The PRI was founded by the Institutional Revolutionary Party and they developed a tariff system that taxed imports on consumer goods, raw materials, and machinery. "The 1947 tariff act raised import tariffs slightly, pushing the rate on consumer goods to 50 percent and 10-15 percent, respectively" (Haber 43). They had also created a burdensome permitting system that blocked entry to domestic markets with duty payments, waiting periods for applications and a requirement for approval by the Ministry of Industry and Commerce (Haber et al. 2008, 43). However, their barriers could be bypassed if the businesses ' owner was connected and if the business was established. These measures were so profitable that “…manufacturers of other consumer products began to pressure the government to expand the range of restricted goods” (Haber et al. 2008, 43). The policies that the PRI enacted created corruption that incentivized
The PRI was founded by the Institutional Revolutionary Party and they developed a tariff system that taxed imports on consumer goods, raw materials, and machinery. "The 1947 tariff act raised import tariffs slightly, pushing the rate on consumer goods to 50 percent and 10-15 percent, respectively" (Haber 43). They had also created a burdensome permitting system that blocked entry to domestic markets with duty payments, waiting periods for applications and a requirement for approval by the Ministry of Industry and Commerce (Haber et al. 2008, 43). However, their barriers could be bypassed if the businesses ' owner was connected and if the business was established. These measures were so profitable that “…manufacturers of other consumer products began to pressure the government to expand the range of restricted goods” (Haber et al. 2008, 43). The policies that the PRI enacted created corruption that incentivized