Recent World Bank figures reveal that Mexico’s GDP/person in 2013 reached $16,463 a year, an increase in GDP/person of 1.8% since 2012. (All figures in US dollars). Mexico’s 2013 GDP/capita is well above the Latin America and Caribbean average of $14,978.
The GDP figures are based on purchasing power parity (PPP) which overcomes gross distortions resulting from differences in exchange rates. For example, a haircut of the exact same quality might cost $15 in the USA, $5 in Mexico and $1 in China. Using the PPP approach, this same haircut would count as a $15 contribution to the GDP of each of the three countries.
Mexico’s GDP/person has grown at an average rate of 4.5%/year since 1991, according to the World Bank. Back in 1991, the GDP/person averaged $6,320.
Mexico’s GDP/person has risen quite sharply since 2008, when the comparable figure was $14,810, though its world rank (#80) is essentially unchanged. The figures suggest that economic growth has outstripped population growth over the past five years, making Mexicans better off (on average), and able to afford more goods and services, now than they were then.
Since 1991, Mexico’s GDP/person has declined in only three years:
- 1994-1995 – decline of 10% due to world economic crisis
- 2000-2001 – decline of 0.2%
- 2008-2009 – decline of 2.2% due to world economic crisis
These figures suggest that Mexico’s economy has become more resilient when there is any slump in global markets.