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Modernization, Heterogeneity and Employment in Mexico

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  • Lopez Julio

Abstract

The principal objective of this paper is to study the effects of Mexico's recent economic reforms on employment and labour productivity. The author argues that the globalization and modernization entailed by the reforms tended to accentuate the structural heterogeneity and the differentials in productivity levels between different sectors.While in formal activities the growth rate of labour productivity accelerated, the contrary occurred in informal activities. Given the relatively moderate rate of increase in output and employment of formal activities, it is very likely that the greater heterogeneity has contributed to the decrease in the average growth rate of labour productivity as observed in Mexico in the period studied.

Suggested Citation

  • Lopez Julio, 2002. "Modernization, Heterogeneity and Employment in Mexico," International Review of Applied Economics, Taylor & Francis Journals, vol. 16(2), pages 227-242.
    • Handle: RePEc:taf:irapec:v:16:y:2002:i:2:p:227-242
    DOI: 10.1080/02692170110118939
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    References listed on IDEAS

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    1. repec:bla:econom:v:61:y:1994:i:242:p:237-51 is not listed on IDEAS
    2. A. P. Thirlwall, 2015. "A Plain Man’s Guide to Kaldor’s Growth Laws," Palgrave Studies in the History of Economic Thought, in: Essays on Keynesian and Kaldorian Economics, chapter 14, pages 326-338, Palgrave Macmillan.
    3. Gordon H. Hanson & Ann Harrison, 2022. "Trade Liberalization And Wage Inequality In Mexico," World Scientific Book Chapters, in: Globalization, Firms, and Workers, chapter 3, pages 43-60, World Scientific Publishing Co. Pte. Ltd..
    4. Revenga, Ana, 1995. "Employment and wage effects of trade liberalization : the case of Mexican manufacturing," Policy Research Working Paper Series 1524, The World Bank.
    5. Cragg, Michael Ian & Epelbaum, Mario, 1996. "Why has wage dispersion grown in Mexico? Is it the incidence of reforms or the growing demand for skills?," Journal of Development Economics, Elsevier, vol. 51(1), pages 99-116, October.
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