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Mexican Factories, Globalization, NAFTA; A journey in the fields of broken dreams

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Message Ray Tapajna
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As a trouble shooter supplyer  for major corporations, we reviewed many industry and technology publications. In 1992, we came across an article in a computer source periodical that had an article about the Maquiladora factory program in Mexico. It showed how a company could move their production there. One of several options was to just pay contractors to do all the work which included the factory site itself at a low hourly rate. This in itself was tragic. However, we found out more about our government part in the process.  The U.S. Federal Government sponsored the moving of factories outside of the USA starting in 1956. This was the same year when the Suez Canal crisis exposed a serious international money crisis.

The factory program was supposed to be just a temporary program to test the waters. It never ended and evolved into the Maquiladora factory program and subsequently so called free trade with the passing of NAFTA and GATT trade agreements.  The program supposedly was to test the moving of production to cheaper labor markets like Mexico in order to create exporting nations that were in debt to international banks and money sources. At the same time, consumers in the United States were able to enjoy cheaper prices on commodities.   The temporary test that never ended was a failure from the start.

By 1992, prior to the passing of the free trade agreements, more than 2,000 factories were moved to Mexico. In 1994, President Clinton following the programs designed by the elder President Bush, steered a Democratic controlled congress to pass both NAFTA and GATT trade agreements.  He forced the passing of GATT in a lame duck session of Congress after the - Contract with America Republicans - won office and were ready to take over in January. 

After NAFTA and GATT were passed the number of factories moved to Mexico, quickly doubled to more than 4,000.  Soon after that, President Clinton had to bail out the Mexican peso and the Mexican economy.  Congress would give him only twenty billion dollars but he said he would find more money sources in the international financial community. 

So the first economic stimulus program went to a foreign nation and proved that free trade was a failure from the start. President Bush, the second, took over and hid our economic crisis behind his shock and awe wars. He did this while pushing for more free trade agreements and fast track legislation.  American workers were openly betrayed.

During the debate about a new economic stimulus package towards the end of President Bush's time in office, Federal Reserve Chairman Ben Bernanke told Congress that the best way to use the stimulus money was to buy " domestically produced goods."  The major news channels ignore this remark while our economies based on making money on money instead of making things was burning out.

President Obama took over and acted as if there was only one major party in America that should be called the Globalist Free Trader party. He bailed out the banks and the financial communities that caused most of the problems and put them back in charge. He did this while ignoring the severe suffering of the unemployed and underemployed. He did nothing for them.  He married big money to big government instead.   Now as we wait for the next big economic bubble to burst, the suffering of the working poor and jobless continue.

See our main sites for more resources and background information at and and join our journey in the fields of broken dreams in the global economic arena. 

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