UPDATE OF MEXICO HANDBOOK

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-00891A001000020001-0
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 40
• Document Creation Date: December 9, 2016
• Document Release Date: April 23, 2001
• Sequence Number: 1
• Publication Date: November 1, 1971
• Content Type: REPORT

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No. 0570
November 1971
Update of Mexico Handbook
Please replace the September 1970 edition of the Mexico Handbook
with the attached. Please retain the cover, map and dividers.
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Page
Location . . . . . . . . . . . . . . . . . . . . . . . . . 1
Area . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Climate . . . . . . . . . . . . . . . . . . . . . . . . . 1
Topography . . . . . . . . . . . . . . . . . . . . . . . 1
Natural resources . . . . . . . . . . . . . . . . . . . . . 2
Human resources . . . . . . . . . . . . . . . . . . . . . 2
Growth rate and trends . . . . . . . . . . . . . . . . . . 1
Income distribution . . . . . . . . . . . . . . . . . . . . 1
Main sectors-trends in industry and agriculture . . . . . . . . 2
Transportation and communications system . . . . . . . . . . 3
Government economic policy and financial system . . . . . . . 4
Foreign trade . . . . . . . . . . . . . . . . . . . . . . . 4
Balance of payments . . . . . . . . . . . . . . . . . . . . 5
III. POLITICAL SITUATION AND TRENDS
Historical summary . . . . . . . . . . . . . . . . . . . 1
Structure and functioning of the governmental system . . . . . 2
Political dynamics . . . . . . . . . . . . . . . . . . . . . 3
Electoral system . . . . . . . . . . . . . . . . . . . . . 5
Security system . . . . . . . . . . . . . . . . . . . . . . 5
Communist party and front groups . . . . . . . . . . . . . . 1
Extremist groups . . . . . . . . . . . . . . . . . . . . . 2
Foreign subversive activity . . . . . . . . . . . . . . . . . 2
Mexico i Nov 71
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Political . . . . . . . . . . . . . . . . . . . . . . . . . 1
Business . . . . . . . . . . . . . . . . . . . . . . . . . 3
Communications media . . . . . . . . . . . . . . . . . . 3
Education and art . . . . . . . . . . . . . . . . . . . . . 3
Religion . . . . . . . . . . . . . . . . . . . . . . . . . 4
VI. A13MED FORCES
VII. FOREIGN RELATIONS
VIII. US INTERESTS
IX. CHRONOLOGY AND TABULAR DATA
MAP
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Mexico is one of the most politically complex countries in the hemi-
sphere and one of the few with the established policies and institutions that
only stability, a positive tradition, and continuity of purpose can provide. Its
rapid economic growth and financial stability are unmatched in Latin
America.
Mexico's political and economic progress, in the midst of the political
turmoil and fiscal irresponsibility elsewhere in Latin America, is generally
credited to its unique political institution of "continuing revolution"-the
Institutional Revolutionary Party (PRI). Embodying the myths, legends and
ideals of the 1910 Revolution, the PRI over the past 40 years has brought
Mexico from backwardness to its current status as a rapidly developing
nation. Recently, however, the PRI has been strained by an increasingly
sophisticated electorate chafing under one-party rule.
The PRI is largely a victim of its own success. The party embodies all
shades of opinion, and through its constituent organizations provides the
mechanics for all Mexican voices to be heard. A triad of theoretically
coequal "sectors"-labor, peasant, and popular-has representation at all
administrative levels down to the smallest community, thus providing a
two-way communications channel between the government and the citizen.
In practice, however, the structure has provided a control system for a highly
centralized political machine. Even with near-absolute power centered in the
Mexico City bureaucracy and, finally, in the person of the president, the
authoritarian government has been benevolent and committed to the general
welfare.
In the name of the Revolution, the government has pursued programs
of agrarian reform, incorporation of the Indian into the national life,
government control over basic industry and natural resources, the develop-
ment of industrial and agricultural self-sufficiency, social welfare, and health
and education. It is the government's progress in these areas that in large part
accounts for a new breed of Mexican. He is a young, fairly well-educated,
inquisitive citizen who readily identifies the failures of the system=
The unity of the PRI, which is one of the keys to Mexican stability, has
been more and more difficult to maintain as liberal members have tried to
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reform it from within and as small opposition groups make steady, though
minor, challenges to the one-party system. Where the system has bent and
compromised to absorb opposition elements, it has softened and become
vulnerable. Where force has been used to overcome dissidence, the dissenters
are embittered and hardened. The over-all result of the PRI's equivocal
responses is a growing unwillingness by many to accept what they view as a
facade of political democracy, and grass-roots resistance to imposed rule has
occurred with increasing frequency in every part of Mexico.
President Luis Echeverria, who took office in December 1970, seeks to
broaden the economic and social benefits of Mexico's development. To bring
pressure on vested interests to accept policies and programs he believes
necessary, Echeverria is encouraging an expansion of the political arena, freer
expression of demands and dissent, and more openness on the part of public
officials. Inevitably the more traditional political and business communities
view this course with concern. While more rapid economic and social change
would support Mexico's long-term stability and growth, for the near term it
seems likely that Mexico is entering a period of political tension.
The President is engaged in a delicate political juggling act, wanting to
open up the system enough to generate support and pressure for his pro-
grams without relaxing controls to the point where a split in the PRI would
endanger stability. The several political dramas that have been played out
during Echeverria's first year as president reinforce other evidence that
Mexico may be moving into a difficult political period.
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Mexico extends from the United States southeastward to Guatemala
and British Honduras. It is bounded on the west and south by the Pacific
Ocean and on the east by the Gulf of Mexico. It is the most northern and
western Latin American country.
Mexico, which is about one fourth the size of the US, excluding Alaska
and Hawaii, covers about 764,000 square miles. This includes about 1,800
square miles of mostly uninhabited islands. The country is roughly triangular
in shape, with a maximum length about 2,000 miles oriented northwest-
southeast. The width ranges from a maximum of about 1,300 miles to a
minimum of 140 miles.
Wide ranges in latitude and altitude and exposure to maritime in-
fluences result in a very diverse climate. Although variations in topography
cause local divergences, generally speaking the lowland plains along the Gulf
of Mexico experience warm to hot temperatures, high humidity, con-
siderable cloudiness, and moderate to heavy rainfall throughout the year.
The highlands, where annual amounts of rainfall are light to moderate, have
a more temperate climate, characterized by cool, clear, dry winters (Decem-
ber through February), warm to hot, cloudy, humid, and showery summers
(June through August). The area west and southwest of the highlands-Baja
California and the lowland plains along the Pacific coast and Gulf of
California-has latitudinally variable climatic regions, with the north
characterized by cool, dry, clear winters and hot, less arid, relatively cloudy
summers, and the south by annually high temperatures and humidities and a
prolonged wet period yielding large annual rainfalls. Both coasts are exposed
to the dangers of hurricanes and tropical storms from June through
November.
Topography
Mexico consists of a main land mass of complex highlands and lowland
plains and a narrow, predominantly barren, rugged peninsula, Baja Cali-
fornia. The highland portion occupies much of the width of the country and
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extends from the United States to Guatemala. It contains several prominent
mountain ranges and an extensive, dry interior basin and range region. The
lowland plains flank the highlands and extend to the coasts. Baja California
parallels the main landmass in the extreme northwest.
