Mexico as a Hideout this Decade
Citizens of the world have always loved Mexico for its sunny weather, fresher food, unique culture, friendly people and lower cost of living
A lot of people (myself included, initially) have moved from Europe or North America to Mexico on a more permanent basis to escape the strict government measures during 2020-2022. Mexico never closed their border during the whole ordeal and didn’t require any protocol for incomers. The only thing was an online form saying that you weren’t sick, which never even loaded properly and only about 30% bothered filling it out. The CovAIDs protocol here was “spend your money on our resorts and feel better”
Mexico truly became ‘the place to be’ to weather this storm of governmental tyranny & they profited immensely. One can assume that during the next global fiasco, that the response from Mexico may be the same. On this point, and given everything I’ve seen, heard and felt about my many many months in Mexico, I can attest that Mexico is a very interesting place to be amid global commotion.
Below I outlined 28 reasons, with a little overlap, why I think Mexico is a great country for a bolthole across this decade and to hedge against geopolitical risk. I hope to have inspired your curiosity and feel free to contact me to inquiry further.
I’ll start by saying that I am not paid by a travel agency to write this nor incentivized by local taco restaurants or family here. I also want to say that this is my own understanding from doing research, reading, travelling, speaking to locals (in both poor and rich areas), listening to many podcasts & having interpersonal relationships in Mexico. I want to lastly say that Mexico is not a place that’s deprived of faults. Yes, there are bad things that occur unfortunately, so please take a realist approach. There’s pros and cons to everything.
- Mexico is quite neutral on the global stage. I saw a meme showing a pig playing with all sorts of animals labelled all different types of countries and ‘Mexico’ is written on the side of the pig. Trade carries on with many countries of both ‘East’ and ‘West’ affiliations. Mexico even has tariff agreements with the EEA (Switzerland, Iceland, Norway and Liechtenstein). I asked many people “who do Mexicans least like in the entire world? Americans? The Spanish? The Mayans? The Argentines (from soccer)? The answer invariably comes back “Other Mexicans…”
- Mexico has a major customer next door. Approximately 78% of export trade is sent North to the USA. As long as those dollars come south, goods and services go North. Approximately 90% of the cars made in Mexico, head North. The USA and Mexico are connected by blood as well, so a lot of back-and-forth with people occurs everyday. Additionally, it’s sad to say, but USA and Canada are a major consumer of illicit substances as well so where there’s money to be made… (subscribers get access to researched & scary posts on this!).
However, as part of a larger trend you’re seeing as the production and hence, economy is happening in Mexico. More and more manufacturing/industrial companies are leaving the US, Taiwan & especially China and electing to go to Vietnam and Mexico. My larger macroeconomic outlook is that Mexico is a recipient to China’s continual downfall.
Mexico offers a young, hard-working sample of employees while being able to cut operating expenses. This major customer print up dollars & indirectly send them for electronics, toys, food and steel produced right here in Mexico. Would you rather be in the place with jobs who produce, or reliant on the producers? - Combatir el Fantasma –Which means “Fighting the Ghost”. Many people have the notion that “the Cartels” are a designated group like blue and red uniforms. The reality is far from that truth. The ice cream man, the owner of a grocery store, the state governor, the Uber driver could be on payroll—all you’re getting is a friendly, respectful person. It’s estimated that the cartels are the 5th largest employer in the country. While this is undoutedbly a major problem, the core result is that the Mexican economy is immensely resilient. Markets resume no matter in good or bad times or restrictive laws or not. In that sense, it’s a TRUE free market. I have suggested this to locals as well who agree that money finds a way around the economy much easier.
- Mexicans are very tough people. I’ve seen enough labour work in 30 degree weather, heard enough stories of fortitude and witnessed enough resiliency to make the judgement that to make a generalization, there are not many sulks there (even though I still tease the guys for singing so much). This is very important for when the going gets tough. They even named a style of boxing after them!
- Mexicans will work–hard. Many of them seek jobs and are happy to work diligently. There is a fierce competition to get into their favored classes/times in school with the idea of getting a better job. Employment law here is not too kind forcing them to sometimes work on Saturdays, too. Funnily enough, Mexicans often complain that other Latinos or other races are lazy—but it’s just because they’re like a workhorse! Easy for Jamaicans to call everyone a slow runner. Comedian Theo Von made the joke, “Give me 3 Mexicans to build a table and we’ll be eating lunch early, bruh!”
- Spanish is a common language. While my Spanish remains abysmal, it is the 4th most common language in the world– roughly 8% of the world speak it. It is a relatively easier language to learn if you’re started from English, more-so relative to French, Portuguese or German.
- Guns. Mexico has immensely strict gun laws. In fact, there are only 2 gun stores in the country! For many years, there was only one. The reality however, is that in some states there are many guns owned by lots of people. While I don’t endorse illegality, the point I’m trying to make here is that should danger strike here, the locals are well equipped.
