This paper shows that the evolution of the level of Mexico real and real per capita output between 1895 and 2008 can be adequately described through a trendstationary model, affected by 4 structural breaks, which occurred at dates that seem to coincide with domestic institutional arrangements,...

This paper finds that shocks to net financial inflows, world oil prices, the U.S. growth rate, and the lagged real exchange rate explain most of the fluctuations in Mexico’s annual growth since 1979. The paper also estimates how the effects of these external constraints have changed since...

Based on satellite photos of night light from NASA and the U.S. Department of Defense, and using the methodology proposed by Henderson, Storeygard and Weil (2012), this paper measures the economic growth of the main 15 beach tourist areas in Mexico for the period from 1993 to 2017. This...

How does imperfect law enforcement affect drug trafficking, predation on firms, informality, and aggregate production? To quantify it, a general equilibrium occupational model is developed in which there is room for drug trafficking, crime against businesses, and tax evasion in the presence of...

There are evidences that the actual global crisis affected the convergence process in EU. Generally, just new adhered countries were more affected by the actual crisis. Today all forecasts are suffering by uncertainty. Last time, economists, with their methods and models, are invoked for actual...

This paper sheds light on two problems in the Penn World Table (PWT) GDP estimates. First, we show that these estimates vary substantially across different versions of the PWT despite being derived from very similar underlying data and using almost identical methodologies; that this variability...

During the last years, Mexico has registered relatively large output falls. The business cycle accounting method of Chari, Kehoe and McGrattan (2007) is applied to the two most recent recessions in Mexico (including the 'Tequila crisis') in order to understand what are the most important wedges...

In this paper, I document the existence of unconditional convergence in labor productivity across Mexican states in three-digit manufacturing industries. The rate of convergence for the period 1988-2018 is 1.18% per year. However, this result does not hold at the aggregate level: I find no...

This document presents an alternative to measure informal economic activity at the municipal level for the 2013-2020 period in Mexico. Using satellite images of nightlight and microdata from the 2019 Economic Census, the formal and informal Value Added at the municipal level is estimated using a...

This paper studies the behavior of investment during demographic transitions. In particular, I focus on the period where the working age to population ratio reaches its maximum, namely the demographic window. I document that in Europe, Asia, and Oceania investment rates are higher 15 years...