Mexico - Basic economic report (Vol. 2 of 6) : The past

1972/174 DOCUMENT OF INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION Not For Public Use Report No. 192-ME slT1iN TX L;A & GC FILES THE ECONOMY OF MEXICO A BASIC REPORT (In Six Volumes) VOLUME II THE PAST June 27, 1973 Latin America and the Caribbean Department This report was prepared for official use only by the Bank Group. It may not be published, quoted or cited without Bank Group authorization. The Bank Group does not accept responsibility for the accuracy or completeness of the report.  CURRENCY EQUIVALENTS us$1 = Mex$12.5 M ex$1 = uS$0.08 Mex$1 millici = US$80,000 FISCAL YEAR January 1 - December 31  192-liE THE ECONOMY OF MEXICO A BASIC REPORT (In six volumes) VOLUME II THE PAST June 27, 1973 Latin America and the Caribbean Department   CONTENTS Chapter Page M&PS I. THE BACKGROUND 17 A. INTRODUCTION 17 B. THE PHYSICAL ENVIRONMENT 17 C. DEMOGRAPHY 19 D. THE ECONOMY BEFORE 1940 25 II. MACRO-ECONOMIC GROWTH : 1940 - 1970 40 A. THE SEQUENCE OF GROWTH 40 B. THE CAUSES OF GROWTH 40 III. STRUCTURAL CHANGE AND SECTORAL DEVELOPMENT : 1940 TO 1970 61 A. INTRODUCTION 61 B. AGRICULTURE 62 C. INDUSTRY 66 D. SERVICES 76 E. CONCLUSIONS 76 IV.o TRENDS IN CONSUMPTION : 19h0 - 1970 82 A. INDICES OF PERSONAL CONSUMPTION 83 B. THE INTERPERSONAL DISTRIBUTION OF INCOME 89 C. THE GEOGRAPHY OF CONSUMPTION 97 BIBLIOGRAPHY  LIST OF MAPS 10415 General 10454 Physiography 10455 Climate 10456 Population 1900 10457 Population 1921 10458 Population 1940 10459 Population 1960 10460 Population 1970 10461 Population Increase 1950-1960; 1960-1970 10462 Rural Population Density 1930-1960 10463 Agriculture 1960 10464 Irrigation 1957-1966 10465 Total Service Activities 1965 10466 Total Commercial Activities 1965 10467 Petroleum Pipelines and Processing Facilities 10468 Mining and Manufacturing Activities 1965  LIST OF FIGURES II-1 Hypothetical Pattern of Government Expenditures. TT-2 Public Investment by Presidential Term 1929-64. II-3 Land Distribution by Tenure 1960.  LIST OF TABLES II-I-1 Demographic Changes in the XX Century. II-1-2 Age Specific Fertility Rates and Gross Reproduction Rates,Selected Years (per woman). II-I-3 Gross Reproduction Rates for Mexico and Mexico City. II-I-4 Population by States, 1950-1960-1970 and Intercensal Growth Rates. II-I-5 Foreign Investment in Mexico, 1911 (in percent by category of investment). TT-I-6 Foreign Investment in Mexico, 1911 (in percent by country). II-I-7 Exports 1877-1911. II-I-8 Minimum Daily Wages, 1877-1911 (in cents: constant 1900 prices). II-I-9 Growth of Population and Work Force,1895-1910. II-I-10 Indexes of Financial Development Prior to 1940. II-I-11 Average F ercent of Federal Budgetary Expenditure by Type of Emphasis and Presidential Term. II-I-12 Recipients of Land by Presidential Term Since 1915. II-II-1 Savings and Investment, 1940-70. TT-II-2 Fixed Investment by Purchaser, 1940-71. II-II-3 Money Supply and Velocity of Circulation, 1940-70. II-II-4 Fixed Income Liabilities in Terms of Securities Issued by Banks. II-II-5 Federal Government Income. II-II-6 Direct Foreing Investment in Mexico. II-II-7 Industrial Wages (hourly wages). II-II-8 Incremental Capital-Output Ratios, 1940-72. II-II-9 Demand Growth Factors.  ...List of Tables II-III-1 Gross Domestic Product in 1960 Pesos, Economically Active Population and Productivity Per Worker, 1950-1970. II-III-2 Proportion of Controlled Imports in Total, 1956-64. II-III-3 Net Nominal and Effective Protection for Major Product Categories in Mexico, 1960. II-III-4 Share of Subsectors in Total Manufacturing Value Added (1950-1970). II-III-5 Characteristics of M4anufacturing Subsectors, 1965. II-III-6 Structure of Manufacturing Industry, by Region, 1965. II-III-7 Structure of Traditional and Modern Industries, by State, 1965. II-III-8 Ownership of Manufacturing Plants According to Location. II-III-9 Stability of Urban Hierarchy. II-III-10 Urban Popul ation, 1940-1970. II-III-11 Value Added and Economic Structure by State, 1965. II-IV-1 Consumption Indicators, 1940-1970. II-IV-2 Distribution of Family Income by Deciles in Mexico, 1950, 1958, 1963 and 1969. II-IV-3 Rural (Monthly) Income Level and Distribution, 1969 (1958 prices). ii-iv-4 Urban (Konthly) Income Level and Distribution, 1969 (1958 prices). II-IV-5 Gross Domestic Product and Per Capita Government Expenditures for Selected years (in Pesos of 1950). I-i-\v-6 Rural-Urban Contrasts in Education and Health Services. II-IV-7 Consumption of Selected Goods and Services, 1970. II-IV-8 Correlation of Income and Consumption: Regional Distribution (by States). II-IV-9 Regional Variations in Economic Structure and Income Level. II-IV-10 Income and Income Distribution, 1969.   BRD10415 I : R-DhE GUI F OF M\XJCC _ MEXICOwlS t b. ws< ;'w@ s f _ W f / q i W ; i W i ii!&lUt . m1t t u ; 0 iT' Ir _ nS X i i r!N'D :V r:: X ~; - w w R 1 ___ ~ ~ 4/A t tsE^fw y l