The character of the northern and southern areas differs significantly.
The north is sparsely populated and contains broad, arid flat-floored depres-
sions separated or surrounded by elongated hills or low mountains. The
south is more densely populated, is generally more rugged, and receives
considerably more rainfall than the north. Average elevations generally
increase from about 3,000 feet in the north to over 7,000 feet in the south.
There are few perennial streams. Vegetation is generally sparse, with cacti,
grasses, shrubs, thorn forests, and scrub forests predominant. The few areas
of needleleaf and broadleaf evergreen forest are mostly on upper slopes in
the south.
Baja California is an extremely arid peninsula of barren, rugged hills and
mountains, with extensive, mainly flat, plains along the Pacific Coast.
Mexico has rich and diverse natural resources. It is the world's largest
producer of silver and fluorspar, the second largest of sulfur, and one of the
leading producers of lead, zinc, and bismuth. It is an important producer of
coffee and cotton, as well as sugar, tomatoes, other truck crops, meat, and
shrimp. Mexico has extensive deposits of iron ore and is one of the three
major producers of steel in Latin America. The country is also the second
largest producer of primary energy resources in Latin America, is self-suf-
ficient in the production of all major food and industrial crops, and has
widespread timber resources with a full range of species.
Population composition-With a population of 51 million, Mexico has
the largest Spanish-speaking population in the world and is the third most
populous nation in the Western Hemisphere. Most of the Mexican people are
racially mixed, with the Indian strain predominant. The population includes
a very large proportion of children and comparatively few adults over 30.
About 57% are under 20 years old.
Distribution-Average population density is 66 persons per square mile,
but the variety of terrain and climate has led to a very uneven distribution. A
Mexico I - 2
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large majority live in the highlands of the central third of the country.
Although few people live in the very highest mountain areas, the areas with
over 6,500 feet elevation are by far the most densely populated, having one
tenth of the territory and about three tenths of the total population. The
next highest zone, with elevations of about 3,000 to 6,500 feet, has about
four tenths of both land area and population. The hot regions of the lower
elevations are relatively sparsely settled; they account for about one half the
land area but only about three tenths of the population. Mexico is primarily
a country of hamlets, villages, and small towns. Rural to urban migration is
changing the distribution pattern, however. The number of cities with more
than 100,000 inhabitants grew from 29 in 1960 to 45 in 1970. The
population of these 45 cities increased by 64.4% to over 20 million. The
three largest metropolitan areas, those of Mexico City, Guadalajara, and
Monterrey, had 11.2 million inhabitants, or over 23% of the total popula-
tion.
Demographic trends-Mexico's birth rate has been at a high level for
many years, and the annual rate of population growth is rising. At its present
3.5% annual increase, Mexico will double its population in 20 years. There is
no evidence that a substantial decline in the birth rate is imminent. The
present population structure is conducive to a further increase in the rate of
growth for the next two decades, and the anticipated decline in mortality
will also accelerate population growth. Family planning is a sensitive issue in
Mexico, and the government has not espoused a birth control program,
although it tolerates private research efforts and the establishment of birth
control clinics. On the whole, the authorities have regarded the problem of
population pressure as one of too little economic development rather than of
too many people.
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Mexico has made outstanding economic progress since the mid-1950s,
and growth will probably continue to be relatively rapid over the next few
years. It is unlikely, however, to match the 7% rate of the 1960s. Expansion
in the agricultural area will be more difficult and expensive than in the past.
Import substitution in manufacturing, which must now concentrate increas-
ingly in the fields of intermediate products and producers' equipment, will
be more difficult and may bring less net benefit than the replacement of
consumer goods imports. Export earnings, though nicely diversified for a less
developed country, remain vulnerable in certain respects. About 44% of
exports consist of agricultural products (notably cotton, sugar, coffee, and
tomatoes), sales of which are subject to restrictive international export
arrangements or protectionist pressures in the principal importing countries.
Another 14% of Mexican exports consist of metals, ores, and concentrates,
the prices of which may decline in the 1970s from their present high levels.
By 1971 Mexico had begun to experience an economic slowdown
characterized by slow sales, growing inventories, reduced profits, and ex-
tremely tight money and credit. A slump in government spending often
occurs pending approval of investment plans at the beginning of each
six-year administration. To some extent the slowdown represents an inten-
tional cooling process welcomed by the government, but it also points up
long-standing and serious structural problems in the economy, such as rapid
population growth, inequitable income distribution, and severe trade im-
balances. Long-term implications of the current stagnancy may be positive if,
as the government hopes, the slowdown results in greater price stability.
Although Mexico's income distribution is more equitable than that of
most Latin American countries, many people do not share in the general
economic advance. In the rural sector, misery is widespread. Over three
million farmers on small holdings or communal farms have incomes of less
than $100 a year, and two million landless peasants are even more impover-
ished. Many of these peasants drift to the city to swell the ranks of urban
unemployed and underemployed and put additional pressure on already
strained urban facilities. A large part of the urban labor force can find only
casual work and is frequently unemployed. All of this is reflected in a
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growing inequality of incomes. Between 1950 and 1964-65, the wage and
salary share of the lowest 30% of the workers fell from 13% to 6%, while
that of the upper 10% rose from 31% to 36%. Moreover, the incomes of a
large number of people declined absolutely as well as relatively. Mexican
income distribution is skewed further if other occupational classes and
sources of income are considered, even though the poorest workers benefit
most from social security payments, often hold two full-time jobs, and
generally have more workers per family. The lowest classes include dis-
proportionate numbers of people who have little or no income-the unem-
ployed, subsistence farmers, and dependents. Persons in the upper wage-
earning groups, on the other hand, receive most of the dividend, interest, and
rent income.
Main sectors-trends in industry and agriculture
Industry has been the focal point of the government's development
policy. Under the stimulus of quota restrictions on imports, preferential
credit arrangements, and direct government investment, industrial produc-
tion has increased at a steady average annual rate of 9.8% since 1955.
Manufacturing output, which is directed primarily to supplying the domestic
market, has been one of the most dynamic sectors since the mid-1950s. As a
result, the country is close to self-sufficiency in nondurable manufactures for
consumption and is able to meet most of the demand for consumer durables,
including automobiles. A wide range of producer goods also is manufactured,
including most of the materials needed by the construction industry and
most requirements for intermediate chemicals and rubber. Production of
automotive equipment, agricultural machinery, railroad cars, and smaller
electric power machinery also meets most of the demand for those goods,
but imports are necessary to fill more than half of capital goods needs and
about one third of producer goods requirements as a whole.
A large and diverse supply of natural resources, a ready availability of
labor and enterprising industrial leaders, and the rapid growth of import
capacity supported by agricultural exports after World War I I are all under-
lying reasons for the rapid growth of manufacturing output. Manufacturing
has been the principal beneficiary of government electric power and trans-
portation development, tax benefits, and the government-sponsored forma-
tion of a capital market. The replacement of imports by domestic manu-
factures, the cornerstone of the Mexican Government's industrial policy, has
been implemented through widespread quantitative controls of competing
imports, which often has resulted in domestic prices 30% to 50% higher than
those of comparable foreign goods. Protection also has resulted in many
deficiencies in product quality.
