Reuters has a good story on the demands of keeping a conservative fiscal policy and the effects on the educational system in Mexico
"When her son Miguel turned 5, Juana Gutierrez faced a stark choice: Send him to public school or move into a smaller apartment to be able to afford a private English-language academy. ...
Given the sad state of Mexico's chronically underfunded public schools, her decision was as easy as A-B-C.
'I would have sold everything I owned to get him in here,' Juana said as Miguel held her hand on his way to school on a recent morning. 'If you want your child to have a future, public schools aren't the answer.'"
President Fox is juggling IMF and global market pressures to "prove" and improve Mexico's credit ratings and the need to fund goals such as education, which also may lure foreign investment, as it did in parts of Asia. Fox is also considering an income tax increase--currently taxes account for 12% of GDP, compared with 20% and 36% for Argentina and Brazil, respectively.