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Capital is not created out of thin air; it is usually transferred from wealthy citizens and institutions into productive enterprises through "investments".
Mexico is rich in resources, but has lacked enough wealthy people with capital to invest beyond specific enterprises; the biggest reasons for this lack of investment are lack of contract upholding (rule of law), corruption and lengthy administrative processes, such as those required to open up a new company in Mexico.
Wiki User
∙ 6y ago
Wiki User
∙ 6y agoCapital is not created out of thin air; it is usually transferred from wealthy citizens and institutions into productive enterprises through "investments".
Mexico is rich in resources, but has lacked enough wealthy people with capital to invest beyond specific enterprises; the biggest reasons for this lack of investment are lack of contract upholding (rule of law), corruption and lengthy administrative processes, such as those required to open up a new company in Mexico.
Wiki User
∙ 9y agoCapital qualifies as such. Mexico has plenty of natural resources and a relatively large population, but lacks the means to say, build a factory or purchase farming equipment.
Wiki User
∙ 10y agoCapital.
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Capital
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Capital
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increased food production
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Mass Production.
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Which factor has most likely driven North Carolina's furniture industry to out-source production?
overseas competition
