Reserve credit, such as bills payable, sound real estate values and prospects of peace and good business years ahead, are comparable to the unseen sources of energy in the human body, on which that body lives and thrives during lean periods. Mexico’s lean period has now lasted for eleven long years, and in that period the country has been living literally on its reserves alone. Again and again one hears the expression, “Mexico is living on her fat,” and the continued marvel is that she has lived so long and survived such lengthened calamities through so many ghastly years of destruction. As this is written, there has been some appearance of regeneration, a noisily announced period of “reconstruction.” But as yet this is only an appearance. Actually while the wheels of business and life are running more smoothly for the moment, this is obviously a surface condition--deep down under the surface of Mexican life the wasted tissue remains. Mexico is not yet filling the interstices of her flesh with that reserve strength which is business credit and business promise. But why not help in the rebuilding, and thus take a risk which will probably bring great gain in the years of progress to come? The answer to this question must be based on a thorough understanding of the third of our three great issues--Mexican Government and Law as applied to business. The Mexican revolutions which began in 1910 had for their announced object, “Mexico for the Mexicans.” The idea was to bring the foreigner under control of Mexican law and government. This was eminently just--if it were true, as assumed, that under the Diaz régime the foreigners had been above the Mexican law. The facts were largely otherwise, however, despite some glaring abuses. In the working out of the idea of “Mexico for the Mexicans,” the revised as well as the entirely new legislation and procedure went far beyond the normal reaction against the alleged irregularities of the Diaz time.