Hydrocarbons QPQ NEG – HSS Note You can still use evidence from the normal hydrocarbons neg file. There are also helpful cards in the Mexico politics file to answer the Nieto credibility scenario. 1NC Dependence Adv. Defense Oil dependence is at a record low – especially from the Middle East Brandon 7-19 (Hembree Brandon, 7/19/13; Editorial Director, Farm Press; Pump prices aside, U.S. dependence on Mideast oil continues to drop; http://deltafarmpress.com/blog/pump-prices-aside-usdependence-mideast-oil-continues-drop) The economy has improved of late, government analysts tell us. And in almost perfect synchronicity with that news oil prices rose, with the likelihood that the cost of almost everything else will rise, even though those same government wizards tell us core inflation is negligible, discounting food and energy. After all, who spends money on food and energy? In yet another touch of irony, the U.S., for so long dependent on imported energy, had as its No. 1 export in 2012 gasoline, diesel, and fuel oil. While U.S.-produced petroleum products sail away to China, the EU, and elsewhere, often at the same time U.S. inventories are falling, imports increasing, and pump prices rising. Ahh, the magical mysteries of capitalism at work. A lot has happened in the almost 40 years since the Arab oil embargo gave the world its first traumatic experience with the term “energy crisis,” and started the price escalation that has continued off and on since then. America’s dependence on Mideast oil has been steadily diminishing in recent years — no thanks to Washington leadership, which for four decades has failed to develop a sound, meaningful long term energy policy. Rather, drilling technology, for which America leads the world in innovation, and new methods of finding oil and natural gas have resulted in extensive additional supplies both offshore and onshore. This has not been without controversy, particularly for natural gas and worries of environmental contamination related to the “fracking” process. In 2012, the U.S. had the largest annual increase in oil production since the first commercial gushed skyward in Pennsylvania in the mid-1800s. The U.S. Energy Information Administration forecasts another record for 2013. Some analysts are predicting that within a few years U.S. oil production could top that of Saudi Arabia and Russia , the world’s two largest producers. Vast new stores of natural gas are being discovered here, enough experts say, to last hundreds of years. For much of the last 40 years, a large chunk of U.S. oil imports was subject to the political vicissitudes of an increasingly unstable Mideast. By 2012, however, Persian Gulf nations were supplying only 28 percent of our oil, down sharply from almost 50 percent in 2005 . Now, more than half our oil comes from western hemisphere nations; Canada is the biggest supplier, at 28 percent in 2012. We now import more oil from Africa than from the Persian Gulf. Oil dependence is down – increased US production and reduced consumption Green 7 – 12 (Miranda Green, 7/12/13; Reporter for The Daily Beast; Increasing Oil Production in the U.S. Sparks Less OPEC Reliance; http://www.thedailybeast.com/articles/2013/07/12/increasing-oilproduction-in-the-u-s-sparks-less-opec-reliance.html) The U.S. is often painted as an energy-strapped nation reliant on foreign countries for most of its oil use. But that picture is changing as the country gets closer to complete energy independence. A report issued this week shows that the U.S. is increasingly producing more crude oil inside of its borders . Production jumped last week to its highest level since January 1992, according to a recent report by the Energy Information Administration. In the week ended July 5, the U.S. produced 7.4 million barrels per day, up 1.8 percent from the previous week, and the highest weekly level in more than 20 years. The increase is largely attributed to more drilling and the sharp rise of hydraulic fracturing in the U.S. The controversial technique of fracturing, or fracking, involves drilling into rock formations to release oil embedded in shale. Many of the U.S. reserves of crude oil are found in the Midwest and along the plains region. Two of the largest reserves are the Bakken and Eagle Ford oilfields located in North Dakota and Texas, respectively. The increase of oil production in the U.S. is reversely driving down the amount of foreign oil the country is importing from OPEC countries because the fuel is less needed. Meanwhile, the U.S. is reducing its use of oil —thanks to more efficient vehicles, less driving, the use of natural gas as a transport fuel, and greater investments in renewable energy. Total liquid fuel consumption in the U.S. declined by 2.1 percent in 2012, according to the EIA, and is expected to rise by less than 1 percent in 2013. And that means the U.S. needs to import less oil—especially from OPEC countires. Numbers from the EIA report show that only 11 percent of the oil the U.S. used in March came from sources outside the U.S. Strong U.S. oil industry offsets dependence of Middle Eastern oil Jaffe, ’13. Amy Myers Jaffe is executive director of energy and sustainability at University of California at Davis Graduate School of Management. She was formerly the director of the Energy Forum at the James A. Baker III Institute for Public Policy at Rice University. “An Oil Boom Means Washington—Not Riyadh—Could Become the World's Swing Oil Producer” Wall Street Journal. March 27, 2013. http://online.wsj.com/article/SB10001424127887324105204578382690249436084.html – clawan For four decades, the geopolitical leverage achieved by large petro-exporting states has been a major challenge for the U.S. and its allies. Now, the rapid growth of oil and natural-gas production from unconventional shale resources in North America is rapidly eliminating this threat, with positive geopolitical implications for the U.S. As political uncertainty spreads across the Mideast, rising U.S. shale-oil production may become a more critical touchstone to market stability. In fact, the U.S. shale-oil boom might roll back the clock to the 1960s when a U.S. oil surplus (via the Texas Railroad Commission), put Washington, not Riyadh, as the world's swing producer. In a world where the U.S. will have few, if any, oil imports to replace during a global supply outage, Washington will have more discretion to use the Strategic Petroleum Reserve to help allies in times of crisis or to prevent oil producers from using energy cutoffs to achieve financial or geopolitical goals. U.S. oil and gas exports will also garner closer ties to allies and friendly countries through closer economic relations. A domestic oil and gas boom will also bring the US back to a stronger economic footing, possibly giving the country back some of the financial sway that previously allowed it to dominate international organizations like the United Nations and the World Bank. U.S. foreign aid and even energy exports could become a stronger counterpoint to continuing Chinese global investment. Beijing