Abstract
The article is devoted to the main preconditions for the emergence of poverty and inequality in the distribution of housing among the population in Mexico City. The article analyzes this issue under the influence of the evolutionary development of neoliberalism: deindustrialization, depopulation, and poverty. The study proposes a definition of the poverty index induced by housing shortages, which is calculated as the difference between the average annual income in a given locality and the average annual level of rent, loan and housing loan, which is related to the cost of food and non-food products. The study was based on statistics on income and housing of 16 districts, grouped into three functional areas of Mexico City for the period from 2008 to 2015, and the source of the study – analytical reports of the National Institute of Statistics and Geography of Mexico. The results of the empirical study show that deindustrialization is determined by an increase in the share of the tertiary sector of the economy and at the same time a reduction in material production. These trends in the sectoral development of the economy have led to a concentration of services in the city and uneven regional development, which has been accompanied by increasing speculation in the real estate market and the lack of an effective state housing policy. It has been established that over the last decade, conditions have been created in central Mexico for the expulsion of local low-income groups and the involvement of people with greater financial means. At the same time, locals in the southern district of Mexico City find themselves in a situation of deep inequality compared to residents of other parts of the city, as its residents have enough income to meet basic needs, so they are on the brink of poverty and socially vulnerable. The results of the study can be useful for scientists and government officials to take a set of measures aimed at stimulating housing construction for the poor. Keywords: poverty, inequality, housing, neoliberalism, Mexico.
Highlights
In the rise of globalization, neoliberalism eroded Mexico City as a central scale in order to join the supranational scope without the direct mediation of the State
The withdrawal of the State and its institutional framework places the inhabitants of Mexico City in different degrees of poverty and social inequality induced by their lack of housing according to the area of the city they inhabit
The results presented here warn about the need to return to the role of the State in the stewardship of public housing policy based on a new institutional framework that strengthens its actions in order to balance territorial inequalities in access to the housing of the inhabitants of Mexico City
Summary
In the rise of globalization, neoliberalism eroded Mexico City as a central scale in order to join the supranational scope without the direct mediation of the State. During the industrialization by import substitution strategy (1935-1982), GDP increased 15.9 times, at an average annual rate of 6.1% (Calva, 2004) In this context, deindustrialization accompanied by economic liberalization played a key role in the increase or tertiary activities of the economy of Mexico City and a new population dynamics at the federal and local levels, which modified the objectives of housing and social development policies. This slow but progressive deindustrialization of the City is the result of a trend of relocation of the industry in the metropolitan area, accompanied by a readjustment in the spatial distribution of the population This dynamic did not end with the total expulsion of the industry, it influenced to diminish it considerably, since some City counties maintained an important participation in certain activities of the industrial sector, oriented largely to supply the local and national market. In the case of the southern counties of Mexico City, a reduction in the population growth rate from 40.2% in 1990 to 9.6% in 2000, and 5.7% in 2010 is noticeable (see Figure 3)
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