Mexico Drug Problem
Mexico has several problems with its economy, and there can be several ways to solve it. One major issue Mexico is having with its economy is the drug activity that is being presented. Things that started the Mexican drug war, including wealth disparity, lack of education, and shoddy public safety.The truth is that many gangs offer social services and advancements to Mexican communities that the government cannot provide. More than usual, they offer three things to young Mexican boys is wealth, protection, and brotherhood. One answer can be to just legalize drugs and add it to taxes to increase the GDP but thats vastly to dangerous. Legalizing drugs is not enough to end violence. It had become the main source of income of revenue for gangs and may even be as profitable as drug trafficking. In many years gangs
…show more content…
Mexicos profits are the country’s number one revenue, accounting for nearing 40 percent of Mexico’s total revenue. Because of the decline in the prices of oil that started last year with the sudden raise of the national recession, Mexico’s oil-dependent economy had been damaged greatly. before the dip in oil prices, when other countries were taking advantage of the peak in prices, Mexico was hit very hard. Reported that last year’s drop in oil cost Mexico an estimated $20 billion in lost revenue. Being forced, Mexico is to import such a large percentage of products due to them lacking the technological skill to refine them itself. Causing another problem for Mexico’s already crushing economic status. Even though Pemex (Mexicos number 1 oil company), earning a close $98 billion to Mexico’s economy back in 2008, they still reported a loss of $8.7 billion in 2015 after it paid national treasury of $57 billion in taxes and royalties. The government is so dependent on Pemex that it forces the company to pay taxes, pushing it further into debt so that the government can barely discharge its economic
Mexicos profits are the country’s number one revenue, accounting for nearing 40 percent of Mexico’s total revenue. Because of the decline in the prices of oil that started last year with the sudden raise of the national recession, Mexico’s oil-dependent economy had been damaged greatly. before the dip in oil prices, when other countries were taking advantage of the peak in prices, Mexico was hit very hard. Reported that last year’s drop in oil cost Mexico an estimated $20 billion in lost revenue. Being forced, Mexico is to import such a large percentage of products due to them lacking the technological skill to refine them itself. Causing another problem for Mexico’s already crushing economic status. Even though Pemex (Mexicos number 1 oil company), earning a close $98 billion to Mexico’s economy back in 2008, they still reported a loss of $8.7 billion in 2015 after it paid national treasury of $57 billion in taxes and royalties. The government is so dependent on Pemex that it forces the company to pay taxes, pushing it further into debt so that the government can barely discharge its economic