might also find soon that its overt policies of aiding problem states like Iran and Syria and thereby tying up the U.S. in conflicts across the Middle East will become more and more counterproductive over time as rising energy costs hit oilimport dependent China harder than an energy self-sufficient America. Iran Prolif Defense No impact to Iranian proliferation Waltz 12 — Senior Research Scholar at the Saltzman Institute of War and Peace Studies (Kenneth N. Waltz, Council on Foreign Relations, July/August 2012, “Why Iran Should Get the Bomb”, http://sistemas.mre.gov.br/kitweb/datafiles/IRBr/ptbr/file/CAD/LXII%20CAD/Pol%C3%ADtica/Why%20Iran%20Should%20Get%20the%20Bomb.pdf, Accessed 07-04-2013 | AK) The past several months have witnessed a heated debate over the best way for the United States and Israel to respond to Iran's nuclear activities. As the argument has raged, the United States has tightened its already robust sanctions regime against the Islamic Republic, and the European Union announced in January that it will begin an embargo on Iranian oil on July 1. Although the a palpable sense of crisis still looms. It should not. Most U.S., policymakers warn that a nuclear-armed Iran would be the worst possible outcome of the current standoff. In fact, it would probably be the best possible result: the one most likely to restore stability to the Middle East. POWER BEGS TO BE BALANCED The crisis over Iran's nuclear program could end in three different ways. First, diplomacy coupled with United States, the EU, and Iran have recently returned to the negotiating table, European, and Israeli commentators and serious sanctions could convince Iran to abandon its pursuit of a nuclear weapon. But this outcome is unlikely: the historical record indicates that a country bent on acquiring nuclear weapons can rarely be dissuaded from doing so. Punishing a state through economic sanctions does not inexorably derail its nuclear program. Take North Korea, which succeeded in building its weapons despite countless rounds of sanctions and UN Security Council resolutions. If Tehran determines that its security depends on possessing nuclear weapons, sanctions are unlikely to change its mind. In fact, adding still more sanctions now could make Iran feel even more vulnerable, giving it still more reason to seek the protection of the ultimate deterrent. The second possible outcome is that Iran stops short of testing a nuclear weapon but develops a breakout capability, the capacity to build and test one quite quickly. Iran would not be the first country to acquire a sophisticated nuclear program without building an actual bomb. Japan, for instance, maintains a vast civilian nuclear infrastructure. Experts believe that it could produce a nuclear weapon on short notice. Such a breakout capability might satisfy the domestic political needs of Iran's rulers by assuring hardliners that they can enjoy all the benefits of having a bomb (such as greater security) without the downsides (such as international isolation and condemnation). The problem is that a breakout capability might not work as intended. The United States and its European allies are primarily concerned with weaponization, so they might accept a scenario in which Iran stops short of a nuclear weapon. Israel, however, has made it clear that it views a significant Iranian enrichment capacity alone as an unacceptable threat. It is possible, then, that a verifiable commitment from Iran to stop short of a weapon could appease major Western powers but leave the Israelis unsatisfied. Israel would be less intimidated by a virtual nuclear weapon than it would be by an actual one and therefore would likely continue its risky efforts at subverting Iran's nuclear program through sabotage and assassination -- which could lead Iran to conclude that a breakout capability is an insufficient deterrent, after all, and that only The third possible outcome of the standoff is that Iran continues its current course and publicly goes nuclear by testing a weapon. U.S. and Israeli officials have declared that outcome unacceptable, arguing that a nuclear Iran is a uniquely terrifying prospect, even an existential threat. Such language is typical of major powers, which have historically gotten riled up whenever another country has begun to develop a nuclear weapon of its own. Yet so far, every time another country has managed to shoulder its way into the nuclear club, the other members have always changed tack and decided to live with it. In fact, by reducing imbalances in military power, new nuclear states generally produce more regional weaponization can provide it with the security it seeks. and international stability, not less . Israel's regional nuclear monopoly, which has proved remarkably durable for the past four decades, has long fueled instability in the Middle East. In no other region of the world does a lone, unchecked nuclear state exist. It is Israel's nuclear arsenal, not Iran's desire for one, that has contributed most to the Power begs to be balanced current crisis. , after all, . What is surprising about the Israeli case is that it has taken so long for a potential balancer to emerge. Of course, it is easy to understand why Israel wants to remain the sole nuclear power in the region and why it is willing to use force to secure that status. In 1981, Israel bombed Iraq to prevent a challenge to its nuclear monopoly. It did the same to Syria in 2007 and is now considering similar action against Iran. But the very acts that have allowed Israel to maintain its nuclear edge in the short term have prolonged an imbalance that is unsustainable in the long term. Israel's proven ability to strike potential nuclear rivals with impunity has inevitably made its enemies anxious to develop current tensions are best viewed not as the early stages of a relatively recent Iranian nuclear crisis but rather as the final stages of a decades-long Middle East nuclear crisis that will end only when a balance of military power is restored. UNFOUNDED FEARS One reason the danger of a nuclear Iran has been grossly exaggerated is that the the means to prevent Israel from doing so again. In this way, the debate surrounding it has been distorted by misplaced worries and fundamental misunderstandings of how states generally behave in the international system . The first prominent concern, which undergirds many others, is that the Iranian regime is innately irrational. Despite a widespread belief to the contrary, Iranian policy is made not by "mad mullahs" but by perfectly sane ayatollahs who want to survive just like any other leaders. Although Iran's leaders indulge in inflammatory and hateful rhetoric, they show no propensity for self-destruction. It would be a grave error for policymakers in the United States and Israel to assume otherwise. Yet that is precisely what many U.S. and Israeli officials and analysts have done. Portraying Iran as irrational has allowed them to argue that the logic of nuclear deterrence does not apply to the Islamic Republic. If Iran acquired a nuclear