Mexico

Lesson 3 C Economy

Do Now Who do you think has a better economy?

United StatesMexico Give at least three reasons to support your answer.

Essential Question

What are the main characteristics of Mexico’s economy?

Vocabulary

Maquiladoras

maquiladora A factory located along Mexico’s northern

boarder with the United States.

Assembly plants where workers are putting together products from parts imported to Mexico.

Maquiladora continued…

How would you describe the economy of Mexico?

1. Read pages 185-187. Mexico’s Economy

Primary Industries

An economic activity that directly involves natural resources or raw materials

Farming and Mining are examples (corn, wheat, soybean,rice,coffee, tomatoes, and wood products.

3.9% of labor force is involved in primary industries.

Secondary Industries (Factories) Most factories are Maquiladoras

(assembly plants). Mexico City is the main manufacturing

center Products-petroleum, mining, textiles,

clothing, motor vehicle parts 32.8% of workforce is employed in

Factories

Service Industries

An industry where no goods are produced Hospitals, hotels, police, fire, restuarants,

transportation, banking Provide more than half of Mexico’s jobs

(63.4%)

Exports

Major exporter of oil since 1970 Export about 1.225 million barrels of oil

per day Huge exporter of assembled goods

manufactured in Mexico and exported primarily to US.

United United StatesStates

CanadaCanada MexicoMexico

GDP GDP

In DollarsIn Dollars16.2316.23

trilliontrillion1.474 1.474 trilliontrillion

GDP Per GDP Per CapitaCapita

In DollarsIn Dollars

$51,700$51,700 $42,300$42,300

UnemploymentUnemployment 8.1%8.1% 7.3%7.3%

exchange exchange raterate

US DollarUS Dollar Canadian Canadian DollarDollar

.99.99

Life Life ExpectancyExpectancy

78 years78 years 81 years81 years

United United StatesStates

CanadaCanada MexicoMexico

GDP GDP

In DollarsIn Dollars16.2316.23

trilliontrillion1.474 1.474 trilliontrillion

1.798Trillio1.798Trillionn

GDP Per GDP Per CapitaCapita

In DollarsIn Dollars

$51,700$51,700 $42,300$42,300 $15,400$15,400

UnemploymentUnemployment 8.1%8.1% 7.3%7.3% 5%5%

exchange exchange raterate

US DollarUS Dollar Canadian Canadian DollarDollar

.99.99

PesoPeso

13.1713.17

Life Life ExpectancyExpectancy

78 years78 years 81 years81 years 76 years76 years

NAFTA

North American Free Trade Agreement

An agreement between Canada, Mexico, and the United States that allowed the countries to trade freely with each other.

(NO TAXES ON IMPORTS)

Summarization Activity

How would you describe the economy of Mexico? What are the main characteristics?

Tell me 4 important things that you learned about Mexico’s economy.