exico's economy is a mixture of state-owned industrial
plants (notably oil), private manufacturing and services, and both
large-scale and traditional agriculture. In the 1980s Mexico experienced
severe economic difficulties: the nation accumulated large external debts
as world petroleum prices fell; rapid population growth outstripped the
domestic food supply; and inflation, unemployment, and pressures to
emigrate became more acute. Growth in national output, however,
appears to be recovering, rising from 1.4% in 1988 to 3.9% in 1990.
The US is Mexico's major trading partner, accounting for two-thirds of
its exports and imports. After petroleum, border assembly plants and
tourism are the largest earners of foreign exchange. The government, in
consultation with international economic agencies, is implementing
programs to stabilize the economy and foster growth. In 1991 the
government also plans to begin negotiations with the US and Canada on a
free trade agreement.

_#_GDP: $236 billion, per capita $2,680; real growth rate 3.9%
(1990)

_#_Inflation rate (consumer prices): 30% (1990)

_#_Unemployment rate: 15-18% (1990 est.)

_#_Budget: revenues $44.3 billion; expenditures $55.2 billion,
including capital expenditures of $7.8 billion (1989)

_#_Exports: $26.8 billion (f.o.b., 1990);

commodities--crude oil, oil products, coffee, shrimp, engines,
cotton;

partners--US 66%, EC 16%, Japan 11%

_#_Imports: $29.8 billion (c.i.f., 1990);

commodities--grain, metal manufactures, agricultural machinery,
electrical equipment;

partners--US 62%, EC 18%, Japan 10%

_#_External debt: $96.0 billion (1990)

_#_Industrial production: growth rate 5.3% (1989); accounts for
27% of GDP

_#_Electricity: 27,600,000 kW capacity; 108,976 million kWh produced,
1,240 kWh per capita (1990)

_#_Industries: food and beverages, tobacco, chemicals, iron and steel,
petroleum, mining, textiles, clothing, transportation equipment, tourism

_#_Agriculture: accounts for 9% of GDP and over 25% of work force;
large number of small farms at subsistence level; major food crops--corn,
wheat, rice, beans; cash crops--cotton, coffee, fruit, tomatoes; fish
catch of 1.4 million metric tons among top 20 nations (1987)

_#_Illicit drugs: illicit cultivation of opium poppy and cannabis
continues in spite of government eradication efforts; major link in
chain of countries used to smuggle cocaine from South American
dealers