Major problems of higher education in Mexico are addressed in the context of the country's developmental stages, socioeconomic conditions, and demographics. Important factors in modern Mexican history include: population growth, public and private investment to stimulate socioeconomic activities in different regions of the country, and financial problems. In higher education, the number of students has increased dramatically; yet, the economic crisis has limited public resources for expanding educational services and has restrained the student's capability to continue schooling. Despite large increases in government subsidies to public universities, the level of funding does not compensate for inflation and for the developmental needs of institutions. To respond to the recently created groups of students and institutions, significant numbers of new teachers were hired; however, many were new graduates without teaching experience. Colleges and universities are mainly concentrated in the most urbanized areas of the country. The distribution of students by type of postsecondary institution and major is also considered. Eight figures and three tables are provided. (SW)