The industries of the future in Mexico: Local and non‐local effects in the localization of “knowledge‐intensive services”

Luis Enrique Santiago

Growth and Change, 2020, vol. 51, issue 2, 584-606

Abstract: The current characteristics in the global economy have defined “knowledge‐intensive services” (KIS) as part of the so‐called “industries of the future” due to the attributes of their employment and central function in the development processes in science, technology, art, and culture. This study outlines as a central hypothesis that the localization of KIS depends on different factors according to the type of knowledge being developed (analytical, synthetic, and symbolic). The main objective in this work is to explore the spatial economic factors associated with the localization and changes (positive and negative) when using KIS in the “national urban system” in México between 2004 and 2014. To do so, the services sector is defined according to the “intensity” and the “types” of knowledge that they develop. An analysis of spatial econometrics is carried out that distinguishes between the geographic (local) effect and the spatial (non‐local) effect of the independent variables using data and microdata from the period 2004 to 2014. The results partly correspond with the central hypothesis of the study and offer possibilities of public policies to take advantage of and to promote the benefits of KIS, especially regarding cities in developing countries looking to become part of the 21st century economy.

Date: 2020
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