Separation of powers

During many of my interviews with business, labor, and party leaders in Mexico last year, interviewees stressed the importance of Congress for policy-making. Several leaders stressed that policy is now made in the Congress, and that’s why the composition of party lists and getting representation of their interests in Congress is becoming even more important.

The fragmentation of power in the legislature among the three main parties was also an important theme and explanation for why Fox has had difficulty with his reform agenda. With three parties, building a coalition in support of reform is more difficult, even with relatively strong party discipline. (Mexican parties control campaign funding and PR lists are closed.)

At the same time, the Congress in Mexico will continue to have a hard time demonstrating its independence from the Executive as long as the Congress lacks the resources and staff to research or develop policy positions. Most members of the Chamber of Deputies and Senate have small staffs, usually one receptionist and a personal secretary.

The Commissions (analogous to U.S. Committees) have more staff and support, but not necessarily all the resources to develop policy papers and information. There is a small research area analogous to the GAO, and it does contract some external, non-partisan studies of policy. But these resources are not enough for technically complicated or complex policies, like pension or energy sector reform.

In contrast, the Executive has entire ministries filled with specialists in various areas. When the Executive presents a reform proposal, the Executive ministry that elaborated the proposal often has a monopoly on the information necessary to evaluate the impacts of reform. This means that Congressional leaders are often unable to effectively evaluate a proposal because they have no independent or impartial sources of data and no staff with the skills to evaluate the Executive’s position. The Congress cannot effectively “check” or “balance” the power of the Executive.

I have observed the effects of this asymmetrical information in the area of pension reform, but it was this article about petroleum revenue and reform that made me think about it again today. The Senate has asked the Treasury for the data and information about the methodology used to estimate petroleum revenue. According to one (PANista) Senator:

“Aunado a ello, el Ejecutivo federal argumentó que las observaciones realizadas obedecen en su totalidad a que los ingresos públicos federales se verán mermados, lo que va en detrimento de los recursos que pertenecen a los estados y municipios. Por ello, esta comisión considera necesario e impostergable contar con la información completa y detallada, a fin de valorarla, y, en su caso, realizar las adecuaciones a que haya lugar.”

Democracy in Mexico has had a significant impact on Congress. It has become a more important player in decision-making due to divided government, and it has also become an important place of contestation among the main political parties. But, its ability to effectively check presidential power and increase its independence from the Executive in the future will require that it have the resources and access to information necessary to develop alternative reform proposals.

Turning up the heat

The Director of the public sector workers’ social security system is making the rounds to create pressure to privatize ISSSTE pensions. It’s an explicit political strategy designed to massage public opinion to increase public support for privatization. By prominently discussing the problem in the media, reformers hope to create the sensation that privatization is necessary and the only viable reform. Then, when the privatization proposal is submitted in Congress, the administration can use public support to pressure unions to accept a more extreme reform. [Sound like a familiar strategy? In Mexico, however, the need for reform is more pressing, though actuarial studies suggest that a parametric reform would be less costly than the privatization proposed by the administration.]

Unions, on the other hand, are waiting until the full proposal is presented in Congress to present their alternatives and attack the administration’s plan.

The Privilege of Ruling

The AJC ran a story yesterday about a political satire show (a la SNL) called the Privilege of Ruling in Mexico. To hear this version would make it seem that the show is the next SNL or Daily Show. Not likely.

According to a Mexican journalist, the show is banal, uncritical of government, uninspired, and has poor actors. The acting is so bad (or Mexicans are so unaware of what politicians look like) that the show has to include the names of the characters at the bottom of the screen. Or, maybe the network just does that because technology makes it easy and possible.


Fox embracing AMLO

I never watched the show while in Mexico, even though the show debued in January. As you can see, the actors use elaborate make-up to resemble the politicians they portray. You can watch various videos on the show’s site, including this snippet about Bush and Fox post-Katrina.

I’ve watched a handful of the online skits. It seems the writing is pretty good, but the acting is over the top. And so some lines that are funny are played poorly.

On the other hand, I can see why the show is popular because it is consistent with a lot of Mexican variety shows. (You know, grown men dressed as bees and school boys.) Don’t forget that one of the most popular morning news programs was hosted by a clown; he interviewed the First Lady about whether she would run for President in 2006.

Social security reform news

Looks like I may need to revise this paper under review for publication. The Fox administration will try, with the support of the PRI, to push its pension privatization proposal for government employees through the legislature in its last session before the 2006 elections. I still think the new independent federation of government workers’ unions will put up a fight, so it should make for an interesting process.


From left to right: The Director of the government workers’ social security institute (ISSSTE); the Chair of the Social Security Commission in the Chamber of Deputies, a leader in the teachers’ union, and PRDista who is strongly opposed to the reform; another Deputy I don’t recognize; and finally, the leader of the social security workers’ union (SNTSS), who has his Deputy seat thanks to the PRI.

The workers (SNTSS) of the other social security institute (IMSS) have left talks with the administration of the IMSS. Their negotiations are also about the union’s pension scheme. The SNTSS Secretary for the Exterior, who is quoted in the article, is suggesting that a strike in October is likely.

Helicopter crash in Mexico

The Secretary of Public Security, a member of the Human Rights Commission, several other functionaries, and the pilots of a helicopter all died when their helicopter crashed yesterday. Preliminary reports suggest it was an accident. Not surprisingly, the leftist press is pointing out that some of those killed in the crash had been threatened by drug lords, and one was threatened within the last month. There are several stories about the crash and those involved at La Jornada and El Universal .

Shooting in all directions

Elba Esther gave a lively press conference yesterday, during which she said things like:

“[Madrazo] es un seductor” but “¡Con Madrazo no me vuelvo a reunir! ¡No quiero verlo! ¡Se acabó! ¡Es más, dejaré de hablar de él!” [and then proceeded to discuss him for the remainder of the meeting]

“¡Estoy harta de que me pongan el sello de salinista!”.

“[Madrazo] Es el político de las ces: ”Lo promueve Carlos Hank, lo financia Carlos Cabal y lo hace gobernador Carlos Salinas, mientras, ¡qué paradoja!, hace exactamente lo contrario por lo que luchó su padre, Carlos A. Madrazo: la democratización del PRI”

“es fácil esconderse detrás de las faldas de una mujer, pero hay que ver si en los pantalones hay lo que hace falta”

“¡Estoy hasta la madre de la actitud de Roberto [Madrazo]!”

“Me costó mucho dejar mi cargo, pero sería estúpido de mi parte seguir donde no me quieren.” […and so many are wondering what took her so long to wise up….]

Elba Esther and the PAN?

Oh my. The PAN leadership says it’s important for candidates to maintain good relationships with leaders like Gordillo, and the President’s office admits that Gordillo is a friend of the President.

Many who have whispered about La Maestra’s ties to Fox can now openly say, “I told you so.”