weapon, they warn, it would not hesitate to use it in a first strike against Israel, even though doing so would invite massive retaliation and risk destroying everything the Iranian regime holds dear. Although it is impossible to be certain of Iranian intentions, it is far more likely that if Iran desires nuclear weapons, it is for the purpose of providing for its own security, not to improve its offensive capabilities (or destroy itself). Iran may be intransigent at the negotiating table and defiant in the face of sanctions, but it still acts to secure its own preservation. Iran's leaders did not, for example, attempt to close the Strait of Hormuz despite issuing blustery warnings that they might do so after the EU announced its planned oil embargo in January. The Iranian regime clearly Nevertheless, even some observers and policymakers who accept that the Iranian regime is rational still worry that a nuclear weapon would embolden it, providing Tehran with a shield that would allow it to act more aggressively and increase its support for terrorism. Some analysts even fear that Iran would directly provide terrorists with nuclear arms. The problem with these concerns is that they contradict the record of every other nuclear weapons state going back to 1945 . History shows that when countries acquire the bomb, they feel increasingly vulnerable and become acutely aware that their nuclear weapons make them a potential target in the eyes of major powers. This awareness discourages nuclear states from bold and aggressive action. Maoist China, for example, became much less bellicose after acquiring nuclear weapons in 1964, and India and Pakistan have both become more cautious since going nuclear. There is little reason to believe Iran would break this mold. As for the risk of a handoff to terrorists, no country could transfer nuclear weapons without running a high risk of being found out. U.S. surveillance capabilities would pose a serious obstacle, as would the United States' impressive and growing ability to identify the source of fissile material. Moreover, countries can never entirely control or even predict the behavior of the terrorist groups they sponsor. Once a country such as Iran acquires a nuclear capability, it will have every reason to maintain full control over its arsenal . After all, building a bomb is costly and dangerous. It would make little sense to transfer the product of that investment to parties that cannot be trusted or managed. Another oft-touted worry is that if Iran obtains the bomb, other states in the region will follow suit, leading to a nuclear arms race in the Middle East. But the nuclear age is now almost 70 years old, and so far, fears of proliferation have proved to be unfounded. Properly defined, the term "proliferation" means a rapid and uncontrolled spread. Nothing like that has occurred; in fact, since 1970, there has been a marked slowdown in the emergence of nuclear states. There is no reason to expect that this pattern will concluded that it did not want to provoke what would surely have been a swift and devastating American response to such a move. change now . Should Iran become the second Middle Eastern nuclear power since 1945, it would hardly signal the start of a landslide. When Israel acquired the bomb in the 1960s, it was at war with many of its neighbors. Its nuclear arms were a much bigger threat to the Arab world than Iran's program is today. If an atomic Israel did not trigger an arms race then, there is no reason a nuclear Iran should now. REST ASSURED In 1991, the historical rivals India and Pakistan signed a treaty agreeing not to target each other's nuclear facilities. They realized that far more worrisome than their adversary's nuclear deterrent was the instability produced by challenges to it. Since then, even in the face of high tensions and risky provocations, the two countries have If Iran goes nuclear, Israel and Iran will deter each other, as nuclear powers always have. There has never been a full-scale war between two nuclear-armed states. Once Iran crosses the nuclear threshold, deterrence will apply, even if the Iranian arsenal is relatively small. No other country in the region will have an incentive to acquire its own nuclear capability, and the current crisis will finally kept the peace. Israel and Iran would do well to consider this precedent. dissipate, leading to a Middle East that is more stable than it is today. For that reason, the United States and its allies need not take such pains to prevent the Iranians from developing a nuclear weapon. Diplomacy between Iran and the major powers should continue, because open lines of communication will make the Western countries feel better able to live with a nuclear Iran. But the current sanctions on Iran can be dropped: they primarily harm ordinary Iranians, with little purpose. Most important, policymakers and citizens in the Arab world, Europe, Israel, the United States should take comfort from the fact that history has shown that where nuclear capabilities emerge, so, too, does stability. When it comes to nuclear weapons, now as ever, and Iran Prolif Good Stable deterrence between Iran and Israel and Pakistan will ensure regional stability. Madson, 2006 [Peter N. Madson, Lieutenant, United States Navy, Master’s degree in National Security Affairs, 3-6, “The Sky is Not Falling: Regional Reaction to a Nuclear Armed Iran,” http://oai.dtic.mil/oai/oai?verb=getRecord&metadataPrefix=html&identifier=ADA445779] This thesis analyzes the reaction of key players in the region, the reaction of nuclear states, such as Israel and Pakistan, to a nuclear-armed Iran. Naturally, this situation carries with it serious, though separate, security issues to each. The two states’ reactions will go far in determining the impact of a nuclearlized Iran upon regional security. Iran must step cautiously in its actions due to both states nuclear weapons. To be sure, these states will have to deal with the same, non-nuclear threats that Iran represents, but all parties involved will tread lightly in these affairs, avoiding nuclear brinkmanship. In addition to a detailed analysis of Israel and Pakistan, this thesis considers the reaction of the Arab Gulf States in relation to a nuclear-armed Iran. Although Israel and Pakistan are capable of deterring Iran by themselves with a deterrence understanding, Bahrain, Iraq, Kuwait, Qatar, Saudi Arabia, and the United Arab Emirates have much to fear. This fear, on the other hand, need not cripple the militarily weaker states. This thesis argues Iran presents no critical nuclear threat to the region or the Deterrence between Iran and its neighbors will remove serious security obstacles and stabilize the region. Stability, for the sake of this thesis, is defined as the regional states, with the aid of the United States, being able to keep Iran world. relatively limited in its ability to disrupt the regional status-quo. This will be conducted through a regional deterrence relationship that even For Tehran, deterrence is not a difficult concept to understand: