TWO NATIONS BORDERING ON CHANGE

MEXICO CITY -- After toppling more than 70 years of authoritarian,
one-party rule in Mexico, it seemed Vicente Fox would be welcomed with open
arms north of the border.

Yet Fox, who becomes president today, is pushing for more than just change
in Mexico. Some of his proposals -- that the United States do more to fight
drug trafficking, that Mexican workers eventually be able to move freely
across the border -- have put some in Washington on the defensive.

Fox, the former Coca-Cola executive whose inauguration marks the first
hand-over of power to another party in Mexico's modern history, hasn't been
shy since his July 2 victory shocked and excited the world. He immediately
began preaching his vision of a modern, efficient Mexico, traveling around
the world to seek international support.

In the United States, wearing his signature cowboy boots, Fox asked
presidential candidates Al Gore and George W. Bush to support expanding the
North American Free Trade Agreement into a common market, allowing the free
movement of all goods and workers across borders.

Both were lukewarm to the idea, likely in part because it touched on the
controversial topics of immigration and NAFTA weeks before the closest U.S.
presidential race in 40 years.

"Neither candidate really wanted to go out on a limb on anything like drugs
or immigration or NAFTA," said Riordan Roett, a Latin American expert at
Johns Hopkins University.

Fox was undeterred.

"I will continue to insist on this, and I know I will win the battle," he
said recently. "I am going to persuade Bush or Gore, whoever it is. And I
am going to persuade the American people."

Many may not need persuading. Teresa Buan of Chicago said she doesn't have
any problem with opening the Mexican border.

"I think people from Mexico are taking jobs that nobody else here wants,"
she said, sitting on a park bench during a family vacation to San Antonio.

Reading a book nearby, Luis Lara, an electrician whose
great-great-grandparents came to the United States from Mexico, said he
hoped Fox could at least improve conditions for those trying to cross the
border.

"People lock them in boxcars, take their money and promise them all their
dreams," he said. "They are taking advantage of all those people."

But Fox's persistence -- and his willingness to speak his mind -- may be
tough for Washington, which traditionally set the agenda when dealing with
the outgoing Institutional Revolutionary Party.

"Vicente does like big ideas. His nature is to be ambitious, and that of
course is a good thing. But it could also be an Achilles heel," said Delal
Baer, a Mexico analyst at the Center for Strategic and International
Studies, a Washington think tank.

Sending up more warning flags in Washington was Fox's announcement that
Jorge Castaneda, a New York University professor who has often been viewed
as anti-American, will serve as foreign secretary.

Fox's brashness has squelched some of Washington's initial enthusiasm about
his election, analysts say.

One upcoming battle could be over Mexico's anti-drug certification, the
State Department's annual drug-fighting performance evaluation. Mexico's
government has long resented the process, saying it is unfair for the
United States alone to decide.

Complaints about U.S. policy may become louder under Fox. According to
Roett, that may not be all bad.

"Just be prepared for a much more open, and I think more honest, discussion
of some of these problems," Roett said. "It will make for a much more
interesting, but somewhat rockier relationship than what it has been."

The biggest adjustment may be in Washington.

"This is a new game, and I think that the United States has got to accept
that," Roett said.

Still, if Fox can turn things around in Mexico, he may be able to make all
the noise he wants.

"The U.S. has always been terrified of Mexico. It's a huge poverty belt
with tremendous amounts of problems, corruption," said economist Jonathan
Heath. "If the United States sees a president who can seem to start solving
these types of problems, it will be in the U.S.'s interests."

Major proposals by Mexican President-elect Vicente Fox, who takes office
Friday:

ECONOMY: Reduce poverty by 30 percent, create more than 1 million jobs a
year, open oil and electricity sectors to some private investment, revamp
tax system, establish microlending program to provide credit for the poor,
work toward eventual common market with United States and Canada that could
include free movement of workers.

OIL: Continue close relationship with OPEC while opposing sharp increases
in crude oil prices.

JUSTICE: Overhaul police forces top to bottom, splitting attorney general's
office between police and prosecutors, create new force similar to the FBI,
establish new secretariat for law enforcement.

CORRUPTION: Create new posts of federal comptroller and special adviser on
judicial reform, establish congressional "Transparency Commission" to dig
into past scandals.

DRUGS: Remove army from anti-drug duties, pressure U.S. to contribute more
to fight, encourage United States to end policy of "certifying" foreign
anti-drug efforts.

FOREIGN POLICY: Forge more trade-oriented ties around world, oppose U.S.
embargo on Cuba.

EDUCATION: Create broad scholarship program to help poor children go to
college.

REBELS: Implement peace accords with rebels and withdraw army from parts of
Chiapas state, restart negotiations with Zapatista rebels.

INDIANS: Create new office on Indian affairs, establish incentives for
export-oriented businesses in heavily Indian areas.

IMMIGRANTS: Pressure United States to issue more temporary work visas to
Mexicans, eventually open border. End mistreatment of Central American
immigrants crossing Mexico, pressure United States to treat Mexicans better
regardless of legal status.