th century. Its history has aided in the development of the PRI's reputation as an inherently corrupt party, something that spawned the opposition Party of the Democratic Revolution. As a result, the party relied less and less on its actual platform than it does methods of ruling. It emphasized personal relationships between members of the lower class and party and government officials, distributed political patronage to members of organized labor, and used electoral fraud, bribery, and repression whenever necessary to maintain control over any form of opposition.
- National Action Party (PAN): PAN is a conservative, Christian Democratic party, though it stresses the adoption of such policies as correspond to the problems faced by the nation at a given moment instead of a fundamental adherence to left or right politics. It currently advocates free enterprise, privatization, smaller government, and liberal reforms as well as opposition to abortion and other Christian hot-button issues.
- Party of the Democratic Revolution (PRD): The PRD is the second major socialist party in Mexico. It promotes center-left democratic socialism, social democracy, and social liberalism. The party is currently committed to greater state control of the economy and the renegotiation of several potions of NAFTA with the United States and Canada.
Role of Political Elites: In recent years, political theorists have begun to refer to the three major political parties in Mexico as the country's "elites." When the election of 2000 witnessed the inauguration of a member of an opposition party, citizens rejoiced in their newfound self-determination and eagerly awaited the changes to come. What they didn't realize at the time was that there were only modest differences between the three major political parties, resulting in what cynics call the "stagnant revolution" - all things change to remain the same and power is again controlled by the few.
Citizens: The poor are adapting their political behavior to the massive transformations of the state's role in society in the wake of economic and political reforms begun in the 1990s. At the present moment, Mexican citizens are waiting for something to be put in state to secure their protection. With the number of drug wars and cartels, the number of those being kidnapped, extorted, or killed is increasing. Current President Calderon is not doing much to react to the present situation, according to a recent TIME article.
Economic System: The economy of Mexico 10th to 12th largest in the world. Since the 194 crisis, administrations have improved the country's macroeconomic fundamentals. Mexico was not significantly influenced by the recent 2002 South American crisis, and has maintained positive, although low, rates of growth after a brief period of stagnation in 2001. In spite of its unprecedented macroeconomic stability, which has reduced inflation and interest rates to record lows and has increased per capita income, enormous gaps remain between the urban and the rural population, the northern and southern states, and the rich and the poor. Some of the government's challenges include the upgrade of infrastructure, the modernization of the tax system and labor laws, and the reduction of income inequality. The economy contains a mixture of modern and outmoded industry and agriculture, both of which are increasingly dominated by the private sector. Recent administrations have expanded competition in ports, railroads, telecommunications, electricity generation, natural gas distribution and airports, with the aim of upgrading infrastructure. As an export-oriented economy, more than 90% of Mexican trade is underfree trade agreements (FTAs) with more than 40 countries, including the European Union, Japan, Israel, and much of Central and South America. Recently, the Congress of the Union approved important tax, pension and judicial reforms, and reform to the oil industry is currently being debated.
Interest Group Systems:
- The trades unions
Trades unions have traditionally been closely linked to the PRI. They've also historically been docile. But a number of important unions are demonstrating greater independence from the government. This is significant, as it may threaten the pactos (pacts) agreed each year between unions, business and government that are used to control wages and prices. If organized labor continues to believe it will always be asked to shoulder the burden of economic adjustment, indiscipline within the union movement could rise. - The business community
Politics and big business are close in Mexico. Former president Carlos Salinas mended a strained relationship with his privatization program between 1988-94. Many private interests bought such firms in `sweetheart deals' from the government--and in return, underwrote the PRI's costs. Indeed, several top businessmen were embarrassed in 1987 when it emerged that, at an exclusive dinner, they had pledged US$ 25m each to the PRI. Relations between the business community and the former ruling party are have already loosened; for this year's election, some business leaders appeared to be sitting on the fence. - The church
While many Mexicans may not be up to date on their catechism, some 85% are Catholic. There is a small but growing evangelist presence. Yet religion for a long time was excluded from public life, to the extent that the separation between church and state appeared more like a divorce and religious groups have not played a significant role in politics. Until 1992, the constitution banned religious parties and disenfranchised the clergy. In 1992 the constitution was amended to recognise the Roman Catholic Church officially. The church is now playing a bigger --though sometimes controversial-- part in Mexican life. Some churchmen have openly criticized the government's free-market policies and corruption. One bishop in Chiapas has been accused of fomenting the Zapatista rebellion. - Guerrilla groups
Mexico still hosts clusters of guerrilla groups, of which three are serious players. The Zapatista Army of National Liberation (EZLN, Ejército Zapatista de Liberación Nacional) was formed in Chiapas in 1994, styling itself as the protector of indigenous rights. Led by the pipe-smoking Subcommander Marcos, the EZLN briefly fought the military to demand improved rights for the 10 million or so Indians. The other main insurgent groups are the Insurgent People's Revolutionary Army (ERPI, Ejercito Revolucionario del Pueblo Insurgente) and the Popular Revolutionary Army (EPR, Ejercito Popular Revolucionario). The EPR, which operates mainly in Oaxaca and Guerrero, was formed in 1996. The ERPI is an offshoot of it. The occasional uprisings are essentially localized conflicts, and lack the capacity to destabilize politics on a national basis. However, they can and do have a negative affect Mexico's international image. Therefore, Fox has given the negotiation of a peace settlement with the rebellious movement a priority. In 2001, Fox sent a constitutional initiative to Congress, which sought to increase the autonomy of indigenous groups. However, the Zapatistas have refused to accept the toned down version that was finally approved by Congress. An uneasy truce still holds, with some guerrillas holed up in jungle hideouts. The problem could flare up again, despite heavy government spending on infrastructure and social programs in rural, backward Chiapas. Moreover, the victory of Pablo Salazar, the PAN candidate, in August's 2000 gubernatorial elections in Chiapas has further reduced the risks of violent protests.
First World/ Third World: Third World
By third-world standards Mexico has relatively little "outside-the-system" protest and little of the racial, linguistic, and ethnic strife that is now so common in the third world. But it is not as poor as most third world countries. Some Mexican analysts point out that their country is one of the world's fifteen leading industrial powers. Mexico's economic difficulties are compounded by its massive debts.
Public Policy: There have been four overlapping sets of policies that the Salinas and Zedillo administrations continued and added to:
- Sharp cuts in government spending: By early 199 Mexico and the IMF had reached basic agreement on a severe austerity plan. Government spending would be sharply reduced to cut the deficit by half within three years. Subsidies would be cut and the prices charged by such government agencies as CONASUPO, which provided basic foodstuffs at below-market prices, would be increased.
- Privatization: To give market forces a major role in the Mexican economy, the government decided to give up much of its economic poower by privitizing public enterprises, especially those that were a drain on public finances. According to one measure of wealth, Mexico had twenty four billionaires in 2000, more than half of whom earned their wealth in the newly privitized banking system.
- Opening up the economy: The U.S. and the other creditors also insisted that Mexico open up its economy to more foreign investment. This began as early as 1980s, but reached its peak with the 1994 implementation of NAFTA, which will remove all barriers to trade by 2010. The government also agreed to join GATT and its successor, the WTO, the body that shapes international trade policy and requires free-market policies.
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