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Mexico’s inter-regional inequality: a convergent process?

Author

Listed:
  • Alfonso Mendoza-Velázquez

    (Centro de Investigación e Inteligencia Económica (CIIE))

  • Daniel Ventosa-Santaulària

    (Centro de Investigación Económica (CIDE))

  • Vicente Germán-Soto

    (Universidad Autónoma de Coahuila)

Abstract

Using a recently proposed Euclidian measure to quantify inter-regional inequality in per capita GSP (gross state product), we study the convergence among Mexican states during the 1940–2010 period. In ten cases, we find that GSP inequality diverges while the rest of the states’ GSP inequality can be described as the following catching-up or lagging behind processes. For the later processes, we also find evidence of structural breaks. The shifts in the evolution of regional inequality in Mexico for various cases coincide with two distinct periods: the “Mexican Miracle” phase and the “oil/debt crisis” phase.

Suggested Citation

  • Alfonso Mendoza-Velázquez & Daniel Ventosa-Santaulària & Vicente Germán-Soto, 2019. "Mexico’s inter-regional inequality: a convergent process?," Empirical Economics, Springer, vol. 56(5), pages 1683-1705, May.
    • Handle: RePEc:spr:empeco:v:56:y:2019:i:5:d:10.1007_s00181-017-1401-8
    DOI: 10.1007/s00181-017-1401-8
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    Cited by:

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    More about this item

    Keywords

    Inter-regional inequality; Euclidean inequality measure; Mexico; Unit roots; Deterministic trends; Structural breaks;
    All these keywords.

    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics

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