In return for nuclear adventurism, Iran risks nuclear destruction and the end of its bid for dominance over the Muslim world. This thesis accepts the Nuclear Optimist point of view. A nuclear Iran , equipped with the fiercest revolutionaries in Tehran will understand. a clearly defined C2 structure, will not destabilize the Arabian Gulf Region. Iran cannot be stopped from constructing nuclear weapons. The more nations try to deter it from this course, the more Tehran is convinced of the need for these weapons, and the less likely it is to behave rationally. A better course for the United States to follow would be allowing Tehran its nuclear weapons, and use the resources that would have been wasted on preventing Iranian nuclearization to improve military ties in the region. Iran prolif solves Middle East conflict. Madson, 2006 [Peter N. Madson, Lieutenant, United States Navy, Master’s degree in National Security Affairs, 3-6, “The Sky is Not Falling: Regional Reaction to a Nuclear Armed Iran,” http://oai.dtic.mil/oai/oai?verb=getRecord&metadataPrefix=html&identifier=ADA445779] Nuclear weapons represent a new level of warfare, raising the severity of miscalculation to an unacceptable level of loss. This forces state leaders to consider their actions carefully in the face of nuclear-armed antagonists. The introduction of a nuclear Iran is bound to provoke significant tensions within the international community, but these need not be entirely negative. What Professor Richard Lebow of Dartmouth University describes as the “long peace” was partially due to the stability that nuclear weapons bring. 174 Two belligerents who have these weapons and are ready to use them, knowing that if either does, it will spell disaster for both, have inherent peace of mind and a solution to their security dilemma. Deterrence is not terribly difficult to create, as Pakistan has learned. Once achieved, it provides stability, security, and as in Pakistan’s case, significant economic benefit. Nukes solve Iran stability – give the regime credibility, respect and domestic security reducing the likelihood of irrational and aggressive action- solves the incentive for Saudi Iran conflict Madson, 2006 [Peter N. Madson, Lieutenant, United States Navy, Master’s degree in National Security Affairs, 3-6, “The Sky is Not Falling: Regional Reaction to a Nuclear Armed Iran,” http://oai.dtic.mil/oai/oai?verb=getRecord&metadataPrefix=html&identifier=ADA445779] In the case of Iran and its neighborhood, an argument can be made that Tehran’s acquisition of nuclear weapons might help stabilize the region. When one accepts that Israel has possessed nuclear weapons for decades and Pakistan unveiled its capability in 1998, the region seems capable of gradually accepting new nuclear states. Since then, both nuclear states have dealt with serious conflicts and nuclear weapons have provided security. To gain an understanding of how Iran will use its nuclear weapons, one can look briefly at how these nuclear states have used their weapons for security. For Israel, memories of the Holocaust will never diminish. The quote “Never Again!” is reportedly welded on the side of the first Israeli nuclear bomb. 28 These words summarize Israel’s commitment to never allow a second Holocaust. With India being Pakistan’s one, and apparently only foe, Pakistan faces a conventionally superior enemy, in both numbers and sophistication of weapons. Nevertheless, to date, Islamabad’s nuclear deterrent has States acquiring nuclear weapons one at a time and with significant time between them may seem fraught with danger and uncertainty. However, Iran, as the most populous state in the region and the historical hegemon of the Arabian Gulf has lost its previous standing as regional arbiter to the United States. Detracting further from Iran’s image, proven suitable to defending that state from an otherwise more powerful enemy. the United States has rapidly removed two bordering regimes. Tehran cannot help but notice the capabilities of America’s armed forces and Nuclear weapons, with a clear C2 doctrine and regional deterrent relationships can garner Iran respect, domestic security, and the chance to add stability. Stability, for the purpose of this thesis, is considered to be the removal of the threat of conflict and its corresponding devastation worry it could be next. This concern could lead Iran to behave irrationally, causing its decision making to become unstable. Iran nuclearization solves War on Terror, permanently lowers oil prices and creates regional stability. Lowther, 2010 [Adam, defense analyst at the Air Force Research Institute, Feb. 8, op-ed in NYT, “Iran’s Two-Edged Bomb.” http://www.nytimes.com/2010/02/09/opinion/09lowther.html?_r=1&ref=opinion] First, Iran’s development of nuclear weapons would give the United States an opportunity to finally defeat violent Sunni-Arab terrorist groups like Al Qaeda. Here’s why: a nuclear Iran is primarily a threat to its neighbors, not the United States. Thus Washington could offer regional security — primarily, a Middle East nuclear umbrella — in exchange for economic, political and social reforms in the autocratic Arab regimes responsible for breeding the discontent that led to the attacks of Sept. 11, 2001. Until now, the Middle East autocracies have refused to change their ways because they were protected by the wealth of their petroleum reserves. A nuclear Iran alters the regional dynamic significantly, and provides some leverage for us to demand reforms. Second, becoming the primary provider of regional security in a nuclear Middle East would give the United States a way to break the OPEC cartel. Forcing an end to the sorts of monopolistic practices that are illegal in the United States would be the price of that nuclear shield, bringing oil prices down significantly and saving billions of dollars a year at the pump. Or, at a minimum, President Obama could trade security for increased production and a lowering of global petroleum prices. Third, Israel has made clear that it feels threatened by Iran’s nuclear program. The Palestinians also have a reason for concern, because a nuclear strike against Israel would devastate them as well. This shared danger might serve as a catalyst for reconciliation between the two parties, leading to the peace agreement that has eluded the last five presidents. Paradoxically, any final agreement between Israelis and Palestinians would go a long way to undercutting Tehran’s animosity toward Israel, and would ease longstanding tensions in the region. 