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Manufacturing is concentrated in Mexico City and the surrounding state
of Mexico, which accounts for about one half of total output. Other centers
of industry are Monterrey, Guadalajara, and Veracruz.
Agricultural programs have been fairly successful. Output has grown at
the impressive average rate of 41/2% annually since 1950, almost half again as
fast as the population. A net importer of farm products during World War I I,
Mexico has now become a net exporter in spite of its large population
increase.
Although agriculture is the country's major occupation, its contribution
to GDP is small. The aridity of most of the country, generally poor soil, and
a low level of technology are major causes of relatively low productivity of
the sector. Almost 90% of the farmers operate on only a few hectares of land
and have little access to capital goods beyond traditional hand implements.
Poorly educated and frequently politically weak and physically and cul-
turally isolated, most of these farmers (two thirds of whom received their
land through agrarian reform) cultivate primarily corn, beans and other
staples, using rudimentary techniques.
Most responsible for the agricultural advance, and its main beneficiaries,
are the 500,000 medium-sized and large commercial farms, which account
for about 7% of the rural labor force of some seven million persons, one
fourth of the cultivated land, and one half of the agricultural output.
Transportation and communications system
Mexico has one of the best transportation systems in Latin America.
The government policy of linking all parts of the country and providing
cheap transportation for all citizens has succeeded very well considering the
difficult terrain obstacles. The railroad network is the third largest in Latin
America, after Argentina and Brazil, and has recently been upgraded by a
$491-million investment in the five-year plan that began in 1966. Highways
are the principal mode of transportation and make up the best developed
system in Latin America. A major deficiency is the nearly total lack of
east-west routes in the northern part of Mexico. Mexico has the most
extensive network of oil and natural gas pipelines in Latin America. Com-
mercial aviation has developed rapidly since World War 11, and the more than
1,000 airfields permit quick access to any region in the country.
Telecommunications are well developed, both in extent of coverage and
in range of modern services provided. Telecommunications facilities are
undergoing a vast expansion program, stimulated by major investments made
in connection with the 1968 summer Olympics.
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Government economic policy and financial system
The Echeverria administration has displayed unusual energy in eco-
nomic planning, and has publicly recognized that its current account balance
is unsatisfactory. Official statements of policy have emphasized the need to
increase exports, to halt inflation, to relocate industry outside the main
population centers, to reduce foreign borrowing, and to ensure that foreign
investment raises the technical level of Mexican industry.
The prime objective of government policy continues to be the raising of
the standard of living of the population by establishing a self-sufficient
industrial economy and expanding technologically advanced sectors of agri-
cultural production for the domestic market and for export. In pursuing this
objective, the government has relied partly on the initiative of the private
sector but has guided its activities by import duties and quotas, credit
controls, subsidies, and price supports. Financial stability has been main-
tained by the regular achievement of government budgetary surpluses on
current account, the limitation of public investment expenditures to funds
provided by tax revenues and borrowing from the private sector and abroad
in most years, and the maintenance of balance-of-payments stability through
the expansion and diversification of exports and long-term borrowing.
The financial system, which included 246 private banks, 24 specialized
government banks, and about ten trust funds administered by the central
bank at the end of 1965, is headed by the Bank of Mexico. Established as
the central bank in 1925, it holds about one seventh of total bank resources
and is the sole bank of issue. It is the fiscal agent of the government, its
representative in the major international lending agencies, and manager of
the country's gold and foreign exchange reserves. It has maintained the
country's basic monetary unit, the peso, at an exchange rate of 12.5 to one
US dollar since April 1954. Apart from the central bank, the most important
financial institution is the publicly owned National Finance Bank, which
accounted for almost 18% of the resources available to the banking system in
1965. Established in 1934 to sell government bonds, it was reorganized in
1940 as a development bank to finance public construction of economic
infrastructure and public and private industrial investment. It is the major
institution engaged in attracting capital from abroad.
Foreign trade
Mexico is one of the countries of Latin America least oriented to
foreign trade. Since 1943, Mexico has sustained sizable annual trade deficits,
but these have been offset wholly or in part by large net receipts from
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tourism. Exports in 1970 ($1.3 billion) declined slightly, by 1.2%, while
imports ($2.4 billion) rose 18.2%. The greatest part of the export drop was
the result of a decline in agricultural exports due to the poor crop year in
1969. The government has taken various new actions to expand exports,
including the establishment of a Mexican Institute of Foreign Trade, an
attack on inflation, the extension of fiscal stimuli to exports, and increased
pressure to diversify markets. Mexico's foreign trade problem remains
intractable, however, and large deficits will continue. Mexico will still need
to borrow heavily to service its substantial foreign debt and continue support
for domestic investment programs. Mexico's position is highly vulnerable to
external developments, both as to markets and as to interest rates and other
factors involved in international borrowing.
Balance of payments
Despite the enlargement of the current account deficit, Mexico has not
experienced any serious balance-of-payments problems because of gains on
the capital account. The country's excellent external credit rating permits
continued generous borrowing from international agencies and from public
and private sources in the United States, Europe, and Japan for purposes of
economic; development. It is the government's policy to borrow in amounts
that will not make interest and amortization payments too heavy a burden.
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Ill. POLITICAL SITUATION AND TRENDS
Historical summary
Mexico's continuing identification with its Indian heritage leaves
Cortes-the country's Spanish conqueror-the rebuffed figure of Mexican
history, a personality whose memory is honored by no monument or heroic
recognition. After his landing with a handful of men at Veracruz, Cortes
began his famous march to Mexico City in August 1519, in an invasion that
profited from both the discontent among the tribes subjected to Aztec rule
and from the fatalistic conviction of Montezuma that Cortes was the white
god Quetzalcoatl, whose reappearance in the east during his reign was
prophesied. Following Cortes' domination of Mexico, the Spanish estab-
lished a social structure with rigid and sharply drawn class lines based largely
on wealth, race, and place of birth. Spanish royal officials and the upper
hierarchy of the Catholic Church were at the top of the pyramid, with the
native Indians and imported Negroes at the base. Because an ostensible goal
of the conquerors was the conversion of the pagans, the church became
identified with royal power and came to play an important economic and
political role in colonial life.
Napoleon's invasion of Spain in 1808 launched the colony on its
struggle for independence. Following several abortive uprisings, Father
Hidalgo, who had worked for the social and political advancement of the
Indians, called the Indians together on 16 September 1810, and began an
Indian advance from Dolores to Mexico City, thus beginning the war for
independence, which was a revolt against both the Mexican landowners and
the Spanish. After eleven years of turbulence, Mexico successfully separated
from the Spanish Empire in 1821 and began its long struggle for effective
nationhood, against a background of cultural, economic, and geographic
obstacles of tremendous magnitude. Strong traditions of localism and re-
gionalism were fortified by the rough terrain that made communication
difficult. The Indians were and remain in various stages of integration, some
still living according to ancient tribal ways and preferring their indigenous
languages. The 300-year control by Spain established a tradition of cen-
tralized government, but at the same time the system of latifundia and
peonage made for an essentially feudal structure of society. This pattern was
increasingly challenged by a small but vigorous commercial class imbued
with the liberal economic ideas of the late 18th century. Joining them were
intellectuals of all classes who embraced the principles of the French Revolu-
tion. These varied social elements coalesced after independence into liberal
and conservative groups to give 19th century Mexico a distinctive de-
velopment.
