State and Capital in Mexico
Series in Political Economy and Economic Development in Latin America
Series Editor
Andrew Zimbalist
Smith College
State and Capital in Mexico: Development Policy Since 1940, James M. Cypher
Central America: The Future of Economic Integration, edited by George Irvin and Stuart Holland
Struggle Against Dependence: Nontraditional Export Growth in Central America and the Caribbean, edited by Eva Paus
The Peruvian Mining Industry: Growth, Stagnation, and Crisis , Elizabeth Dore
Cuban Political Economy: Controversies in Cubanology, edited by Andrew Zimbalist
Rural Women and State Policy: Feminist Perspectives on Latin American Agricultural Development, edited by Carmen Diana Deere and Magdalena Len
The International Monetary Fund and Latin America: Economic Stabilization and Class Conflict, Manuel Pastor, Jr.
Available in hardcover and paperback.
State and Capital in Mexico
Development Policy Since 1940
James M. Cypher
is reprinted from Latin American Debt and the Adjustment Crisis , edited by Rosemary Thorp and Laurence Whitehead, by permission of the University of Pittsburgh Press and Macmillan Press Ltd., London. 1987 by Rosemary Thorp and Laurence Whitehead.
First published 1990 by Westview Press
Published 2019 by Routledge
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Library of Congress Cataloging-in-Publication Data
Cypher, James M.
State and capital in Mexico: development policy since 1940 / James M. Cypher.
p. cm.(Series in political economy and economic
development in Latin America)
Includes bibliographical references.
ISBN 0-8133-7546-0
1. MexicoEconomic conditions1918- . 2. MexicoEconomic policy.
3. Free enterpriseMexico. I. Title. II. Series.
HC135.C97 1990
338.972dc20 90-31850
CIP
ISBN 13: 978-0-367-28860-0 (hbk)
Por el futuro Martin, Quinn, y Micaela
For the past twenty-eight years I have traveled to and periodically lived in Mexico. As an extranjero I have enjoyed the advantage of association with nearly every social stratafrom descamisados in ciudades perdidas to members of the elite. These have been my maestros, and I owe them a great deal.
Since we met in Mexico in 1975, Ross Gandy, un Americano exilado, has provided steady support. He and Juanamaria Cantu have given advice on countless matters of a professional and personal nature. He reviewed the first three chapters of this book and listened and commented as I sketched out what remained. Like Mexico's foreign debt, mine to Ross is unpayable.
In 1981 I became intrigued by the impact of the petroboom and decided to devote a summer to researching its effects. The California State University system provided me with a grant to do so. Further intrigued after that episode, I accepted a position as invited professor of economics at the Universidad Autnoma Metropolitana, Iztapalapa, for the academic year 1982-1983. My intention then was to write this book. I arrived, however, only weeks before that fateful date that still brings shudders to all who know MexicoAugust 1, 1982. (Mexico then announced to an incredulous international banking community that it could not meet its foreign debt payments.) A period of intense economic and political turmoil then began. My research plans were rudely interrupted by a series of complex events that have taken me years to understand. My year at Iztapalapa was spent observing and puzzling over some of Mexico's more recent mysteries. At Iztapalapa I had a great deal of help. As a member of the faculty research seminar on Mexican political economy I participated in weekly workshops in which my colleagues and I presented our work. A more diverse, intelligent, creative, and combative group of political economists has never been gathered together before, I am sure. For their advice, criticism, and friendship, I thank all the members of the seminar. I owe a particular debt to Gregorio Vidal, the seminar leader, who is a perceptive analyst of the Mexican economy. Other members of the seminar, whose assistance has been of importance to me, are Victor Soria, Alejandro Toledo, and, most particularly, Daniel Cataife.
It was then that I met Professors Cristina Montao and Daniel Lund at Iztapalapa's Department of History. To them I owe a debt for many professional and personal favors. I also treasure memories of many idyllic jaunts shared in the beautiful sierras of Mexico.
Taking full advantage of a new program of support for research offered by the California State University system, I was able to devote a year of uninterrupted work to this project in 1988. I thank my colleagues and the administration at California State University, Fresno, for this precious year.
Dr. Fausto Burgueo, director of the Institute for Economic Research at the National Autonomous University of Mexico (UNAM) extended an invitation to join the Instituto as an invited professor of research in 1988. There I worked under the leadership of Dr. Arturo Guilln, director of the Seminar on Theory and Development. Arturo was a source of constant thoughtful advice on matters large and small, theoretical and empirical. His help was invaluable. Other members of the seminar were always generous with their time and advice. In particular I am grateful for many discussions with Clara Aranda Aranda, Leticia Campos, and Marina Chavez. Being at the Instituto enabled me to meet and learn from many of the best students of Mexico's political economy. Of particular help were Alonso Aguilar, Vctor Bernal, Sarah Angeles, Jos Rangel, and Elaine Levine.
The administrators and support staff at the UNAM provided me with every possible privilege and courtesy. In particular, the librarians at the Instituto did all that they possibly could to track down my numerous odd requests. During the years the Department of Economics at El Colegio de Mxico has provided me with a credential to use their wonderful library.
At Westview Press I have been greatly assisted by the editor of this series, Dr. Andrew Zimbalist. His comments and advice on this manuscript have been invaluable to me. His professionalism and generosity are greatly appreciated. It has also been a pleasure to work with Westview's acquisitions editor, Barbara Ellington, whose tolerance and forbearance I acknowledge.
Shirley Pennell has for many years been a most relied upon resource as secretary. She has helped in countless ways to keep this project moving. At just the right moment it was my great fortune to encounter Jennifer Heyne, who has served as all-around assistant, word processor, and producer of all the tables. Her cheerfulness and efficiency have been of immense help in the last stages of this work.