1NC Human Capital Adv. AT: Immigration Scenario Multiple alt causes to growth – state monopolies, infrastructure, and banking O’Niell, 2011. Shannon K. O'Neil, Senior Fellow for Latin America Studies. “Mexico: Development and Democracy at a Crossroads.” Council for Foreign Relations. February 2011. http://www.cfr.org/mexico/mexico-development-democracy-crossroads/p24089 – clawan Yet despite its free trade and pro-business credentials, from other vantage points Mexico's markets are much less free. Oligopolies and state monopolies continue to exert considerable influence over crucial sectors of the Mexican economy. In telecommunications, the media, cement, soft drinks, bread and tortillas, and electricity and energy, one or a few companies dominate. Mexico's billionaires, unlike American heavyweights such as Bill Gates or Warren Buffett, generally made their money from these uneven playing fields. Special interest groups, in business as well as labor, have managed to block changes. Perpetuating these economic fiefdoms increases inequality and limits competitiveness, innovation, and ultimately growth. Physical infrastructure holds Mexico back as well. By the early 2000s, Mexico was last among Latin American economies—and far behind their OECD counterparts—in terms of infrastructure investment as a portion of GDP. The limits on roads, railroads, ports, water and electricity systems, telecommunications, and the like hamper efficiency and productivity throughout the economy—shaving valuable cents off Mexico's industrial competitiveness. To fund an infrastructure transformation, Mexico will have to reform its tax system—currently one of the lowest in the world, besting only Guatemala in the hemisphere by collecting some 11 percent of GDP. Last year, Mexico celebrated as it claimed the top spot in Latin America in the World Bank's Doing Business survey, overtaking Colombia. By revamping its bankruptcy laws and cutting the burdens on doing business, at a global ranking of 35 (up from 41 in 2010) Mexico today is far ahead of Brazil, its much-hyped rival, at 127. Nevertheless, as its peers and neighbors reform their institutions and labor markets and invest in education, infrastructure, and innovation, Mexico is falling behind on broader measures of competitiveness. In the World Economic Forum's 2010 Global Competitiveness Index, Mexico's ranking fell six notches to sixty-sixth among 139 countries. The country's large, unwieldy bureaucracy; unreformed labor laws; weak regulatory framework; and low investment in human and physical capital will continue to hinder competitiveness,3 while its customs regulations and product standards introduce further pitfalls for foreign investors. Finally, financing, particularly for small and medium sized companies—those that provide the most jobs and most opportunity for social and economic mobility—is limited. Mexico's large banks, owned today predominantly by international players, are more interested in lending to easy borrowers—blue chip companies well known in domestic or international markets—than in taking a chance on local entrepreneurs. This hobbles job growth and the economy overall. Mexican development strong now – middle class O’Niell, 2011. Shannon K. O'Neil, Senior Fellow for Latin America Studies. “Mexico: Development and Democracy at a Crossroads.” Council for Foreign Relations. February 2011. http://www.cfr.org/mexico/mexico-development-democracy-crossroads/p24089 – clawan Perhaps the most important dynamic to emerge in recent years is the rise of Mexico's middle class. Now nearly forty million strong, middle-class families are the pillars of open market and democratic stability. They work in small and medium enterprises (often in the informal economy), and strive for six Cs: casa propia (a home of one's own), a car, a cellphone, a computer, cable television, and trips to the cinema.8 As some businesses are realizing, they are important consumers and the backbone of future growth. Wal-Mart opened nearly three hundred stores in 2010 alone—all small supermarkets targeted at this expanding income bracket—and continues to aggressively expand throughout the country.9 This middle class will in large part determine the economic future of Mexico. If it grows, so too will Mexico's economy. More important, this socioeconomic sector is the most likely to push for the changes necessary to truly open Mexico's markets. And, as the sector grows, its economic demands may find a receptive environment in Mexico's burgeoning democracy. Mexican democracy fails – corruption and public disillusionment O’Niell, 2011. Shannon K. O'Neil, Senior Fellow for Latin America Studies. “Mexico: Development and Democracy at a Crossroads.” Council for Foreign Relations. February 2011. http://www.cfr.org/mexico/mexico-development-democracy-crossroads/p24089 – clawan Yet many worry about the true depth of change within Mexico's political system. Mexico's formal and informal rules still limit transparency and accountability from the political class. The blanket prohibition of reelection—whether for president or local town council—leaves few incentives for politicians to fulfill their campaign promises . Instead, as they seek higher office, they must have the support of unelected party leaders. Informally, some of the most powerful ministries in Mexico, as well as the increasingly influential state governments within the federal system, have begun to push back against broader transparency and accountability. Denied or ignored requests under Mexico's freedom of information act are increasing, particularly in the realm of security. Continued weak democratic governance and a lack of accountability is perpetuating corruption, and persistent impunity erodes the credibility of institutions. Public opinion is showing increasing disillusionment with democracy. Last year's Latinobarómetro survey of attitudes toward democracy in eighteen Latin American countries showed Mexico with the lowest level of support in the region. Only 62 percent of Mexicans agreed that “democracy was the best form of government,” compared to an average of 76 percent across the region.10 Alt cause to development/security – drug wars UN, 2012. “Thematic Debate of the 66th session of the United Nations General Assembly on Drugs and Crime as a Threat to Development: On the occasion of the UN International Day against Drug Abuse and Illicit Trafficking.” United Nations: New York. June 26, 2012. http://www.un.org/en/ga/president/66/Issues/drugs/drugs-crime.shtml – clawan As we move towards 2015, and take stock of the Millennium Development Goals, there is a growing recognition that organized crime and illicit drugs are major impediments to their achievement. As economic development is threatened by transnational organized crime and illicit drugs, countering crime must form part of the development agenda, and social and economic development approaches need to form part of our response to organized crime. If we are to ensure that the MDGs are achieved, we must strengthen strategies to deliver these goals, including stepping up efforts to address issues such as money laundering, corruption and trafficking in wildlife, people and arms, and drugs. Organized crime and drugs impact every economy, in every country, but they are particularly devastating in weak and vulnerable countries. Weak and fragile countries are particularly vulnerable to the effects of transnational organized crime. These countries, some devastated by war, others making the complex journey towards democracy, are preyed upon by crime. As a result, organized crime