Mexico -- Commerce; Mexico -- Economic conditions; Mexico -- Politics and government -- 1910-1946
Strangely enough, the strong in Mexico are not altogether contented
with this condition. Somehow business, with its awakening consciousness
to its helplessness, is finding the situation irksome. The greatest
single industry in Mexico to-day is oil, and oil pays about $50,000,000
a year in various taxes to the Mexican government--and for what? Almost
all of it for the privilege of doing business, and the result is that
oil is at the mercy, to-day, of government caprice and the caprice of
Mexican officials. The laws of the present era of Mexico are enacted
literally for the purpose of having a “club” of control over all forms
of business activity, laws to be enforced when it is convenient, or to
be “forgotten” when that is desirable. The oil companies spend time
and vast effort to keep their protests to the Washington and Mexican
governments in good order--so that the price of their privileges may be
kept low. The legitimate portion of their taxes is only about forty per
cent of the total sum they pay, but it is probably literally true that
they would pay all they now pay and more if they could dispense with
the rule of privilege and trade it for decent human rights to do decent
business in a decently governed country.
In this, these companies are fighting the fight of the individual
business man as well as the fight of their own stockholders. It may all
be selfish, and doubtless is, but by a strange turn of affairs, the
laws of Mexico have worked out to the creation of salable privilege
instead of defensible rights, and this has thrown all business into
the same group. The business problem of Mexico is literally the
achievement of this exchange of privileges for rights. And until that
exchange is effected, he is but a gambler who goes into Mexico to seek
or to offer honest business, for even though he should gain much sure
profit in the beginning, those profits will be more than wiped out
later unless the legitimate business of Mexico is given the legitimate
rights of business.
And how is this exchange of privileges for rights to be effected? This
is the problem that confronts American business and American government
to-day. The issue is joined clean and is simple indeed. The provisions
of the Mexican Constitution of 1917 and the laws which give it effect
remain on the Mexican statute books to-day because they are profitable
to the group in control of the government. They mean, literally, graft
and power, for where privilege is necessary for the carrying out of
business, there is a price on privilege, but where rights are provided
for business, the price and the prize are upon industry and activity.
Public-domain text, read in full here on John Shaqi.
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