These metals would be collected and sent back to their mother colony of Spain. Through their practice of the Encomienda, a system of using the indigenous peoples, including women and children, as a source of cheap labor, the Spaniards were able to make huge gains. Mexico became the "crown of the Spanish Empire" and was responsible for up to four-fifths of the world's supply of silver. Therefore, Spain tightly restricted trade and controlled all imports and exports from Mexico. All products of Mexico were trafficked through Spain and the Spanish king received a one-fifth share of all the precious metals found called the "quinto real". The exportation of all these precious metals helped to greatly stimulate the economy in Spain, but Mexico remained far behind in developing a profitable economy. .
Mexico's economic inequalities lead the indigenous peoples of Mexico to denounce the Spanish crown and claim their independence, a war ensued and after ten years of fighting the Spanish finally succumbed to the Mexicans. Mexico gained its independence. Mexico's economy was laid in ruins after the Ten Years War. All the mining and shipping once controlled by the Spanish became non existent and most mines and ports were destroyed or sabotaged during the battles. Much of the infrastructure was destroyed, such as the towns, roads, and agriculture. Mexico's geographic landscape lacked many of the necessary conditions for development and a booming economy. Additionally, Mexico had an inefficient climate and a serious need for natural resources; resources that were unattainable in those regions. Although Mexico has a large coastline for ports, it lacks requirements such as large rivers for transportation and more importantly hardwood forest to develop a shipping industry. This leads to Mexico eventually borrowing a great sum of money from Great Britain at high interest just to sustain itself in the aftermath of the war.
