Effects of the agglomeration and the industrial links in the pattern of manufacturing growth in Mexico

Jorge Mendoza and Alberto Peréz Cruz ()
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Alberto Peréz Cruz: Universidad Autónoma de Tamaulipas

INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, 2007, issue 10, 109-134

Abstract: The Mexican economy experienced a geographical dispersion of the manufacturing sector localization that favored the northern border region and the states surrounding Mexico City during the period 1980-2003. The result was caused by the previous higher concentration and because of the economic liberalization of the Mexican economy since 1985. A generalized method of moment econometric model was developed to estimate the influence of manufacturing agglomeration, inter-industrial links and distance in the location decisions of the manufacturing firms. The results showed evidence that industrial dispersion has had a negative impact in localization of manufacturing firms, weakening the inter-industrial links and the economies of scale.

Keywords: Regional economics; growth and development analysis; industrial studies; industrialisation (search for similar items in EconPapers)
JEL-codes: O14 R11 (search for similar items in EconPapers)
Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:ris:invreg:0136

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