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After an initial setback under Emperor Iturbide, the Mexican liberals
controlled the central government until 1835. For the next two decades the
dominant conservative forces, aided by Santa 25X6
Anna, brought disaster in the form of t e exas revo ution an t e Mexican
War. The turning point came with the accession of Benito Juarez, who was
able to save Mexico from French occupation under Maximilian. Equally
important, his reforms broke the heart of the traditional Creole and church
power, firmly established the liberal tradition, and opened the way for the
growth of Mexico's new middle class. Under the dictatorship of Porfirio
Diaz, the political evolution set in motion by Juarez was blocked, but the
economic changes implicit in the Juarez reforms found full expression-with
foreign capital Diaz launched the modernization of Mexico's economy. Diaz'
suppression of liberty, however, led to the Revolution of 1910. The liberal
movement came to fruition in the constitution of 1917, which compromised
the objectives of socialist labor and land-hungry Indians with the capitalist
interests of the middle class. This coalition as it developed provided in-
creasingly stable government to Mexico and facilitated the economic pro-
gress. Consolidation of revolutionary achievements was effected by the late
1930s under the Cardenas government, and Mexico's industrial and com-
mercial advances since that period have been rapid.
Structure and functioning of the governmental system
Although the constitution provides for the separation of federal
powers, there is, in effect, personal government by the president, who
derives his power chiefly from a strong political machine. Executive suprem-
acy is the key reality of the Mexican system. Adherence to the constitutional
provision that the president must be chosen by direct vote of the people is
only formal. In practice, he is selected by the outgoing chief executive in
consultation with top advisers in the official party, and the electors merely
ratify this choice. The bicameral legislature is completely subservient to the
executive; it merely approves executive measures. The supreme court and
lesser federal courts have never made and upheld decisions thwarting the will
of the president on major aspects of national policy. The president has the
power to appoint practically all administrative officers and employees of the
federal government, justices of the supreme court, judges of the superior
courts of the federal district and of the territories, higher officers of the
armed forces, and members of the diplomatic service. State governors are
usually his personal agents. The president conducts foreign affairs and is
commander in chief of the armed forces. He may, within certain constitu-
tional limitations, revoke the constitutional guarantees of civil and political
rights. The president is assisted by a cabinet of 19 members whom he
appoints and removes at will.
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When he assumes office, the president inherits substantially the political
machinery of his predecessor-a congress and all of the state governors
elected during his predecessor's term. By the end of his six-year term all the
governors will have been replaced by men of his own choice and the lower
house of congress will have had a complete turnover of members. In this
way, the political strength of a president normally increases steadily during
his term. Most recent presidents have been chosen from the cabinet.
The legislative branch has recently been upgraded to some extent,
although it is still ineffective as a lawmaking body. Beginning in the 46th
Congress (1964-67), a new constitutional provision gave representation in
the lower house to parties obtaining a minimum of 2.5% of the total vote
cast. In the past two elections, only one party has actually qualified for these
bonus seats in the congress, but the government approved seating delegates
from three parties in order to balance the representation of the opposition
between the right and the left.
The government has created numerous decentralized agencies and enter-
prises in which it participates in some form. These agencies conduct a wide
variety of activities. Some of the more important are the Mexican Institute
of Social Security; PEMEX, the nationalized oil industry; National Railways
of Mexico; the National Finance Agency; the National Bank for Ejidal
Credit; and Aeronaves, the national airline.
Political dynamics
Of the four legally registered political parties, the only one of real
significance is the Institutional Revolutionary Party (PRI), the institutional
embodiment and self-appointed guardian of the Revolution. It normally
receives about 85% of the vote in national elections and has tentacles in all
phases of economic, social, and political life. The instrument of a benevolent
dictatorship, the PRI is unique and effective. It is subordinate to the
incumbent president but as an institution has a durability beyond the
personal popularity or power of individual executives. The PRI incorporates
the facts, myths, and legends of the Revolution, which give Mexicans a sense
of nationality and political participation. It has controlled every national and
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most state and local elections since its founding in 1929 and holds well over
90% of all elected positions. Those held by other parties are usually at the
sufferance of the PRI. Other groups are allowed to operate in order to
maintain democratic competition and to prevent the
opposition rom ecoming alienated from the political mainstream. Most
Mexicans seem satisfied with the programs and accomplishments of the PR 1,
even though the public is conspicuously insignificant in the political
processes.
The PRI has long been representative of widely divergent socioeco-
nomic groups, and it has shown considerable flexibility in dealing with and
at times absorbing opposition elements. Political contests in Mexico are
mainly intra-PRI affairs, and maintenance of party unity, a key to political
stability, is a formidable task. A strain between the entrenched party
bureaucracy and progressive elements in the party, made up mainly of
leftists, intellectuals, and youth, has grown to significant proportions in the
last few years, particularly since the presidency of Gustavo Diaz Ordaz
(1964-1970). Protest against the party's imposition of unpopular candidates
on the local level has risen substantially.
Of the three other parties that are legally inscribed, two follow an
essentially collaborationist policy vis-a-vis the PRI and are subsidized by the
government to maintain a nominal opposition. One, the Authentic Party of
the Mexican Revolution (PARM), has a constituency of old revolutionary
generals and their families and is steadily declining in size. The other, the
Popular Socialist Party (PPS), was the largest of Mexico's small Communist
parties until it was decimated by the withdrawal of its large labor bloc and
by factionalism when its founder, Vicente Lombardo Toledano, died in
1968.
Only the National Action Party (PAN) gives the ruling party serious
opposition and has some success in electoral contests at the local level.
Primarily a middle-class party with its greatest strength in urban areas, the
PAN endorses the social aims of the government but takes the line that it can
carry them out better.
a strong minority in the party oeiieves tna
s participation in T e elections may retard the evolution of a more open
system by perpetuating the myth of Mexico's functioning democracy. This
view of the futility of responsible opposition is likely to be taken by larger
numbers in the PAN if the government refuses to accord it an enlarged
political role, and the party may eventually move to a more active and
disruptive strategy.
Mexico 111-4
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Electoral system
To register and present candidates, a party is required to have 75,000
members, of whom more than 2,500 must reside in each of two thirds of the
nation's 29 states, two territories, and the Federal District. Registration is
granted and revoked by the secretariat of government, which continues to
approve the participation of the PARM and the PPS, despite the fact that
neither has the required membership.
Mexico established universal suffrage in 1953 and in 1970 extended the
vote to all 18 year olds. There are no literacy, property, or poll tax
qualifications. Voting is obligatory but the law is not generally enforced. In
the most recent national elections, those for president and renewal of both
houses of congress in July 1970, the total vote was almost 14 million. The
PHI presidential candidate, Luis Echeverria, received 86% of the votes and
the PAN candidate, Efrain Gonzalez Morfin, 14%. The two smaller parties,
the PPS and the PARM, supported Echeverria. The PRI made a clean sweep
of all 60 seats in the Senate and 178 seats in the Chamber of Deputies.
