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The Transfer of Industrial Product Value to the Service Sector in Mexico's Economic Structure 2000–2018

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  • Marquez Mendoza, Marco Antonio

  • García Gonzalez, Óscar Arturo

Abstract

In Mexico, the services sector plays a prominent role in productive activity due to the effects of manufacturing production oriented toward foreign trade. The growth of services has little impact on economic growth due to its low interaction with other sectors and the lack of industry maturity. However, a concerning aspect is the increase in manufacturing production, which heavily depends on the use of imported inputs. The research applies the Input-Output model methodology and Growth Analysis using the Input-Output Tables from 2000 and 2018 published by the OECD to examine the effect of production and the use of factors in the services sector on economic growth. The study concludes that, in the short term, the growth of services is driven by the industry's impact. In contrast, in the long term, services follow a growth path heavily reliant on imported intermediate inputs, similar to industry.

Suggested Citation

  • Marquez Mendoza, Marco Antonio & García Gonzalez, Óscar Arturo, 2025. "The Transfer of Industrial Product Value to the Service Sector in Mexico's Economic Structure 2000–2018," Revista Galega de Economía, University of Santiago de Compostela. Faculty of Economics and Business., vol. 34(3), pages 1-22.
    • Handle: RePEc:sdo:regaec:v:34:y:2025:i:3_1
    DOI: 10.15304/rge.34.3.10071
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    References listed on IDEAS

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    More about this item

    Keywords

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    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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