The geographic concentration in Mexican manufacturing industries, an account of patterns, dynamics and explanations: 1988-2003/La concentración geográfica de las industrias manufactureras de México, un recuento de los patrones, su dinámica y sus explicaciones: 1988-2003

This paper presents an examination of regional concentration levels of individual industries in the Mexican manufacturing sector and its determinants. The shifts after NAFTA are particularly weighed up. We employ state level data of manufacturing output and employment (1988-2003). The data reveals t...

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Bibliographic Details
Published in:Investigaciones regionales 2010-07 (18), p.37
Main Author: Nieto, Alejandra Berenice Trejo
Format: Article
Language:English
Subjects:
Economic activity
Economic reform
Employment
Geography
Industrial concentration
International markets
Localization
Manufacturers
Manufacturing
North American Free Trade Agreement
Regression analysis
Studies
Trade liberalization
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Summary:This paper presents an examination of regional concentration levels of individual industries in the Mexican manufacturing sector and its determinants. The shifts after NAFTA are particularly weighed up. We employ state level data of manufacturing output and employment (1988-2003). The data reveals that industries have become, on average, more dispersed in terms of both production and employment. However among the most concentrated industries are those which are highly linked to international markets. The concentrated, concentrating and largest industries tend to locate in traditional industrial regions, in the north but increasingly more in the Bajio. The regression analysis for the determinants of concentration shows consistency with a number of predictions such as the significance of economies of scale, wages, exports and transport costs, which indicates that international trade plays a role in concentration profiles of industries. [PUBLICATION ABSTRACT]
ISSN:1695-7253
2340-2717