Under the system for minority party representation the PAN was assured of
20 bonus seats in the lower house, however, and the two smaller parties were
represented as well, despite their failure to poll the "required" 2.5% of the
congressional votes. In 1971 President Echeverria proposed electoral reforms
to give further representation to minority parties.
Security system
Police establishments of various kinds are maintained at each level of
government, federal, state, and municipal. Since the Revolution of 1910-20,
there has been no single federal police force of paramount power and
influence. Nevertheless, components of the federal police system are so
sensitive to the wishes of the central government that the system is nearly as
responsive as a single force. The most important police forces are the Federal
Judicial Police, subordinate to the attorney general; the Federal Highway
Police, under the secretariat of communications and transport; the Judicial
Police of the Federal District and Territories; the Police of the Federal
District, the metropolitan police of Mexico City; The Federal District Traffic
Police; and the Federal Judicial Military Police of the secretariat of national
defense.
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Mexico remains among the most politically stable nations of the world,
and there is no imminent threat to the ruling group or to the continuing
viability of the government. Increasing manifestation of political dissidence
along with worsening socioeconomic situations in some areas, however,
suggest the possibility of significant deterioration of stability in the longer
run. Rural poverty is massive, and clashes between peasant groups and the
security forces are frequent in some parts of the country. Unrest is endemic
among urban youth, particularly students, and their harsh encounters with
the security forces have left in their wake bitterness and unsettled scores that
make further agitation likely.
Communist party and front groups
The Communist movement in Mexico is weak, divided, and ineffective.
There is almost no cooperation between the many Marxist organizations, and
each group is itself rent by factionalism. The Mexican Communist Party
(PCM) has only about 3,000 members, and, though it is not proscribed as a
party, it is subjected to severe harassment by the government. Following the
Soviet invasion of Czechoslovakia in August 1968, the PCM reversed its
traditional policy of subservience to Moscow, and the effort to stress
independence of the USSR further fragmented the party. The Popular
Socialist Party (PPS), the only Marxist group to enjoy registration and
electoral participation, has served mainly as a useful political foil for the
government. The PPS was essentially the personal instrument of Vicente
Lombardo Toledano, a highly respected Marxist intellectual, and his death in
November 1968 has left the PPS rudderless, splintered, and moribund.
The most active, disruptive Communist groups are small lunatic-fringe
organizations-Trotskyists, Maoists, and others made up usually of defectors
from the PCM-which engage in occasional sabotage, guerrilla adventures,
and political agitation. Government action against these groups during their
active periods has been effective and severe, and the repression has usually
spilled over to affect the PCM or uninvolved individual dissidents whom the
government wants off the scene.
The Communists rarely are able to incite significant agitation, but they
are effective in aggravating dissident outbursts and in manipulating dissident
groups.
Mexico Nov 71
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Mexico is unusual in having a large number of influential Marxist-
oriented intellectuals who are not affiliated with the Communist parties.
Most are active in some organized front, but some operate independently,
within the government, at the universities, or in professional or artistic
circles. They are useful to the Soviet Union and to some extent are subject
to Soviet direction.
Extremist groups
Groups dedicated to subverting the government pose less of a problem
in Mexico than in most Latin American countries. Extremist behavior by
certain groups is a problem, but one that has not strained the capability of
the security forces. A number of rural areas in Mexico have continuing
histories of banditry, family feuds, cattle rustling, squatting, and similar
violence-provoking activities. Disorders also frequently attend student agita-
tion, which is endemic. Possibly the most serious disorder Mexico ex-
perienced since the armed phase of the Revolution occurred in the summer
of 1968, when students exploited the international attention on Mexico as
host of the Olympic games to mount strong antigovernment demonstrations.
The subsequent rioting resulting in many deaths.
In 1971 a dramatic series of events, including the disclosure of the
existence of a number of self-styled guerrilla and terrorist groups, a series of
bank robberies, a spectacular kidnaping of an official, and the most serious
student-government conflict since 1968, opened wider the possibility that
Mexico might not be immune from the urban terrorist action that has
afflicted other governments in the hemisphere. By late 1971, however,
indications seemed to be that the various "terrorist" groups were more
criminal than political. Still, political tensions within the ruling establish-
ment provide a somewhat favorable atmosphere for dissidents to adopt a
violent strategy.
Foreign subversive activity
Mexico maintains diplomatic relations with Cuba, the USSR, Czecho-
slovakia, Poland, and Yugoslavia. The large Soviet and Cuban embassies in
Mexico are apparently the channel for funds and contact with Central
American Communist parties and insurgent groups. Mexico also is a haven
for exiles from other Latin American countries, and many of these exiles
actively engage in plotting against their native governments.
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In the spring of 1971, security forces uncovered a guerrilla group
allegedly trained and initially supported by North Korea with the connivance
of the USSR. The Mexican Government took out its indignation on the
Soviets (in the absence of a North Korean diplomatic mission in Mexico) and
expelled five Soviet diplomats.
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Luis Echeverria Alvarez, began his six-year term on 1 December 1970.
Since then, he has set a frenetic pace and has shown determination to give
his administration a more popular and activist image than that of his
predecessor, Gustavo Diaz Ordaz. Echeverria has contended with several
political crises early in his term, and his forceful style in dealing with them
has gained him popularity with liberal elements but at a very high cost.
There is reason for concern that Echeverria will stimulate demands and
expectations that his administration cannot meet, and that disillusion may
become more serious than the apathy Echeverria has tried to dispel.-
Echeverria has appointed many young men to important positions, has
initiated several domestic reforms aimed at more equitable distribution of
the country's wealth, and has established new councils to deal with science,
trade, and the environment. Almost every weekend the President travels to
remote areas in Mexico to bring government to the people and to acquaint
himself with local problems and issues.
Intensified strains within the ruling party, bitter relationships between
politicians that have developed since Echeverria took office, as well as the
proliferation of small extremist groups-both political and criminal-and
rumors of military discontent are potential threats to the Echeverria govern-
ment.
Manuel Sanchez Vite, president of the ruling Institutional Revolu-
tionary Party (PRI).
Vicente Fuentes Diaz, secretary general of the PRI
Octavio Senties, regent of the Federal District, replaced Alfonso Mar-
tinez Dominguez,
Mario Moya Palencia, Secretary of Government, replaced President
Echeverria in this post in November 1969. Moya is young (38), has moved
up fast politically, and is regarded as a prime contender for the presidency in
1976.
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Emilio Oscar Rabasa Mishkin, Secretary of Foreign Relations, had been
ambassador to the US for three weeks before his cabinet appointment.
Rabasa is a close friend of President Echeverria
Pedro Ojeda Paullada, replaced Julio Sanchez Vargas in one of the
top-level changes that followed the June 1971 crisis. Ojeda is exemplary of
the Mexican politician who starts young, works hard, and makes a good
impression on his superiors. He is regarded a "comer" who may be in line for
higher positions in the ruling establishment.
Hugo B. Margain, Secretary of Finance and Public Credit, was ambas-
sador to the US from 1965-70.
Alfonso Garcia Robles, permanent representative to the UN, is Mexico's
chief spokesman for and expert on international control of nuclear energy
and disarmament.
