Compare Mexico's and Argentina's economic success post-World War II.

Question

A. They both relied on foreign private companies to build wealth.
B. They both had governments and economic successes that were destroyed by the United Fruit Company.
C. They both created national oil industries that still survive today.
D. They both nationalized industries that were economic problems.

Answer 1

To compare Mexico's and Argentina's economic success post-World War II through the provided options, we can analyze each statement:

A. They both relied on foreign private companies to build wealth.
This statement is partially true. While both countries had periods where foreign investment played a role in their economies, their approaches differed greatly. Mexico had a significant nationalization wave, especially in the oil industry, whereas Argentina historically engaged with foreign companies but later took steps to nationalize various sectors.

B. They both had governments and economic successes that were destroyed by the United Fruit Company.
This statement is not accurate for either country. The United Fruit Company played a significant role in Central America rather than Argentina or Mexico. Its influence was mostly felt in countries like Guatemala, making this statement misleading in the context of Mexico and Argentina.

C. They both created national oil industries that still survive today.
This statement is true for both countries but with significant differences in context. Mexico nationalized its oil industry in 1938, leading to the establishment of Pemex, which is still a vital part of its economy. Similarly, Argentina nationalized its oil industry at various points, most notably in 2012 with the expropriation of YPF. However, the operational effectiveness and economic contribution of these nationalized industries have varied.

D. They both nationalized industries that were economic problems.
This statement is also accurate to some extent. Mexico nationalized various industries (not just oil) as part of its post-war economic policies, and Argentina followed suit, especially under Peronist governments. However, the nationalization experiences and results differed significantly, with Argentina experiencing swings between nationalization and privatization.

In summary, while options C and D present truths about both countries' economic policies, the clearest and most relevant choice for highlighting a significant parallel in their economic strategies post-World War II is C, as it reflects the establishment of lasting national oil industries. However, the specific contexts and implications of those industries diverged significantly between the two nations.