This exercise estimates the level of competitiveness for the 32 federal states of Mexico taking into account production, productivity, employment and wages in 82 activities representing 95% of total GNP. There are two types of Mexican states in respect of economic performance. The competitive...

Based on growing theoretical literature, we present evidence from Mexico regarding the weak effectiveness of federal transfers and low absorption capacity of states and municipalities in poor countries in the presence of corruption and opportunistic behavior. We show that the distribution of...

The individual behavior in the credit market has been poorly studied for the Mexican Economy. We do not know about the mechanism used to solve liquidity restrictions. We neither know the suppliers that provide more credits. It is important to identify whether individuals use the credit market to...

The analysis of agriculture and cattle activities in localities of the state of Guanajuato privileges production for their own consumption. Just a few municipios produce in excess for the country markets, mostly in grains, porks, poultry and alfalfa. Complementarity within the sector and with...

This study shows that financing municipalities in Mexico is a segmented market. On the one hand, metropolitan and large municipalities have access to funds through the traditional, though efficient, channels such as commercial banking loans or the money-bond-market. In this sense these...

Non-communicable chronic diseases (NCDs) are amongst the principal burdens of disease in both developed and underdeveloped countries. The main causes of these illnesses are well known. They are tobacco use, unhealthy diet, physical inactivity and the harmful use of alcohol. The prevalence of...

Electricity transmission has become the pivotal industry segment for electricity restructuring. Yet, little is known about the shape of transmission cost functions. Reasons for this can be a lack of consensus about the definition of transmission output and the complexity of the relationship...

We study the problem of an investor that buys an equity stake in a entrepreneurial venture, under the assumption that the former cannot monitor the latter’s operations. The dynamics implied by the optimal incentive scheme is rich and quite different from that induced by other models of...

Market failures in human capital investment and innovation explain the main features of human development and economic growth. This is shown in a Schumpeterian multi-country model with technology transfer and trade. Thus, only institutions expanding investments in nutrition, education, health,...

I analyze a problem of assigning heterogeneous agents (tenants) to heterogeneous principals (landlords), where partnerships are subject to moral hazard in effort choice. The agents differ in wealth endowment and the principals differ in land quality. When the liability of each agent is limited...