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Regional convergence, road infrastructure, and industrial diversity in Mexico

Duran-Fernandez, Roberto and Santos, Georgina 2014. Regional convergence, road infrastructure, and industrial diversity in Mexico. Research in Transportation Economics 46 , pp. 103-110. 10.1016/j.retrec.2014.09.007

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Abstract

This paper presents a convergence analysis of productivity growth in the manufacturing sector in Mexico using regional data from the National Economic Census 1999 and 2004. The absolute convergence analysis indicates that regional productivity growth follows a slow convergence trajectory. However, a conditional convergence analysis indicates that current productivity gaps can be directly attributed to divergences in the industrial profile of the regional economy as well as to differences in infrastructure endowments. The results of the paper suggest that the productivity gaps which originated from the liberalisation reforms of the 1980s and 1990s will be exhausted in 25 years approximately. The innovation of this paper is the extension of a convergence analysis to the industrial sector. The use of regional data improves the details of the analysis and allows the identification of growth patterns that had not been previously identified. Finally, it applies innovative metrics to model the industrial profile of a region and the value of transport infrastructure.

Item Type: Article
Date Type: Publication
Status: Published
Schools: Geography and Planning (GEOPL)
Subjects: G Geography. Anthropology. Recreation > G Geography (General)
Uncontrolled Keywords: Road infrastructure; Growth; Manufacturing; Mexico; NAFTA; International trade; Border infrastructure; Convergence.
Additional Information: Issue title: Regional Development and Transport Infrastructure in Mexico.
Publisher: Elsevier
ISSN: 0739-8859
Date of First Compliant Deposit: 30 March 2016
Last Modified: 07 Nov 2019 09:04
URI: http://orca.cf.ac.uk/id/eprint/68462

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