Carlos Torres Manzo, Secretary of Industry and Commerce
Hugo Cervantes del Rio, Secretary of the Presidency
Manuel Bernardo Aguirre, Secretary of Agriculture and Livestock
Rafael Hernandez Ochoa, Secretary of Labor and Social Welfare
Hermenegildo Cuenca Diaz, Secretary of National Defense
Horacio Flores de la Pena, Secretary of National Patrimony
Eugenio Mendez Docurro, Secretary of Communications and Transport
and Director General of The National Council of Science and Technology
(CONACYT)
Victor Bravo Ahuja, Secretary of Education
Luis Enrique Bracamontes, Secretary of Public Works
Leandro Rovirosa Wade, Secretary of Hydraulic Resources
Jorge Jimenez Cantu, Secretary of Health and Public Assistance
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Antonio Dovali Jaime, Director General of Petroleos Mexicanos
(PEMEX)
Efrain Gonzalez Morfin, leader of the opposition National Action Party
(PAN)
Fidel Velazquez, Secretary General of the Confederation of Mexican
Workers, the labor arm of the ruling party
Business
Julio Faesler, director of newly established Foreign Trade Institute
Agustin Legorreta, President of the Banco Nacional de Mexico
Giullermo Martinez Dominquez, Director of the National Development
Bank (NAFIN)
Ernesto Fernandez Hurtado, Director General of the Bank of Mexico
Agustin Olachea Borbon, director of Tourism
Carlos Trouyet, wealthy industrialist, president of the board of direc-
tors of Telefonos de Mexico
Antonio Ortiz Mena, long-time Secretary of Finance, now head of the
IDB
Communications media
Rornulo O'Farrill, radio, television and newspaper magnate
Raul Azcarraga, millionaire, magazine publisher, and communications
media
Julio Scherer Garcia, director and chief editor of Mexico's largest daily,
Excelsior, and friend of Luis Echeverria
Education and art
Pablo Gonzalez Casanova, leftist rector of Autonomous National Uni-
versity of Mexico (UNAM)
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Guillermo Massieu, rector of National Polytechnic Institute (IPN)
Victor Urquidi, director of Colegio de Mexico, adviser to Bank of
Mexico
Carlos Fuentes, internationally noted novelist
David Alfaro Siqueiros, muralist, intellectual, prominent Communist
Octavio Paz, poet, philosopher
Amalia Hernandez, directress of the Ballet Folklorico
Religion
Cardinal Miguel Dario Miranda, primate of Mexico
Bishop Sergio Mendez Arceo, controversial bishop of Cuernavaca, who
protected Ivan Illich's Centro de Investigacion y Documentacion (CIDOC),
which provides a haven for dissident clerics.
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Mexico implicitly depends on the United States for defense against an
external threat, and the role of the armed forces is that of providing internal
security. One of the major aspects of security, the protection of the seat of
government and the president, is evident in the deployment of military
elements in and around Mexico City. These units have the best troops and
most of the armor, artillery, and automatic weapons. The remaining armor
and artillery are within 80 miles of the capital. The resulting limitation of
the capability in other zones is overcome by the rapid deployment capability
of the air force's well-equipped parachute battalion. The 64,000-member
army is concentrated in the center of the country with only a small part of
its force deployed to meet a potential invader. Fewer than 10,000 soldiers
are stationed along the US-Mexican border, and only about 2,500 are in the
southern states bordering Guatemala and British Honduras. The 9,700-man
navy, equipped with only minor combat craft, has very limited capability to
repel an external enemy. The air force, with 4,100 men, can support the
army to a minor degree, but its lack of armament, of radar equipment, and
of gunnery-trained pilots limits its capability. All armed forces personnel are
volunteers.
There are no paramilitary forces capable of a substantial contribution
to Mexico's ground combat strength. The 70,000-man rural defense corps, a
loose organization of volunteer infantry and cavalry battalions, is under the
command of the various military zones and has very limited combat ef-
fectiveness. The defense budget is regularly under 10% of the total national
budget.
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Mexico's foreign policy is based on the four cardinal principles of
nonintervention, self-determination, juridical equality of nations, and peace-
ful settlement of disputes. Unlike former president Lopez Mateos, who had
wanted Mexico to assume a position of prominence on the world scene,
President Diaz Ordaz emphasized the more realistic goal of improving rela-
tions with Latin America, particularly with the small republics to the
immediate south. This policy met with considerable acclaim from Central
Americans, who had long felt neglected by their large northern neighbor.
Good-will missions between Mexico and Central America have been frequent
since Diaz Ordaz' Central American trip in January 1966. President Echever-
ria met with all the Central American presidents in 1971.
Mexico has maintained coolly correct relations with the Communist
bloc. A warming period during 1968, connected with Mexico's desire to
present a: universalist image for the Olympics, was achieved by the foreign
minister's visit to the USSR, but the good will was negated later that year by
the Soviet invasion of Czechoslovakia and the Mexican student disturbances,
which were perpetrated in part by pro-Communist elements. Instruments of
ratification were exchanged in April 1969 for the Mexico-USSR cultural
agreement, although cultural exchange under the treaty is less than before
the agreement existed. Relations took a precipitate downturn in the spring
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of 1971, when Mexico expelled five Soviet diplomats after security police
exposed a foreign-trained Communist guerrilla group.
Relations with Eastern Europe have remained at a modest level. Mexico
was sympathetic to Czechoslovakia both during its liberalization period and
after its occupation. Relations with Yugoslavia are cordial. Hungary and East
Germany continue to maintain trade offices in Mexico. Mexico recognizes
Nationalist rather than Communist China and South rather than North
Korea. Although Mexico recognizes the Republic of Vietnam, no representa-
tives have been exchanged. In theory Mexico favors trade with all countries,
including the bloc and Communist China; in practice, however, such trade
has been limited to occasional use by Mexico of Communist countries as
markets for excess food grains and cotton.
Until 1971 Mexico was the only Latin American country to maintain
diplomatic and trade relations with Cuba. It cites the release of US citizens
from Cuba through Mexican diplomatic efforts as evidence of the utility of a
"communications bridge" between the Castro regime and the rest of the
hemisphere. Relations, however, have been strained, particularly since the
Mexican student problems of 1968, which aroused the suspicions of Mexican
security forces about Cuban subversive activities. Also in 1968, the Cuban
Ambassador played a prominent role in an effort to kidnap a Cuban code
clerk who had come to Mexico after defecting in Indonesia. The hijacking
issue and Cuba's expulsion of a Mexican diplomat accused of spying for the
US heightened tensions between the two countries, but there may be a thaw
under the Echeverria government.
One of the most important achievements of the Diaz Ordaz government
was the signing in February 1967 of the Treaty of Tlatelolco "for the
proscription of nuclear weapons in Latin America." Upon ratification by the
nuclear powers, the treaty would make Latin America the first nuclear-free
zone. The US has signed and ratified but the USSR has not.
Although Mexico deplores the Vietnam war, its policy is to avoid
creating difficulties for the US in international forums. Furthermore, it has
actively discouraged groups in Mexico from demonstrating against US par-
ticipation in the war.
