The Mexican Economy has been devastated by the current economic crisis. It is far worse than the impact the United States has felt. With oil revenues, and remittances down drastically along with declining exports the economy has shrunk a drastic 10.3 percent! During part of 2008, and all of 2009 up till September inflation has been up above 5 percent due to increasing costs for food and fuel.   For the first time this year the inflation rate has now dropped below the 5% mark. It is now at 4.89%. The target inflation rate is for 3%, but as of last August that level was not expected to be reached until sometime in 2010. Read more at the two links below:

http://www.huffingtonpost.com/2008/08/08/mexican-inflation-hits-3_n_117664.html