Posts by Edgar Ortiz
Two Economic Fallacies in Trump’s Anti-Trade Speech
Why are Trump’s anti-trade arguments invalid?
Read MoreMexico’s Flattening Yield Curve: A Crisis Sign?
What are the chances of Mexico entering into a recession?
Read MoreTwo Reasons Why The Mexican Peso Appreciated in 2017
The Mexican peso has recovered much of the value it lost in 2016. Find out the reasons that explain the pesos appreciation here
Read MoreBank of Mexico: Bread Today, Hunger Tomorrow
This year Banxico will report operating losses and the Mexican government will no longer have another “gift” in 2018.
Read MoreCheap Oil and Why OPEC Can’t Do Anything About It
Beyond the behavior of speculators or OPEC—which some consider a cartel, if there is anything we can learn is that the fall in oil prices responds to the forces of supply and demand. On the demand side, lower economic activity throughout the world, specially in China, has lowered the price of oil. Projections by the International Energy Agency show how demand weakened in 2014, although it rebounded in 2016.
Read MoreCorrea’s Ecuador Versus Peru
It seems that 2006 was a long time ago—the year when Rafael Correa was not yet president of Ecuador. Nevertheless, there was an Ecuador before him: a troubled country that had seven presidents in only 10 years. With elections just around the corner, what economic model will mostly benefit Ecuadorians?
Read MoreWhy Didn’t the Depreciation of the Yen Help Exporters?
Why didn’t the depreciation of the yen help exporters? Primarily, because large exporters are also large importers.
Read MoreTrump’s Victory Confirms the Peso’s Weakness
As long as people are pessimistic about the future of the Mexican economy, the peso will continue to fall. It is still uncertain what Donald Trump’s government can and will do.
Read MoreThe Strengthening of the Dollar and the Upcoming US elections Mean Tough Times for Mexico
Since early 2016, producer prices have been growing at increasing rates. High production costs create another obstacle for the struggling industrial sector.
Read MoreThe Strengthening of the Dollar and the Upcoming US Elections Mean Tough Times for Mexico
Another measure affecting the industrial sector is the Producer Price Index, which does not bring good news for industries. Since early 2016, producer prices have been growing at increasing rates.
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