Foreign Investments in the Railroad
In the late nineteenth century, Mexico developed a capitalist economy, primarily through foreign investment. In 1910, investment in Mexico’s economy totaled two billion dollars, of which three-quarters came from abroad. Nearly 40 percent originated from the United States alone, while 55 percent came from France and the United Kingdom, and the remainder from elsewhere in Europe. One-third of that investment funded the greatest technological revolution of Porfirio Díaz’s regime: a national railroad system. More than 12,000 miles of rail were laid during his presidency, effectively unifying the country. The railroad connected Mexico to other countries, increased transportation of products from one region to another within Mexico, and generated new jobs throughout the nation.