Unemployment in Mexico remains low despite financial woes
If you look at the recent unemployment rates of countries around the world during this financial crisis, something stands out. Mexico, despite all its ups and downs, has a surprisingly low unemployment rate of 4.9% (tied with Austria!!).
Unemployment rates around the world:
1. South Korea - 3.8%
2. Netherlands - 4.1%
3. Austria - 4.9%
3. Mexico - 4.9%
Which country had the highest levels of unemployment? Spain at 19.1%.
The main reason that Mexico has such a low unemployment rate is because of the informal economy. Nearly 28.6% of the Mexican population is working in the informal market. This means no benefits, no government intervention, and no taxes.