Why has economic growth stuttered in Mexico despite, on the face of it, implementation of sensible economic policies by successive governments?

Since the 1990s, Mexican governments have done a lot right economically speaking. Inflation has been brought down and the economy stabilised, while exports have also flourished. And yet Mexico has struggled to translate this into significant economic growth. In this VoxDev talk, Santiago Levy discusses his book Under-rewarded efforts: The elusive quest for prosperity in Mexico, which attempts to explain this puzzle. He illustrates that the key to this paradox is the huge productivity differences that exist among Mexican firms. 

Mexico Labour Markets Economic growth Productivity Washington Consensus Informality Social services