flourishes, successes in development are reversed, and opportunities for social and economic advancement are lost. Corruption, a facilitator of organized crime and drug trafficking, is a serious impediment to the rule of law and sustainable development. It can be a dominant factor driving fragile countries towards failure. It is estimated that up to US$40 billion annually is lost through corruption in developing countries. Drugs and crime undermine development by eroding social and human capital. This degrades quality of life and can force skilled workers to leave, while the direct impacts of victimisation, as well as fear of crime, may impede the development of those that remain. By limiting movement, crime impedes access to possible employment and educational opportunities, and it discourages the accumulation of assets. Crime is also more “expensive” for poor people in poor countries, and disadvantaged households may struggle to cope with the shock of victimisation. Drugs and crime also undermine development by driving away business. Both foreign and domestic investors see crime as a sign of social instability, and crime drives up the cost of doing business. Tourism is a sector especially sensitive to crime issues. Drugs and crime, moreover, undermine the ability of the state to promote development by destroying the trust relationship between the people and the state, and undermining democracy and confidence in the criminal justice system. When people lose confidence in the criminal justice system, they may engage in vigilantism, which further undermines the state. Lack of gun control means the aff can’t solve drug violence Sweig, ’13. Julia E. Sweig, Nelson and David Rockefeller Senior Fellow for Latin America Studies and Director for Latin America Studies. Council for Foreign Relations. July 2013. “A Strategy to Reduce Gun Trafficking and Violence in the Americas.” http://www.cfr.org/arms-industries-and-trade/strategyreduce-gun-trafficking-violence-americas/p31155#cid=soc-twitter-at-policy_innovation_memoranduma_strategy_to_reduce_gun_traff-070113 – clawan Six years later, little has changed: the U.S. civilian firearms market continues to supply the region's transnational criminal networks with high-powered weaponry that is purchased with limited oversight, especially from unlicensed individuals at gun shows, flea markets, pawn shops, and on the Internet. Lax U.S. gun laws enable straw purchasers, including those under investigation in Operation Fast and Furious, to legally procure thousands of AK-47 and AR-15 variants every year and traffic them across the border to sell them illegally to criminal factions. U.S. government data highlights the problem. The Bureau of Alcohol, Tobacco, Firearms and Explosives' (ATF) Web-based firearm trace request and analysis system, eTrace, enables law enforcement officials to collaborate with ATF to track the path of recovered weapons from the manufacturer or importer though the distribution chain to the first retail purchase. Over 70 percent of the ninety-nine thousand weapons recovered by Mexican law enforcement since 2007 were traced to U.S. manufacturers and importers. Likewise, 2011 eTrace data for the Caribbean indicates that over 90 percent of the weapons recovered and traced in the Bahamas and over 80 percent of those in Jamaica came from the United States. The ATF has not released data for Central America, but the numbers are likely similar. The UN Office on Drugs and Crime reports that easy access to firearms is a major factor influencing homicide trends in Latin America and the Caribbean; the gun-related homicide rate in Latin America exceeded the global average in 2010 by more than 30 percent. The World Bank estimates that crime and violence cost Central America nearly 8 percent of its GDP when accounting for the costs of law enforcement, security, and health care. The U.S. government has empowered law enforcement in the region to recover and investigate the source of weapons used by criminal factions. In December 2009, the ATF introduced the Spanish version of eTrace. Since 2012, the State Department has funded the Organization of American States' (OAS) program to provide firearm-marking equipment and training to law enforcement in twenty-five countries. Yet, these efforts notwithstanding, the ATF intercepted only 15 percent of the roughly 250,000 guns smuggled into Mexico between 2010 and 2012. In effect, the United States undermines its own efforts at preventing arms trafficking with its unwillingness to strengthen oversight of the firearms industry and lukewarm support for multilateral agreements. AT: Nieto Credibility Turn: Increasing cooperation with the US hurts Nieto Long, 13 – American University international relations professor [Tom, PhD in International Relations focusing on US-Latin America relations, American University Center for Latin American and Latino Studies research fellow, "Will tensions over security spoil the Obama-Peña Nieto Summit?," AULA Blog, American University Center for Latin American and Latino Studies, 4-16, 14, aulablog.net/2013/04/16/will-tensions-over-security-spoil-the-obama-pena-nieto-summit/] Peña Nieto’s political incentives do not point to the same, high-profile cooperation with the United States that occurred under President Felipe Calderón, who had already begun shifting priorities last year. Despite the major turnaround signified by the PRI’s signing NAFTA almost 20 years ago, Peña Nieto’s PRI still contains elements more skeptical of U.S. “intervention” of the U.S. aid planned under the Mérida Initiative has been disbursed, and Congress exhibits little appetite for major new appropriations. (Even at its height, U.S. spending was a fraction of than Calderón’s PAN. Materially, moreover, most Mexico’s contribution to the drug war.) That reduction, coupled with growing awareness that the Calderón strategy actually fueled violence, diminishes the enthusiasm in and outside of government for continuing his policies. Frustration from the left in both countries regarding persisting human rights violations and the slow pace of judicial reform could also grow more serious. US investments de-rail reform- urgency of failure key to reform motivation Rodriguez, 12 -- reporter for Bloomberg News in Mexico City [Carlos Manuel, and Jonathan Roeder, "A Big Oil Find May Derail Reforms in Mexico," Business Week, 10-4-12, www.businessweek.com/articles/2012-10-04/a-big-oil-find-may-derail-reforms-in-mexico, accessed 7-10] A Big Oil Find May Derail Reforms in Mexico When Mexican President Felipe Calderón turned 50 last August, the head of the state oil company called with what he labeled “a great gift.” After years of deep exploration and almost $10 billion in investment since 2009, Petróleos Mexicanos (Pemex) made a big oil find in the ultradeep waters of the Gulf of Mexico. A week later, Calderón appeared at a press conference holding a flask of crude from the new site, the Trion field. Pemex is preparing to announce a second deepwater discovery in coming days, according to company executives. The finds will