Globalization
Globalization, the 21st-century global connection as a result of technology, transportation, and international alliances, has led to an eruption of cultural integration and connection. The vast networks we have created via trade, and the revolutionary internet that took the world by storm during the late ’90s have shrunk the surface of a massive planet to toy marble, allowing us to connect on a massive scale, all great things. However, as much as human connection brings forth innovation and relationships, they also create countless problems for countries as a result of the tourism industry. Now, it has caused Mexico’s gentrification; inflicting irreversible damage to both the people of Mexico and its soils.
American Tourists
The American tourist industry is one of the biggest and most powerful industries of the century, but what makes it such a powerhouse is its ability to accumulate millions of dollars for countries like Mexico that invite the industry as a way of stimulating the local economy. Mexico, a country with geographically diverse regions full of beaches and rainforests, culinary excellence, and welcoming people–is the new plaything for these tourists. But because of this attraction and the gagillion Instagram posts of people “enjoying” their time in Mexico, veneers stretched from corner to corner of their mouths, millions of tourists are flocking to Mexico in search of their own Instagrammable moments–hoping to gain their own little moment of recognition amongst friends because, let's face it, we only ever go out to post about it. But, as more and more tourists come to Mexico, they fill up cities and towns, making them hot spots for Americans to stay in while enjoying their vacation. As a result, English is the most heard language in these hubs instead of Mexico’s national language; Spanish. Locals are also constantly blinded by Instagram model's ring lights and edited out of pictures because they don’t fit in with the “vibe” that the recently lobster tinged, Whole Foods tote bag carrying tourist, posting wants to portray. The shift in local demands to better suit these tourists is all but guaranteed; turning once flavorful salsas into bland concoctions, making customer service jobs criteria for hiring be a “proficient level of English”, and changing local shops’ currency from Pesos to USD. American tourists are not only invading Mexico but also erasing the culture that was once lively, present and living.
Covid-19’s Effects
What started as tourism - a market that would stimulate the Mexican economy - became something reminiscent of a plague.
The surge of Americans before COVID-19 was already wreaking havoc across major cities in Mexico. However, with COVID-19 forcing Americans to work remotely, many took it as an opportunity to work very remotely: Entirely across the border. What this means is that while Americans continue to occupy careers in the US, they live in Mexico’s major cities, continuously gaining the same salary as they would in the States while enjoying one third the living expenses they'd pay in the US. For these Americans, it's a win-win! They’re able to keep a great salary in the Tech world (since the average remote workers work in Comp. Sci.), whilst living in Mexico–stimulating the Mexican economy. However, as good as it sounds on the surface, the deeper you dive, the murkier the water.
Because of these US migrants, the economy is going up…way up. This means that the salary of these remote workers keeping their USD salaries ($218,000 for the average Netflix tech employee for example), also means that they use that same currency for everyday affairs, from groceries to getting a haircut. The filtration of USD into the Mexican system of currency: pesos, has resulted in a massive increase in indisplacements of Mexican families across the nation. “Displacements? But how? Money flow is increasing so why are people struggling?” are the most common questions asked when discussing gentrification and displacement throughout various regions in Mexico but it’s quite simple.
From an economic stance, when we compare the strength of the USD to Mexican pesos, 17.1 MXN is the equivalent of 1 singular USD, and to put it into perspective with the mentioned salaries of American remote workers, it would be $3,676,700.80 in Mexican pesos. Setting a large gap in place between the annual wages of remote workers and Mexican locals as their average salaries range anywhere between $5390.00–$17200.00 pesos. Doing the basic math, it’s not all that surprising that a huge change in the circulation of currency is causing the inflation we’ve seen in Mexico during the past few years.
Economic Progress…Or Setback?
But, to further delve into economics–and statistics, Mexico’s inflation isn’t something new. In fact, it’s been on the rise since last December. Just around that time, the monthly CPI (Consumer Price Index) for Mexico rose by 0.71%, and as of January of this year, a whopping 0.89%. But that leads us back to the question, “What do these numbers have to do with US immigrants?” The true question is, how does it not have to do with US immigrants?
Inflation doesn’t just happen on its own, it’s typically facilitated by some sort of event in the market; whether it be a higher price in raw materials, demand, or fiscal (increase in demand through Gov. spending) or expansionary monetary policy (keeping interest rates lower for banks and consumers alike). For Mexico, a large majority has to do with demand, the demand for housing.
“Fuera al Airbnb'' has become a rising slogan for Mexican street protesters, but it isn’t just a catchy slogan, there's meaning behind it; there always is. Between the initial jump in inflation during December 2023 and today, the number of residents has gone up by 3% or 600,000. Despite the seemingly small numbers, cities like CDMX that are already urban are barely able to keep up with the increase in residents! Mexico City is ripping at the seams! Cities aren’t the only ones facing this type of problem, smaller towns are facing the same type of inflation and gentrification at the hands of “toxic tourism”. A perfect example of this would be Tlaxcala whose population is 1,405,000 according to the Mexican census. In comparison, Mexico City’s population is at an estimated 22,505,315 and counting. Two starkly different populations yet with one common foe; Airbnb. The rise of the billion-dollar company whose goal is to “belong anywhere” as its motto says, has made living in Mexico close to impossible. With higher prices–aka “gringo tax” now applying to Mexicans, taquerias doing complete °180 to fit European pallets, and mom n pop shops turning into bleak soulless workspaces, is Mexico even Mexico anymore?
Comparison
So what’s the big deal? “Immigrants from Mexico do the same! Don’t they steal the jobs of hard-working Americans?”
This false narrative, a cruel ego boost, is used by conservatives who piggyback off these claims as a way of making their incompetence in the work field “justified” as a way of fearmongering the American public from Hispanic immigrants, promoting stereotypes that generalize all Hispanics to “Mexicans” and permitting phrases like, “I don't speak Mexican” to spew out of entitled mouths. But, the jobs that Mexican immigrants come to “take” are almost always jobs that white Americans won’t do in the first place. While they dabble in trust funds and Silicon Valley computer science, immigrants are straining their entire bodies and potentially risking their lives for what is essentially pocket change.
There is a difference between leisurely travels that benefit off the backs of others, and immigrating to survive persecution. Didn’t our founding fathers teach us this?