Abstract

The Mexican economy has moved to an outward growth model that has resulted in a spatial restructuring of manufacturing activities. This transformation has allowed the incorporation of the regional economy, in which the local and the global interact to promote the expansion and well-being of the localities. The general objective of this paper is to describe the performance of manufacturing in Mexico through its regional composition based on total factor productivity (TFP) in the period 1993-2018. The applied methodology is the Solow Residual model with a Cobb-Douglas production function with constant marginal returns to analyze the sources of growth. The results show regional asymmetries in TFP growth, on the one hand, the northern border and central-north regions register significant growth and, on the other, the central and southern regions have lagged due to inefficient performance that has resulted in a limited productivity performance of Mexican manufactures.

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