Maquiladora Employment Dynamics in Chihuahua City, Mexico
Greater economic integration between developing and higher income economies has caused increased 'north-south' business cycle linkages. This study applies a linear transfer function ARIMA approach to analyze regional maquiladora payroll dynamics in a non-border region of Mexico. Statistically significant responses occur as functions of variations in the exchange rate, real wages, foreign investment, and United States industrial activity. Simulation testing is also conducted as another means of empirical model verification.
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- Ashley, Richard, 1988. "On the relative worth of recent macroeconomic forecasts," International Journal of Forecasting, Elsevier, vol. 4(3), pages 363-376.