PS2

**Brainstorming**
Government, Mexico, promote, Mexican products, consume, support, responsibilities, bureaucracy, foment, quality, less cost, create, entrepreneurship, jobs, control, support local commerce, restrict import, privatize PEMEX, credit cards, global trade.

Thesis statement
Because the economic crisis in Mexico, the government ought to control personal credit, support entrepreneurship, and strengthen global trade.

Outline
I. Since credit cards use “virtual” money to buy things, the government ought to promote granting personal credit, specifically credit cards, to responsible costumers.

a. Debts not paid b. Limiting access to credit cards to eighteen-years-old young people

II. In order to reactivate the Mexican economy, the government should facilitate entrepreneurship.

a. Facilities to entrepreneurs b. Avoid bureaucracy

III. Because global trade creates jobs and promote national economy, the government should strengthen  an open economic system.

a. Open trade as a solution b. Benefits derived from open trade

**How to Solve the Mexican Economic Crisis in Three Steps by Alejandro Perez** What would have happened if the Mexican peso had not devaluated almost two decades ago? The economic crisis in Mexico started in 1994. “A combination of events – an increase in US rates, political ferment and presidential elections in Mexico, plus capital flight from Mexico which was prompted, in turn, by lax monetary policy during the last weeks of the Salinas administration – all helped contribute to, and culminated in, a collapse of the peso at the end of 1994” (Springer & Molina, 1995, p. 57). Since that year until now, Mexico’s economy has not completely recovered. Because the economic crisis in Mexico, the government ought to control personal credit, support entrepreneurship, and strengthen global trade. Since credit cards use “virtual” money to buy things, the government ought to promote granting personal credit, specifically credit cards, to responsible costumers. “When a costumer makes unrealistic assumptions about the future, he can make costly mistakes” (Luck, 2011, p. 2). Sometimes, costumers spend more than they are able to pay, so it causes they cannot pay their debt with the bank. According to Luck (2011), “The Credit CARD Act brings tighter regulation to the substantive terms of all consumer credit card contracts and limits access to credit cards by eighteen- to twenty-one-year-olds” (p. 3). Mexico could adapt this model by changing the age to grant credit cards. Although the legal age in Mexico is 18 years old, people on this age are still very young and inexperienced enough to manage personal credit responsibly. This proposal will bring stability to the Mexican economy, but to boost the economy it is necessary to support enterprise. In order to reactivate the Mexican economy, the government should facilitate entrepreneurship. A borrower group facilitators is a group of trained professional who assist entrepreneurs with their needs (Prince, 2007). This group will provide entrepreneurs the tools they need; they will avoid one of the main obstacles of entrepreneurship: lack of support. This group also links entrepreneurs to key personnel, such as, lenders, government, successful and experienced entrepreneurs that give advices to new entrepreneurs, etcetera (Prince, 2007). The implementation of this group will avoid bureaucracy, which is another obstacle of entrepreneurship. This solution is related to trade, and opening trade with others countries is another solution to economic crisis. Because global trade creates jobs and promote national economy, the government should strengthen an open economic system. “An open economic system can be a key to improving the lives of people in both poor and rich countries because it can reduce poverty and improve living conditions” (Hartmann & Kirn, 2007, p. 119). Mexico currently has open trades with many countries; however, these trades have not been exploited as they would have to strengthen Mexico’s economy. “For developing countries, open trade means that people have access to essential goods such as food, clothing, and fuel (for transportation and heat)” (Hatmann & Kirn, 2007, p. 119). Open trade generates jobs derived from import and export, which meet Mexican citizens’ needs. The cure for poverty is employment and global trade is a tool that generates jobs. It is possible to rescue Mexico from economic crisis. Controlling personal credit, supporting entrepreneurship, and promoting global trade offer solutions to solve the Mexican economic crisis. Employment is the key for a healthy economy; therefore, if the government strengthens open trade, it will decrease the economic crisis. The Mexican economy, as the rest of the world, is fragile, but it is possible to make strong the economy of the country. A responsible management of both natural and financier resources will improve the economy and the life of Mexican citizens as well. **References** Hartmann, P. & Kirn, E. (2007). Interactions 2 Reading. New York: McGraw-Hill ESL/ELT. Luck, Z. (2011). Bringing Change to Credit Cards: Did the Credit CARD Act Create a New Era of Federal Credit Card Consumer Protection?. //Harvard Law & Policy Review, 5//(1), 1-15.

Prince, J. (2007). Promoting Consumer Empowerment through Entrepreneurship: A Proposal. //Psychiatric Rehabilitation Journal, 30//(3), 223-225.

Springer, G. & Molina, J. (1995). The Mexican financial crisis: Genesis, impact, and implications. //Journal of Interamerican Studies & World Affairs, 37//(2), 57-81.