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Puerto Vallarta News NetworkBusiness News | October 2009 

More Jobs is the Way Out of Mexico's Poverty
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PRI Director Beatriz Paredes Rangel and PRD Director Jesús Ortega Martínez (Cuartoscuro/Guillermo Perea)
National leaders from two political parties said last week that the only successful way to fight poverty in Mexico is by spurring the economy and creating jobs.

Institutional Revolutionary Party (PRI) Director Beatriz Paredes Rangel and Party of the Democratic Revolution (PRD) Director Jesús Ortega Martínez said in separate interviews that they will closely examine every detail of President Felipe Calderón's controversial economic package for next year.

However, Josefina Vázquez Mota, a federal deputy from Calderón's National étion Party (PAN), cautioned that if the plan isn't approved, the country will be severely damaged. She added that an opportunity would be lost to profoundly overhaul the Treasury and change the way it collects taxes.

Paredes found it particularly worrisome that the proposal lacks measures to create jobs and stimulate the economy.

"We think that programs to fight poverty are important, but the true way to combat it is by creating employment with revenue," Paredes said. "We're closely reviewing the package, but PRI deputies will provide more information once there's a consensus."

Martinez specified that the only solution to poverty in Mexico is the creation of "decent-paying" jobs that will help spur economic growth."We are against the 2% tax on food and medicine, but advocate a progressive increase of the income tax (ISR). People who make little money should have their ISR payments lowered while sectors that make more should be subjected to a tax increase," he said. Under these circumstances, he explained, up to 28-30 percent of the population could be eligible for an ISR tax increase and 28 percent for a decrease.




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