Trade Liberalization and Regional Income Convergence in Mexico: a Time-Series Analysis
AbstractWe study the hypothesis of convergence amongst Mexican regions since 1940 with special interest in the post-trade liberalization period. A standard time-series convergence test shows that per capita income levels between the capital and the rest of the regions tend to narrow over time. Using the concept of deterministic and stochastic convergence, we describe the specific characteristics of the growth pattern for each of the regions. We find evidence that supports the hypothesis that trade reforms reversed the convergence process of some regions, especially those less developed. Results further suggest that trade liberalization did not contribute to per capita income convergence between the U.S. and Mexico border regions.
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Bibliographic InfoPaper provided by Universidad de Guanajuato, Department of Economics and Finance in its series Department of Economics and Finance Working Papers with number EM200702.
Length: 16 pages
Date of creation: Mar 2007
Date of revision:
Publication status: Published in Trimestre Económico (2009)
Contact details of provider:
Postal: UCEA-Campus Marfil, Fracc. I, El Establo, Guanajuato GTO 36250
Phone: [+52 473] 735 2925 x-2925
Fax: [+52 473] 735 2925 x-2925
Web page: http://economia.ugto.org/
More information through EDIRC
Catching-up; Convergence; Deterministic Trend; Unit Root;
Find related papers by JEL classification:
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
- R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-03-31 (All new papers)
- NEP-GEO-2007-03-31 (Economic Geography)
- NEP-INT-2007-03-31 (International Trade)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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