at Google ScholarTitle data
Heid, Benedikt ; Larch, Mario ; Riaño, Alejandro:
The Rise of the Maquiladoras : A Mixed Blessing.
In: Review of Development Economics.
Vol. 17
(2013)
Issue 2
.
- pp. 252-267.
ISSN 1467-9361
DOI: https://doi.org/10.1111/rode.12030
Abstract in another language
Mexico experienced a tremendous expansion of its export‐processing maquila sector during the 1990s. Since one of the main objectives of the maquiladora program was to promote formal employment, we study how the rapid increase in maquiladora activity has affected labor market outcomes and welfare in Mexico. We develop a heterogeneous‐firm model with imperfect labor markets that captures salient features of the Mexican economy such as the differences between maquila and non‐maquila manufacturing plants and the existence of an informal sector. We calibrate the model's parameters to match key cross‐sectional moments characterizing the Mexican economy. We find that the expansion of the maquila sector during the 1990s was a mixed blessing for Mexico. Our quantitative model indicates that the skill premium decreased by 2.7%, informality increased by 0.9%, and overall welfare decreased by 3.7%.
Further data
| Item Type: | Article in a journal |
|---|---|
| Refereed: | Yes |
| Institutions of the University: | Faculties > Faculty of Law, Business and Economics > Department of Economics > Chair Economics VI: Empirical Economic Research Faculties > Faculty of Law, Business and Economics > Department of Economics > Chair Economics VI: Empirical Economic Research > Chair Economics VI: Empirical Economic Research - Univ.-Prof. Dr. Mario Larch Faculties Faculties > Faculty of Law, Business and Economics Faculties > Faculty of Law, Business and Economics > Department of Economics |
| Result of work at the UBT: | Yes |
| DDC Subjects: | 300 Social sciences > 330 Economics |
| Date Deposited: | 15 Oct 2015 08:22 |
| Last Modified: | 20 Jan 2022 12:53 |
| URI: | https://eref.uni-bayreuth.de/id/eprint/16656 |