bolster the legacy of President Calderón, who had overseen declines in crude output by Pemex every year since he took office in late 2006. But ultimately the discovery could derail an overhaul of the company promised by President-elect Enrique Peña Nieto, who assumes office on Dec. 1. Because Pemex’s petroleum production has dropped 25 percent from its peak of 3.4 million barrels a day in 2004, Peña Nieto called energy reform his “signature issue.” He promised to change rules that allow private and foreign oil companies to provide services to Pemex but ban them from owning stakes in Mexico’s oil and gas fields. Mexico depends on royalties from Pemex for about a third of its budget. Pemex lacks experience beyond shallow waters, and Mexico’s deepwater Gulf territory is too vast for a single company to explore and exploit, says Juan Carlos Zepeda, head of the nation’s Hydrocarbons Commission. Capital Economics, a London-based research firm, says allowing international companies to invest and produce in Mexico’s fields could boost the nation’s growth by as much as 0.8 percent a year. Now, with a possible 10 billion barrels in new reserves from the recent finds, politicians may find it easier to stick with the status quo. “Reforms are easier done in an urgency moment,” says Lisa Schineller, chief of Latin American ratings at Standard & Poor’s (MHP), which downgraded Mexico in 2009 in part because of its overreliance on oil. “When you’re losing oil revenue, there’s greater pressure.” Public hates Nieto’s Pemex reform, hurts stability Estevez 13 “Most Mexicans Oppose President Peña Nieto's Plans To Open Up Pemex To Private Investment” By Dolia Estevez, 6/26/2013 11:51AM, Forbes, http://www.forbes.com/sites/doliaestevez/2013/06/26/most-mexicans-oppose-president-pena-nietos-plans-to-open-up-pemex-toprivate-investment/ Foreign oil companies were expropriated by Mexican President Lazaro Cárdenas in 1938, and ever since Mexico’s vast oil resources — 13.9 billion barrels of crude-oil and possibly the world’s fourth-largest shale-gas reserves– became forbidden to outsiders. The Wall Street Journal said the announcement highlights a “willingness to break with the past among young, reformist members” of the PRI, Peña Nieto’s party. Exxon Mobil and Royal Dutch Shell are reported to be ready to return to Mexico, if Congress passes the measure. Both were among the group of American and British companies expropriated 75 years ago. But Mexicans are less than ready to support Peña Nieto’s most ambitious and controversial reform to date. A new poll by the Centro de Investigación y Docencia Económicas (CIDE), a research institute, shows that 65 out of every 100 Mexicans are against opening up Pemex, the world’s seventh-largest oil producer with annual sales of more than $100 billion. “Energy, particularly oil, continues to be the stronghold of Mexican nationalism,” said CIDE. Pemex reform not key- renewables too easily exploited Lee, 11 -- Houston Journal of International Law executive editor [Zachary, "The Silver Lining to a Cloudy Situation," Houston Journal of International Law, 2011, 33.2, ebsco] WITH OR WITHOUT PEMEX REFORM Much has been made of Mexico’s efforts to inject private capital and expertise into Pemex.42 Likewise, much has been made of the absolute failure of these efforts.43 The result is a stagnation of Mexico’s oil industry and an inability to exploit the potentially vast oil reserves in the deep waters of the Gulf of Mexico.44 Fortunately, renewable energy in Mexico does not face the same obstacles to private investment, and Mexico’s wind and solar potential can be exploited relatively easily.45 President Calderón has made it clear that Mexico’s energy industry will continue to grow—with or without Pemex reform: “With nothing but wind power, without burning a drop of petroleum, we are generating electricity so people can live better, so companies can produce more and generate more jobs, and so that people here can benefit through rent or association with these projects.”46 Reform cuts government revenues and public services Siskind 6/25 [Cory, research analyst for Control Risks, a global risk management consultancy] (Mexico Plays the Waiting Game on Big Reforms, Huffington Post, 06/25/2013, http://www.huffingtonpost.com/cory-siskind/mexico-plays-the-waiting-_b_3493542.html) Members of Mexico's left-wing Party of the Democratic Revolution (PRD) party are skeptical. Beyond the political complications of amending Mexico's constitution lies a historical distrust of foreign competition in the energy sector. US and Anglo-Dutch oil companies operating in Mexico were expropriated in 1938 by then President Lázaro Cardenas, a source of national pride for most citizens. Some Mexicans believe that opening the oil giant will dramatically decrease government revenue, of which PEMEX currently provides approximately 35%. They fear that this, in turn, will reduce government spending on badly needed public services.¶ Another challenge to the speedy passing of energy reforms is the rupture of the political cohesion seen in early 2013. The PAN, party of former presidents Felipe Calderón and Vicente Fox, ousted its senate party leader, Ernesto Cordero, on May 20. The ousting, as well as July 7 local elections, has caused a shake-up in the party. Divisions are solidifying between two factions and tensions have come to a head in recent weeks. Yet, while the shake-up may delay the approval process, it is unlikely to entirely halt the passage of energy reforms. Says “No” Mexico says no – empirics prove conditional engagement is contentious James C. Mckinley Jr. 8 - (journalist for The New York Times, "Conditions on U.S. Aid in Drug Fight Anger Mexico" http://www.nytimes.com/2008/06/07/world/americas/07mexico.html?_r=0)//AP MEXICO CITY — Few slights irk Mexican politicians so much as when Washington treats Mexico like a backward country in need of outside anger raged full throttle this week as top Mexican officials threatened to walk away from a major United States aid package to help defeat drug traffickers. The reason: Democrats in the House and Senate have tied the aid to guarantees that the police and military will not violate human rights. Officials from President Felipe Calderón on down have assailed the idea that the United States Congress would withhold a quarter of the aid for Mexico if it did not meet human rights standards, calling it an attack on their sovereignty. “The bills approved by both chambers of the United States Congress contain some aspects that make them, in their current versions, unacceptable to our country,” Interior Minister Juan Camilo Mouriño said Monday. A day later, President Calderón said, “My government will defend at all times its national sovereignty and the interests of Mexicans and we will act strictly in accordance with the Constitution, and, of course, we will not accept conditions that simply are unacceptable.” A chorus of similar protests went up this week from Mexican lawmakers, prosecutors and law enforcement officials, who called the bills insulting and reeking of