- Purchasing power. If you’re coming from an Anglophone or EU country, chances are your purchasing power is improving by coming here and converting it to pesos. This means that you’re able to get more food, more rent, more square meters, more entertainment for a fraction of what you’re used to. More money saved which means you’re better off for a rainy day. I figured that someone of retirement age in Canada can cut their living expenses by an easy 30% (3000 a month down to 2000 a month) and live even more comfortably. [Note: since writing this, the influx of foreigners has improved the strength of the peso relative to USD and CAD].
- Prior Events. Best predictor of future behaviour is past behaviour. Mexico has shown some resiliency during the lockdowns. In 2020 and 2021, Mexico caught a lot of recognition for being open without needing a bogus PCR test, quarantine or requiring an injection. I’ve noticed that many countries may have initially adopted this policy but ultimately implemented some sort of measure 12 or more months later. This was apparent in South America and Africa which tells me that the powers that be may have not enjoyed anyone remaining open for whatever political or monetary reason. The fact that Mexico stood its ground tells me that it’s capacity to set its own rules without foreign influence are high.
- Great weather. Who doesn’t love sunshine? I’ll go further though, that Mexico fills the void for one who enjoys other landscapes other than beaches. Mexico has many vast parks, rainforests, mountains, desert, farmland. It helps for someone moving to Mexico to feel at home. This great weather point is interesting because your heating bill does not exist and your need for new winter clothes, shovelling, winter tires is not present either. Your fan or AC bill will surely be less than heating your home in January.
- Very difficult to subvert. There may be some movements attempted by the Chinese, but the reality is that Mexico is a very-unique culture. It is very traditional and has a very conservative, catholic culture. Superstition runs deep here. Deep. Perhaps you’re reading this because your country has been subverted! I do not see a foreign influence overtaking Mexico within the next 20 years at least. Mexican ways remain in place.
- Onward from the 11th point is that a politically correct (PC) culture doesn’t really exist here. (Bad) Words really pack a punch here, but you don’t have to be hyperaware about censoring your speech. Instead, people just try not to be rude. There’s lots of jokers around Mexico. Turns out when real poverty and fierce competition for a good job exists these are bigger problems than words.
- Food. Not only is it very good, but food is plentiful here. When shortages hit during 2021/2022, I didn’t witness any reduction in groceries at all. A lot of food is produced locally. This ties into the 3rd point. A lot is fattening no doubt, but if you are looking at a global depression type scenario, perhaps thats not a large problem. Their diet is very corn/maiz-based and lots of meat, dairy, fruit and veggies are always available. In the event that the US economy radically contracts this would without a doubt hurt Mexico, but it would simply mean these food products would be sold domestically instead.
- Debt. Mexico has managed it’s Debt to GDP quite well. As of March, 2023 it stands at 57%. This vastly outperforms many developed countries running the printing press hot.
- Mexico is a place where the traditional ‘Right vs. Left’ politics don’t really exist. In the USA for instance, everything holds a political debate because the state is involved in everyone’s lives to a great extent. People from Tennessee and California simply do not see eye-to-eye on most matters. Life in Mexico is not so politically charged. Yes, there’s lots of politics, but you have to go looking for it.
- As is the case in other Latin American countries, bureaucracy is tremendous and often stupid at best. The result, is that people tend to find ways around problems or simply just ignore them. I’ve exchanged money at airports or even travelled (domestically) without providing my passport. Was anyone hurt? No. Was anyone fired? No. Was I free to remain private for a transaction I felt necessary. Yes. Did we exchange at the agreed upon rate? Yes. Like I said, a true free market.
No problems. Ironically, things can work smoother than in the highly regulated, structured society. This point makes you start questioning everything! - The stereotype of Canada is that they are friendly people, although I’m sorry Canucks, I think the Mexicanos have you beat. Everyone is really truly friendly & easy-going—From Chihuahua to Veracruz–From the barrios pobres (slums) to the rich areas. Even though some bad words carry a bigger ‘punch’ & in some sense people are very literal in their speech–if they’re nice, they mean it.
- Having said that Mexicans are hard workers, friendly people with a conservative society–there is also an immense number of gringos fleeing North America or Western Europe and hoping to settle. Mexico is mostly Mexican but you have pockets of communities. So if you are from the Netherlands, you will find Dutch communities here. Makes it easier to get together. You will have some familiarity if you’re in this category.
- Mexico is for Mexicans, however. In many areas of the world they are witnessing the results of multicultural flair-ups between opposing countrymen or tribes. Turns out Eritreans bring their problems with them and do not suddenly become Norwegian. While you can find your country-men here, a significant majority of Mexicans identify with their own people so there is no other group. Mexicans view you as exotic, a person with money or a person to practice English. I do not see this changing as there have been immediate outcry over the rapid immigration to Mexico City and again their conservative streak. Adopt our ways or get out is the attitude. I believe this will continue for three reasons.
