12 Comments

This is the maquiladora idea, as old as 1964:

https://en.wikipedia.org/wiki/Maquiladora

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Can these be city-sized with governance service providers distinct from the factory owners?

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Nothing could happen without removing the scourge of the border, the cartels. They have shaken down every enterprise in Mexico, including the border maquiladoras. Outside of Mexico City there are a few Potemkin islands for tourists, but having lived here for three years, I can attest that Mexico is a Third World country, with corruption from top to bottom. The Mexican people are the loveliest in the world, but their nation is a shithole.

Some evidence: https://www.washingtonpost.com/world/2024/05/23/mexico-cartels-tortilla-exortion-crime/

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So sad to read this, where did you live? I’m in Puebla.

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I’ve actually read the third one. Thanks. So what do you think the solution is?

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The middle class is the solution. That is, the poor will go with any rulers to survive; the upper class will repeat the historical platitudes about "la revolución" while sucking the blood out of those below. But eventually a slow economic improvement will create a middle class that is both materially and ideologically capable of forcing a change. This won't happen any time soon.

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"Wasn’t it the stoic philosopher Seneca who said if you have lemons, make lemonade?"

—It totally was.

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Another Network State.....

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As with most things that sound too good to be true, so do Free Cities. These maquiladora cities are exclusively on the Mexican side of the border, and thus mostly under the control of Mexico, whose governmental incompetence is responsible for the conditions under which Mexican workers and companies fell into the condition that generate the massive desire for migration.

Most US companies that operate in the maquiladora, while justifying the practice cost-wise, experience massive turnover of workers which reduces the cost savings as well as quality control. If not for massive subsidies from the two governments most would have abandoned their investments. They have served as staging areas for the smuggling of illegal immigrants and drugs as well.

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I don’t wanna be too sanguine about this, but I’m referring to a completely different model, one with different institutions and infrastructure. There may be something particularly bad about this region along the border that would cause problems, say with drug cartels and culture, but the institutional substrate would not be restricted to manufacturing and corrupt kickbacks.

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"Foreign-Trade Zones” or FTZs have recently called my attention. With the recent inauguration of the Chancay Port, many people are considering turning that part into a special economic zone (Zona franca? ZEDE?)

But what is interesting to me is the reaction that this proposal has spark in the population. Because, when something is promoted by the current Peruvian Congress everyone just looks at the bribes and self interests this politicians are pushing. In a sense, I feel like, if chancha gains independence, the political shackles won't tarnish their growth. Creating a perfect example that we can become independent of the political class and make small cities work properly

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