text: Economy Mexico \nEconomy - overview: Mexico has a free market economy that recently entered the trillion dollar class. It contains a mixture of modern and outmoded industry and agriculture, increasingly dominated by the private sector. Recent administrations have expanded competition in seaports, railroads, telecommunications, electricity generation, natural gas distribution, and airports. Per capita income is one-fourth that of the US; income distribution remains highly unequal. Trade with the US and Canada has tripled since the implementation of NAFTA in 1994. Mexico has 12 free trade agreements with over 40 countries including, Guatemala, Honduras, El Salvador, the European Free Trade Area, and Japan, putting more than 90% of trade under free trade agreements. The government is cognizant of the need to upgrade infrastructure, modernize the tax system and labor laws, and provide incentives to invest in the energy sector, but progress is slow.  \nGDP (purchasing power parity): $1.006 trillion (2004 est.)  \nGDP - real growth rate: 4.1% (2004 est.)  \nGDP - per capita: purchasing power parity - $9,600 (2004 est.)  \nGDP - composition by sector: agriculture: 4% \nindustry: 27.2% \nservices: 68.9% (2004 est.)  \nLabor force: 34.73 million (2004 est.)  \nLabor force - by occupation: agriculture 18%, industry 24%, services 58% (2003)  \nUnemployment rate: 3.2% plus underemployment of perhaps 25% (2004 est.)  \nPopulation below poverty line: 40% (2003 est.)  \nHousehold income or consumption by percentage share: lowest 10%: 1.6% \nhighest 10%: 35.6% (2002)  \nDistribution of family income - Gini index: 53.1 (1998)  \nInflation rate (consumer prices): 5.4% (2004 est.)  \nInvestment (gross fixed): 19.4% of GDP (2004 est.)  \nBudget: revenues: $160 billion \nexpenditures: $158 billion, including capital expenditures of NA (2004 est.)  \nPublic debt: 23.5% of GDP (2004 est.)  \nAgriculture - products: corn, wheat, soybeans, rice, beans, cotton, coffee, fruit, tomatoes; beef, poultry, dairy products; wood products  \nIndustries: food and beverages, tobacco, chemicals, iron and steel, petroleum, mining, textiles, clothing, motor vehicles, consumer durables, tourism