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      Black Market Capital

      Black Market Capital

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      URBAN POLITICS AND THE SHADOW ECONOMY IN MEXICO CITY

      Andrew Konove

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      UNIVERSITY OF CALIFORNIA PRESS

      University of California Press, one of the most distinguished university presses in the United States, enriches lives around the world by advancing scholarship in the humanities, social sciences, and natural sciences. Its activities are supported by the UC Press Foundation and by philanthropic contributions from individuals and institutions. For more information, visit www.ucpress.edu.

      University of California Press

      Oakland, California

      © 2018 by The Regents of the University of California

      Library of Congress Cataloging-in-Publication Data

      Names: Konove, Andrew, 1982- author.

      Title: Black market capital : urban politics and the shadow economy in Mexico City / Andrew Konove.

      Description: Oakland, California : University of California Press, [2018] |Includes bibliographical references and index. |

      Identifiers: LCCN 2017049906 (print) | LCCN 2017054559 (ebook) | ISBN 9780520966901 () | ISBN 9780520293670 (cloth : alk. paper) | ISBN 9780520293687 (pbk : alk. paper)

      Subjects: LCSH: Black market—Mexico—Mexico City—20th century. | Mexico City (Mexico)—Economic conditions—20th century. | Mexico City (Mexico)—Politics and government—20th century. | Urban economics.

      Classification: LCC HF5482.65.M3 (ebook) | LCC HF5482.65.M3 K66 2018 (print) | DDC 330—dc23

      LC record available at https://lccn.loc.gov/2017049906

      ClassifNumber PubDate

      DeweyNumber′—dc23 CatalogNumber

      Manufactured in the United States of America

      25 24 23 22 21 20 19 18

      10 9 8 7 6 5 4 3 2 1

       In memory of my father, Ron, and my brother, Jon

      Contents

       List of Illustrations and Tables

       Acknowledgments

       Introduction

      1 • A Pernicious Commerce

      2 • The Baratillo and the Enlightened City

      3 • Shadow Economics

      4 • The Dictator, the Ayuntamiento, and the Baratillo

      5 • Free Trading in the Restored Republic

      6 • Order, Progress, and the Black Market

       Epilogue: The Baratillo and Tepito

       Appendix

       Notes

       Bibliography

       Index

      FIGURES

      1. Vista de la Plaza Mayor de México, ca. 1695

      2. Plano de la Ymperial México con la nueva distribución de territorios parroquiales, 1769

      3. Plaza Mayor, ca. 1760 (1)

      4. Plaza Mayor, ca. 1760 (2)

      5. Plano ichnographico de la Ciudad de Mexico …, 1794

      6. Vista de la Plaza Mayor de México …, 1793

      7. Signatures on a petition from Baratillo vendors, 1794

      8. Plano icnográfico de la Ciudad de México …, 1842

      9. Vista de la Gran Plaza de México, 1843

      10. Broadside criticizing the Mexico City Ayuntamiento for evicting vendors from the Plaza del Jardín, 1872

      11. “Rumbos y Concurrentes,” 1897

      12. “El Baratillo de México,” 1897

      13. View of the Baratillo in Plaza Fray Bartolomé de las Casas, Tepito, 1927

      14. Shoppers in the Baratillo, 1928

      15. Shoppers in Tepito, 2017

      MAPS

      1. Plaza Mayor of Mexico City, 1596

      2. Mexico City, 1793

      3. Mexico City, 1842

      4. Mexico City, 1867

      5. Mexico City, 1901

      TABLES

      1. Census Data for Signatories to May 27, 1842, Letter to Mexico City Ayuntamiento

      2. Census Data for Baratillo Vendors Residing within a One-Block Radius of the Plaza del Jardín in 1882

      This book began in 2006, when I worked at a small microfinance institution in Oaxaca, Mexico. In my role there, I met women and men who operated businesses at the margins of the law—legitimate, yet not fully legal and therefore without all the protections and remedies the law provides. How, I wondered, did that state of legal ambiguity, in which so many people in Mexico and around the world find themselves today, come into being? What, in other words, is the informal economy’s history? To answer those questions, I sought to understand how a society draws lines, over time, between legal and illegal and tolerable and intolerable exchange. This book on Mexico City’s Baratillo—a marketplace that was illegal but eminently tolerable—is the product of that investigation.

      Writing a book requires countless acts of kindness from friends and strangers. A number of people in Mexico City made research on this project possible. The staff of the Archivo Histórico de la Ciudad de México, especially Marlene Pérez, Ricardo Nelson Méndez Cantarell, Alberto Falcón, and Ana Alicia Galindo Méndez, unlocked countless secrets in that archive for me. I am also grateful to the staff at the Archivo General de la Nación, the Archivo General de Notarías, and the Hemeroteca Nacional for their assistance. The Colegio de México offered me an academic home while I was researching the dissertation that became this book. I had the privilege of learning from Marcello Carmagnani, Carlos Marichal, and Sandra Kuntz Ficker while I was there. Guillermina del Valle Pavón, Ernesto Aréchiga Córdoba, and María Eugenia Chaoul became valuable

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