A) Mexicans are conservative and simply don’t want more homeless around & they’re serious about it. B) The state, is quite literally in disarray and does not have the capital to fund and support any newcomers & C) The psyche of the migrant is not thinking Mexico as the place to be. Hondurans drink the Kool-Aid that the US is and always will be the closest to Heaven on Earth. They will do what they can to get there and they do not see the benefits of hanging around Mexico. - Mexico has a tremendous level of social inequality. If you’re reading this from the EU or USA/Canada you really don’t understand the gap until you come here with keen eyes. Let me say that again, You do not understand what social inequality looks like.On the same street you can encounter severe poverty and someone who’s hired a personal police escort. It’s unpleasant, but the attractive part for you is that you’re far more likely to fall into the latter group than the former. A house on the hill in the upscale subdivision seems like an impossibility in California, here, it’s not too far from being attainable in 5 years. Don’t believe me? Than why do they call Tijuana, San Diego 2.0 now? Many have said that the middle class are being eradicated everywhere. If that’s the case, than they’ll be few places with a middle class–so it’s better to be in the upper bracket, than the lower bracket and this is more of a possibility in Mexico.
- Energy. Mexico is a very energy diverse country. There are oil & gas fields in the Central Mexico & in the Gulf. Much of their utilities are done using natural gas and nuclear energy is present and growing (I know someone in this industry who says there’s no sign of slowing up), lithium for battery technologies are a huge commodity here (just nationalized), they have coal, hydropower and biofuels as well. Perhaps the infrastructure is sub-par from what you’re used to, but in collapse-like scenarios, Mexico is going to carry-on cooking steaks. [I wrote this after there were concerns about “gas burners in the USA” (absolutely mental) and I passed by a massive blow torch, torching pastor meat… as I said, things carry-on here].
- Cash. Solo Effectivo, Joven. Cash is completely imbedded into the society given its strong voluntaristic culture. There are many places that only accept cash payments from rent to restaurants to convenience stores to rental or utility payments. ATMs are plentiful and used readily. The idea of a CBDC working here is simply laughable.
- The Disaster has already hit here, 20 years ago. I’ve had this conversation with someone who was very cognizant of a World War 3 type situation who have eluded that Mexico has already figured itself out in chaos. Criminal organizations have established territorial control & transit routes over areas amid prior crises. Yes these disputes still exist on state borders, but much of Mexico has been normalized compared to the drug wars 20 years ago. In the event there is a “Mad Max” type event in the United States or Europe, this chaos amongst criminal insurgencies would just be getting reared up and last for decades.
- There is no sense that problems are occurring in the economy. The psychology of people are spend, eat, drink, buy, see friends, spend some more. OnTheBall Travels has been to many countries and states (still doing reports on the findings) and we can confidently say Mexico has the best confidence for spending–restaurants and cafes being packed every day is not uncommon. Life goes on here and spending behaviours have not changed all that much compared to other countries forced to budget.
- Somewhat in line with the spending narrative–If you travel the country you will see an immense amount of construction taking place. This may be malls, apartment complexes, corporate office buildings or even arenas. I have spoken with some locals who have noted that there are a lot of extrañjeros (foreigners) coming to Mexico (namely, Mexico City, Quintano Roo and Jalisco). Due to this, there’s a lot of demand for new apartments as there’s more buyers entering the market. As a country that produces a lot of steel, this may be a sign that they are headed in the other direction as the global economy continues to contract.
- Family is very important here. I make a joke that people don’t go to the mall, the cousins, the grandmother, the grandchildren, the dog, the parakeet, the roosters all come too. Family stick together for problems (or celebration). I can’t recall how many parties I’ve seen about double as large as my graduation party. This is not about partying–rather it is about their culture that supports each other in need. While not exactly a libertarian ideal, it does form a more resilient society on a community level.
- Signal the cancel alarms. Latinas. This is mostly for Single fellas–but in my experience, Latinas are not consumed by the “be your own female CEO” or “Don’t need no man” mentality and because of the previous point–they would like their own family. They will give respect, if they get respect & aim to have loyal, long-term relationships. I know for a fact a lot of Western men are seeking women more family oriented or at least something beyond endless Tinder swipes–perhaps they have increased chances in Mexico.
- Healthcare. Just the other day I went with someone for a Doctors appointment to see a specialist. This appointment was arranged on WhatsApp simply on 3 days notice and at 9PM when it worked for both of them. The clinic was no older than 3 years old, too. I’ve also gone to the doctors following a rash– I paid a private hospital to be seen within 30 minutes and received two prescriptions, with cash. This is an impossibility in Canada or the United States.
I hope that I have taught you some things about Mexico or changed your mind on how this can be a place for you & your family.
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