Mexico’s proposed higher mining royalties could block nearly $7bn in investments
The Mexican government proposed raising mining royalties under the argument that metal prices have risen in recent years.
Between March 2008 and March 2009, stocks declined by about 50%. Of course, since March 2009, we’ve seen one of the best periods in history for stock investors, as stocks more than made up their lost ground. But was this really something to celebrate?
Sure, the main stock indices more than doubled in value – but that is only true if you measure your cycle from the depths of the financial crisis. The best way to think of this gain is not as an advance, but as the upswing in a roller coaster of volatility, brought on by systemic factors like irresponsible valuation of securities and a poor regulatory environment.