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Mexico is highly sensitive to foreign influence in matters it regards as
internal, and US assistance in military matters is limited to training, orienta-
tion visits to the US by senior officers, and liaison. Mexican nationalism,
pacifist sentiments, and traditional fears of the US have prevented the
completion of bilateral mutual security arrangements. Like other active
participants in the inter-American system, Mexico is a signatory of the Rio
Treaty of reciprocal assistance.
US technical cooperation programs are generally not well received in
Mexico, although the country has supported UN technical and social pro-
grams in its territory and has publicly endorsed the Alliance for Progress.
Mexico has cooperated with the US by informally enforcing the US Battle
Act, which embargoes strategic materials to Communist countries. It has also
departed from tradition in permitting a US satellite tracking station on
Mexican territory. There have been many scientific exchanges between the
two countries, and cooperation on such matters as nuclear desalting,
seismographic studies, geodetic satellite observation, and recovery of US
space objects.
Despite Mexicanization, the policy under which some foreign investors
have been forced to accept majority local control and the fact that all remain
vulnerable to this pressure, new direct investment has continued to flow into
Mexico at a substantial rate-roughly $100 million additional per year-and
most US enterprises in Mexico are relatively well satisfied with their over-all
situation.. US direct investment in 1968 totaled $1.4 billion ($907 million in
1963). Foreign investment is a controversial subject in Mexico and the
antipathy of Mexicans to "intervention" from US businessmen has deep
historical roots. As late as 1935 foreign capital controlled 98% of the mines,
99% of the petroleum, 79% of the railroads, and 100% of the electric power.
Nationalization under President Cardenas meant that by 1939, foreign
capital financed only 15% of total fixed investment and the level as a percent
of total investment and as compared to the gross national product has been
declining since 1940.
The US is Mexico's principal trading partner, purchasing about two
thirds of its exports and supplying two thirds of its imports. (See the tabular
data.) The US share of Mexican trade has been declining because of the
increased importance of Mexico's exports to Latin America and because of a
conscious effort on the part of Mexican officials to diversify traditional
sources of imports.
Mexico Nov 71
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US citizens account for about 85% of Mexico's tourist trade, which
together with border trade netted Mexico nearly $400 million in 1966.
Despite the persistent deficit on current account, Mexico's balance of
payments has stayed in the black because of gains on the capital account. An
excellent external credit rating permits continued generous borrowing from
international agencies and from public and private sources in the US and
other areas for economic development.
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IX. CHRONOLOGY AND TABULAR DATA
1910 (20 November) Outbreak of the Revolution.
1929 (March) Political party, that has controlled government ever since,
founded; present name of Institutional Revolutionary Party (PRI)
adopted in 1946.
1938 (March) Oil industry expropriated and nationalized by President
Lazaro Cardenas.
1946 (December) Miguel Aleman inaugurated; first civilian President
since Medero (1911-13).
1952 (December) Adolfo Ruiz Cortinez inaugurated President.
1955 (July) Women vote for first time in national elections.
1 958 (1 December) Adolfo Lopez Mateos inaugurated President.
1959 (February) Presidents Lopez Mateos and Eisenhower meet at
Acapulco.
1962 (March) Presidents Lopez Mateos and Kennedy join in urgent call
for solution to Colorado River salinity problem.
(June) President Kennedy visits Mexico City.
(October) Mexico reacts strongly against Soviet missiles in Cuba
and supports OAS resolution calling for arms quarantine of Cuba.
1963 (March/April) President Lopez Mateos makes official visits to
France, Yugoslavia, Poland, West Germany, and the Netherlands.
(June) Trade missions arrive from Yugoslavia and Communist
China; $150 million loan agreement with France signed.
(October) Tito visits Mexico.
1964 (21-22 February) Presidents Lopez Mateos and Johnson meet in
California.
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(12-13 November) President-elect Diaz Ordaz visits President
Johnson in Texas.
(December) Diaz Ordaz inaugurated President.
1965 (12 April) Government arrests 30 Communist leaders following
Communist efforts to attack US Vietnam policy.
(29 April) Mexico publicly condemns US landings in the Domini-
can Republic
(17 November) Carlos Madrazo ousted as head of the PR 1.
1966 (10-22 January) President Diaz Ordaz makes goodwill tour of the
five Central American republics and Panama.
(14 April) President and Mrs. Johnson dedicate Lincoln statue in
Mexico City.
(27-28 April) Students force resignation of UNAM rector and
other officials.
(8 October) Troops occupy University of Morelia after students
attempt to overthrow state government.
(4 November) New China News Agency representatives depart
Mexico.
(3 December) Presidents Johnson and Diaz Ordaz meet at con-
struction site of Amistad Dam on Rio Grande.
1967 (14 February) Treaty of Tlatelolco, proscribing nuclear weapons
in Latin America, signed by 15 nations.
(17 May) Troops occupy state of Sonora to quell revolt against
the state government.
(19 July) Government arrests 13 "Maoists," subversives funded
through New China News Agency in London.
(26-28 October) President Diaz Ordaz makes official visit to US.
Mexico IX - 2
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1968 (21-29 May) Foreign Secretary Carrillo Flores visits USSR.
(1 April) Vice President Humphrey signs Protocol I I of the Treaty
of Tlatelolco in Mexico.
(23-27 April) North Vietnam's Ambassador to Cuba makes offi-
cial visit to Mexico to inform Mexicans of his government's
position on the Vietnam war.
(2 June) Opposition party wins municipal and state elections but
is denied victory by the ruling party, which "annuls" the results.
(June) Peasant leader Jacinto Lopez forms new party, POAM,
after expulsion from the PPS.
(26 July - 2 October) Student disturbances are most serious civil
disorders in Mexico since the 1920s.
(6 September) Mexicans foil attempt by Cuban Ambassador to
abduct defecting Cuban code clerk.
(September) Normally pro-Soviet Mexican Communist Party
(PCM) strongly criticizes Soviet invasion of Czechoslovakia.
(2 October) "Tlatelolco massacre," bloodiest incident of the
student disturbances, effectively ends the antigovernment move-
ment. At least forty were killed, hundreds wounded and over
1,000 arrested.
(12-27 October) Mexico hosts summer Olympics.
(October) Foreign Secretary Carrillo Flores says Estrada Doctrine
applies only to Latin America and that Mexico would not hesitate
to suspend relations with any country should it be in Mexico's
interests to do so.
(16 November) Leftist leader Vicente Lombardo Toledano dies;
Jorge Cruickshank Garcia becomes secretary general of the badly
divided Popular Socialist Party (PPS).
(13 December) Presidents Diaz Ordaz and Johnson meet in El
Paso.
Mexico I X - 3
Nov 71
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1969 (April-July) Series of clashes between PRI and opposition PAN in
Yucatan.
(3 September) Series of incidents between Cuba and Mexico is
capped by Cuban charges that Mexican diplomat in Havana is an
intelligence agent for the US.
(8 September) Presidents Diaz Ordaz and Nixon inaugurate
Amistad Dam.
(October) Intense US campaign of border inspection to stop
smuggling of narcotics draws strong protest from Mexico and
causes precipitate deterioration in US-Mexican relations.
(28 October) Senate extends Mexico's territorial sea to 12 miles.
(22 December) Suffrage is extended to 18-year-olds.
1970 (1 May) New Labor Law becomes effective.
(5 July) Luis Echeverria elected President
(1 December) Echeverria is inaugurated president.
