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The (un)lucky neighbour: Differences in export performance across Mexico's states

  • Octavio R. Escobar Gamboa

This paper studies the reasons behind the export performance of different Mexican states from 1994 to 2002. Mexican exports are divided into two components: (1) foreign market potential; and (2) supply capacity. Results suggest that states that experience an increase in supply capacity are, in most cases, also those with better export expansion. However, results suggest that in most cases, export growth is due mainly to an increase in US demand rather than to an improvement in the states' competitiveness to supply this demand. When looking to the determinants of supply capacity improvements, results suggest the presence of positive neighbouring effects. Copyright (c) 2010 the author(s). Papers in Regional Science (c) 2010 RSAI.

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Article provided by Wiley Blackwell in its journal Papers in Regional Science.

Volume (Year): 89 (2010)
Issue (Month): 4 (November)
Pages: 777-799

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Handle: RePEc:bla:presci:v:89:y:2010:i:4:p:777-799
Contact details of provider: Web page: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190

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  1. Penelope Pacheco-López & A.P. Thirlwall, 2004. "Trade Liberalisation in Mexico: Rhetoric and Reality," Studies in Economics 0403, School of Economics, University of Kent.
  2. Thierry Mayer, 2008. "Market Potential and Development," Sciences Po publications 6798, Sciences Po.
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  16. Robert A. Blecker, 2006. "Macroeconomic and Structural Constraints on Export-Led Growth in Mexico," Working Papers 2006-05, American University, Department of Economics.
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