Abstract
The aim of this paper is to examine the current and potential capability to promote the green economy in Mexico, simultaneously detecting new opportunities for diversification and “green” productive sophistication so that Mexican entities can move toward environmentally friendly ecological products. For this, we adopted a novel methodology to measure the productive capabilities of the green economy in Mexico, thereby discovering the green product space at a subnational scale. Economic complexity methods were used to estimate the Green Complexity Index (GCI) and the Green Complexity Potential (GCP) for 32 Mexican regions considering a time series from 2004 to 2018 and a set of data on international trade in ecological products. The main findings are reflected in a grid of the Green Adjacent Possible (GAP) and a heatmap that shows the “grasslands” (current green products by state). The results are likely to influence industrial policy and state innovation agendas. A limitation of this work is that it is based only on data from the formal, industrial, and regulated economy. The originality lies in the fact that there were no previous studies in the context analyzed, and the fecundity of the research reflects the need to expand the study with a focus on green business models.
Highlights
Nations and regions around the world are moving toward a green economy
Similar to previous studies, regarding the product space for the entire set of traded products, we found that green products with lower Product Complexity Index (PCI) tended to be located in the periphery of the green product space, while products with higher PCI were located in the core [3,16]
The present work is framed at the mesoeconomic level and made an adequate compilation of data, which allowed the generation of a study in the Mexican context that serves to provide a first approach toward the green product space
Summary
Nations and regions around the world are moving toward a green economy. Sustainable economic growth, innovation, caring for the environment, and social inclusion are the main driving forces behind this new economic approach. An economy based on neoclassical thought and whose production processes are concentrated in the search for the maximization of benefits and the growth of the gross domestic product These economic benefits have deteriorated the natural environment due to the use of fossil fuels in production processes, the overexploitation of natural resources and the increase in the amount of waste derived from production and consumption. In this sense, moving from a brown economy to a green economy represents a paradigm shift that requires a set of gradual, constant and exponential changes within the different areas and sectors of the economy that in the medium and long term will reflect greater efficiency and sustained economic growth. These changes should not compromise access to natural resources and the quality of the environment and should ensure social inclusion by reducing poverty levels and economic inequality as well as unemployment problems [1]
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