Yankee arrogance. Some pointed out the United States had no room to talk, given the detention facility at Guantánamo Bay, Cuba. Others said Mexico had not asked for unilateral aid from America, but a partnership in fighting crime. Some politicians complained that drug consumption in the United States, along with the sale of arms to Mexican drug dealers by American arms merchants, were driving the violence here. “The guidance, and that only thing we need is for them to stop selling arms to narcotics traffickers,” said Javier González Garza, the leader of the left-wing opposition party in the Chamber of Deputies. Democratic leaders in the United States Congress, however, have stood firm. They refused to hand over $350 million to $400 million in aid, including Black Hawk helicopters, to military and police forces with a checkered human rights history unless they got assurances that abuses would be prevented and prosecuted. Human rights conditions on US aid to Mexico drive widespread opposition in Mexico and hurt relations between the countries Ellingwood, 08 Ken, LA Times staff writer since 1992, based in Mexico City, with responsibility for covering Mexico and Central America, 6/5, http://articles.latimes.com/2008/jun/05/world/fg-merida5, “U.S. aid offer angers Mexico,” ADM MEXICO CITY — Billed as a way to strengthen bilateral ties, a proposed U.S. aid package for Mexican crime-fighting efforts has into a fresh reminder of the prickly dynamics that often drive the two nations apart. At issue are human rights conditions that Congress attached to the so-called Merida Initiative, a three-year $1.4-billion proposal instead turned by the Bush administration to equip and train security forces in Mexico, Central America and the Caribbean to combat drug trafficking. Senior Mexican officials have called the provisions a form of U.S. interference and threatened to turn down the first-year installment if the conditions survive in a final version yet to be worked out by the House and Senate. The two chambers approved different first-year sums for Mexico, $400 million in the House and $350 million in the Senate. But both imposed requirements to guard against human rights abuses and corruption by Mexican officials. "The legislative initiatives approved in both chambers of the U.S. Congress incorporate some aspects that make them, in their current versions, unacceptable for our country," Juan Camilo Mourino, Mexico's second-highest-ranking official and a proxy for President Felipe Calderon, said this week. Mexican Public Safety Secretary Genaro Garcia Luna, who leads the government's current crackdown on drug trafficking, said the money wouldn't make or break the effort. That campaign, which includes 45,000 troops and federal police, has come as violence has claimed more than 4,100 lives since Calderon took office in December 2006. Garcia Luna suggested that the money might do more good on the U.S. side to quell arms-smuggling across the border into Mexico. The Mexican comments are aimed, in part, at persuading the Democrat-controlled Congress to delete the human rights provisions. Congress required that alleged violations by soldiers be prosecuted by civilian authorities rather than the military and that assistance be barred for authorities involved in corruption. The flap highlights the delicate political sensitivities that hover over the U.S.-Mexican relationship . Mexicans, who haven't forgotten losing a war to the United States 160 years ago, are fiercely protective of their sovereignty. Officials here are quick to resist what they see as efforts by their northern neighbor to assert its will south of the border. Mexicans often frame the problem of drug violence, which has left more than 1,400 dead here thus far this year, as one driven mainly by the U.S. appetite for illegal drugs. For their part, U.S. officials have long been wary of granting security aid to Mexico, with its history of corruption and the army's human rights record. "Ensuring that our tax dollars are spent effectively and in accordance with basic human rights is the least that Congress and the taxpayers have a right to insist on," said U.S. Sen. Patrick J. Leahy, a Vermont Democrat who chairs the Senate Appropriations subcommittee on foreign aid. Still, some analysts say the good news is that all sides seem to agree on the need for collaboration against drug trafficking. "These are the growing pains of a closer cooperation," said Andrew Selee, director of the Mexico Institute at the Woodrow Wilson International Center for Scholars in Washington. "It's a difficult relationship. It's not going to be the last time there are misunderstandings." Mexican critics of the aid conditions have drawn parallels to drug certification of the 1990s -- the annual process in which the U.S. judged the anti-drug efforts of recipient countries before doling out aid. The policy angered Mexico and strained bilateral relations . The newest initiative grew out of meetings between President Bush and Calderon in March 2007 in Merida, Mexico. Mexico would get military hardware, such as helicopters and surveillance airplanes, along with high-tech scanners to detect drugs and other contraband and training and equipment for police. The proposal includes $100 million in the first year for efforts in Central America, Haiti and the Dominican Republic. Bush administration officials warn that the congressional conditions could torpedo the package and deal a blow to Calderon's 18-month-old war on organized crime. Mexican commentators say the aid conditions are little more than U.S. meddling. "To turn this initiative into a form of institutional scrutiny of our armed forces and the government in general is an affront," columnist Federico Reyes Heroles wrote in the daily Reforma newspaper. Mexico says no AP 8 - (Associated press quoting mexican gov't, "Mexican government rejects conditions U.S. lawmakers have imposed on drug aid" http://legacy.utsandiego.com/news/mexico/20080602-1651-mexico-usaid.html)//AP MEXICO CITY — The Mexican government warned Monday it would not accept conditions that the U.S. Congress has imposed on an aid package to combat drug trafficking. The Merida Initiative would provide $1.4 billion over several years to help Mexico, Central America, the Dominican Republic and Haiti combat drug trafficking. But the U.S. House and Senate have imposed several conditions on the aid, including guarantees of civilian investigations into human rights abuses by the Mexican military. Interior Secretary Juan Camilo Mourino said the conditions were “counterproductive and profoundly contrary to the object and spirit” of the initiative announced by U.S. and Mexican officials last year. “The initiatives approved by both chambers of the U.S. Congress incorporate some aspects that, in their current versions, are unacceptable for our country,” Mourino said. The House and Senate approved different amounts for the first installment of the aid, and the two versions must be reconciled. Both bills fell well short of the $500 million sought by the Bush administration.