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Economy
Mexico is a developing country with an economy based on the extraction of crude oil, the transfer of funds from the Mexican emigrants working abroad, tourism, and intensive industrial, mining and agricultural activities.For many years, oil has been the main source of income for the public sector;
nevertheless, world prices and the lack of investment in search of new oil fields turn this natural resource into an issue that will affect the health of the economy in the years to come.
On the other hand, the funds transferred to their families by the labor force that
migrates north into the United States have become an income of the outmost importance
within the Mexican economy.
The services sector, tourism in particular, is another major contributor in the
Mexican gross national product. The country offers as much as 26 places considered
natural or cultural heritage of the world, and has also dedicated much time and effort in
developing various specialized areas of tourism, such as bird-watching, extreme sports
or culinary trips.
Industry is one the most important activities in the country, and it employs a fourth of the economically active population; automobiles, cement, steel, textiles, chemicals and drinks are some of the major activities within the Mexican industry.
Mining represents another important field of economical activity, silver in particular as
Mexico is the biggest world producer of this precious metal. Regarding the agricultural
sector, corn and beans, the base of Mexican diet, represent the two products with the largest crops, followed by coffee, potato, tomato, plantain, sorghum and sugar cane.
Mexico is the country that has signed the most international trade agreements
globally, but the United States of America is still its major import-export associate.
Mexican main exports are crude oil, machinery, textiles, coffee and chemical products.
Despite the fact that the country's economical expansion has held a steady rhythm in the last few years, this has not been enough to improve competitiveness and
reduce poverty, both in urban and rural areas. According to the World Bank, $7,310 dollars was the average annual income per person in Mexico at the end of 2006. The local currency is the Mexican Peso, which has kept its relative value during the last 10
years, and which presented an exchange rate of $10.7 pesos to the dollar in the first
trimester of 2007.
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