(18 March) Mexico expels five Soviet diplomats following the
disclosure of a foreign-trained Communist guerrilla group operating
in Mexico.
(5 June) Governor of Nuevo Leon resigns following university
crisis.
(10 June) The regent of the federal district and the chief of police
resign after the loss of an undetermined number of lives when
official goon squads beat student demonstrators.
(19 August) Attorney General Sanchez Vargas resigns following
public clamor over official whitewash of 10 June events.
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1 January
5 February
21 March
April or March
1 May
5 May
8 May
16 September
12 October
2 November
20 November
12 December
25 December
Holidays and Significant Dates
New Year's Day
Promulgation of 1917 constitution
Benito Juarez' Birthday
Holy Week
Labor Day
Victory of Gen. Zaragosa
Birthday of Hidalgo y Castillo, independence leader
Independence Day
Columbus Day
All Souls Day
Anniversary of the outbreak of the Revolution, 1910
Our Lady of Guadalupe Day
Christmas
764,000 sq. miles; 13% cropland; 43% meadows and pastures; 22%
forested; 22% desert, waste, or other
Limits of territorial waters: 12 miles
Population: 51 million (1971) and increasing by 3.5% annually; density
66 persons per sq. mile; males 15-49, 11 million; fit for military service, 7
million; approximately 595,000 reach military age (18) annually
Ethnic composition: 60% mestizo, 30% Indian, 10% white
Religion: 97% Roman Catholic
Language: Spanish
Literacy: 60-65%
School year: September-June
Labor force (1969): 15.4 million; 47% agriculture, 24% industry, 11%
commerce, 4% transportation and communications, 14% services. No reliable
unemployment figures.
Organized labor: 13% of labor force; 24.5% of wage and salary earners.
Time zone (Mexico City): EST - 1 hour (GMT - 6 hours)
Mexico IX - 5
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Constitutional federal republic, operating in fact under a centralized
government. Congress convenes on 1 September for a regular session not to
last longer than 31 December.
Branches of government: dominant executive branch, nonre-elective
six-year presidential term; bicameral legislature with six-year term for 60
member senate and three-year term for 178 deputies.
President: Luis Echeverria Alvarez. There is no vice president or auto-
matic successor in case of absence or incapacity of the president.
Attitude of incumbent regime toward US: friendly
Capital: Mexico City
Regional breakdown: 29 states, 2 territories, Federal District
Principal political parties and leaders: the ruling Institutional Revolu-
tionary Party (PRI), Manuel Sanchez Vite. Three small opposition parties
have been granted voice in the legislature: the National Action arty (PAN),
Manuel Gonzalez Hinojosa; the Popular Socialist Party (PPS) Jorge Cruick-
shank Garcia; and the Authentic Revolutionary Party of Mexico (PARM),
Gen. Juan Barragan
Voting strengths: in the 1970 congressional elections the PRI received
83.8% of the vote; PAN, 14.1 %; PPS, 1.4%; and PARM 0.8%
The Mexican Communist Party (PCM) is too small to pass registration
requirements to run candidates and has little influence
Suffrage: universal over age 18; compulsory but unenforced
Next national election: July 1973 for the Chamber of Deputies
Registered voters: 20,81 1,072 as of 29 March 1970
Significant exclusions from voting: none
Abstention: 35.7% in 1970
Extent of fraud: serious only in certain local and state elections
System of balloting: direct election
Member of UN, OAS, LAFTA
GNP: $42.5 billion (1970), $850 per capita (purchasing power parity
estimate). Real growth rate in 1970, 7.5%
Budget: $5.3 billion (1969)
Agriculture: self sufficient in virtually all foods at an average Latin
American level of food consumption; major crops and livestock commodities
are cotton, coffee, corn, wheat, beans, sugar, beef, and shrimp
Major industries: food processing, beverages and tobacco; chemicals
No Foreign Dissem
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including fertilizers and petrochemicals; textiles; metallurgy; and rapidly
developing industries producing machinery and equipment, including auto-
mobiles; along with Brazil and Argentina, Mexico has the most highly
developed industrial complex in Latin America
Electric power: 6,140,000 kw. capacity (1968); 22.5 billion kw.-hr.
produced (1968); 476 kw.-hr. per capita
Principal exports: cotton, coffee, nonferrous minerals, sugar, shrimp,
corn, petroleum, sulphur, salt, cattle and meat, fresh fruit and tomatoes.
Total 1970, $1.3 million
Principal imports: machinery, equipment, industrial vehicles, and
intermediate goods. Total 1970, $2.4 million
Exports to US: (1970) $970 million
Imports from US: (1970) $1.5 million
Other important trade partners: Japan, West Germany, France
Trade/aid: not a major recipient of US Alliance for Progress funds;
Total US loans and grants 1946-68: $1,153.4 million, of which $10.5 million
in military aid. Total assistance from international organizations (1946-68):
$1,097.7 million
US direct private investment: $1,459 million (1968)
Exchange rate: 12.5 pesos=US$1
Railroads: 12,900 miles, about 95% standard gage, remainder narrow
gage. 64 mi. electrified
Highways: 45,000 mi., including 26,600 mi. paved, 12,300 gravel, most
of remainder improved earth
Inland waterways: over 1,800 miles navigable
Pipelines: 2,405 mi. crude oil; 2,085 mi. refined products; 3,465 mi.
natural gas
Ports: 2 principal, 7 secondary, 20 minor
Merchant marine: 41 ships (1,000 GRT or over) totaling 356,700 GRT
(549,500 DWT)
Civil air: 87 major transport aircraft
Airfields: 1,816 total, 1,221 usable; 90 with permanent-surface run-
ways; 1 with runway over 12,000 ft.; 15 with runways 8,000-11,999 ft.; 195
with runways 4,000-7,999 ft.; 8 seaplane stations
Telecommunications: highly developed telecom system with extensive
radio relay links; communication satellite ground station; over 1.13 million
telephones, about 5 million radio and 2.2 million TV receivers, over 500 AM,
82 FM, and 69 TV stations
No Foreign Dissem
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DEFENSE FORCES
Personnel: army 64,000, navy 11,500, air force 4,275
Major ground units: 2 infantry brigades, 20 cavalry regiments (battalion
size), 1 mechanized cavalry regiment (battalion size). 52 infantry battalions,
2 artillery battalions
Loyalty to government: loyal and generally apolitical
US missions: none
US military aid: $10.5 million (1946-68)
Aircraft: air force 261 including 10 jets and 9 helicopters
Ships: 20 patrol escort, 1 large sub chaser, 3 auxiliary craft, 17 service
craft, 4 high-speed transports
Supply: produces small arms, mortars, ammunition and quartermaster
equipment; imports other materiel from US and Western Europe
Percent of national budget: 9.6% in 1969
RELATIONS WITH COMMUNIST COUNTRIES
Resident diplomatic missions: USSR, Poland, Yugoslavia, Czecho-
slovakia, Cuba
Consular missions: Cuban in Tampico and Merida (Veracruz believed
closed permanently)
Permanent commercial missions: Poland, Czechoslovakia, USSR, Cuba
Exports: under 1%
Imports: under 1%
Mexico IX-8
No Forei 7Psse
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