ISSN electrónico: 2007-8951
Volumen 50/ Número 196, enero-marzo 2019

Kaldorian Explanation of Low Economic Growth in Mexico
Eduardo Loría, Juan Carlos Moreno-Brid, Emmanuel Salas and Isaac Sánchez-Juárez

This paper uses Kaldor’s first law to provide an explanation for Mexico’s low economic growth over the last four decades. The starting point for analysis is the hypothesis that the lack of dynamism in total production (non-manufacturing) is due to slow momentum in manufacturing and, in particular, to the fact that the Kaldor coefficient has decreased with trade liberalization. Estimates were made (1980.1-2017.2) using the generalized method of moments (GMM) and rolling regression (recursive estimations). These estimates have been useful in solving the problem of serial correlation and have contributed towards a better statistical evaluation of the evolution of the Kaldor coefficient.

Key Words: Economic growth; Kaldor coefficient; manufacturing industry; enclave economy; structural change.

Productivity and Rate of Surplus Value at International Level: An Empirical Evaluation
Gloria Martínez González, Alejandro Valle and César Sánchez

This paper examines the relationship between productivity and the rate of surplus value and seeks to establish if a higher rate of surplus value can be found in developed countries with higher productivity than in underdeveloped countries, a theory consistent with the Marxist conception of this relationship at international level. A methodology was used which incorporated contingency tables, multivariate analysis using clusters and econometric analysis of fixed-effect panel data. The econometric analysis made use of a wide range of databases, with data from studies ranging from the post-war period to the first decade of the 21st century.

Key Words: Productivity; rate of surplus value; theory of accumulation; Marxist theory; econometric analysis.

Public Social Expenditure, Access to Drinking Water and Sanitation
for Rural Populations in Latin America
Diego E. Pinilla-Rodríguez and Yadier A. Torres-Sánchez

The aim of this study is to shed light on the nature of the relationship between public social spending and water and sanitation coverage for rural populations in Latin America between 1994 and 2014. Using generalized least squares, four models were proposed to describe the relationship between the percentage of coverage in both urban and rural populations with public social spending, as well as with other control variables. Their co-integration has also been established. The evidence indicates that there is a highly-consistent positive correlation between public social spending and the level of coverage in those rural populations in which high access costs are normally incurred. These costs increase when there is no nearby water source or participation mechanisms. Therefore, state intervention has been necessary to increase coverage.

Key Words: Public social spending; drinking water; sanitation; rural populations; public infrastructure; econometric analysis.

Creative Economy and Urban Wages in Mexico
Marcos Valdivia López and Isabel Rodríguez Luna

This research paper analyzes the effects of employment in creative economic activities on urban wages in Mexico during recent years. The results indicate that wages in creative occupations and industries are higher than those in jobs related to non-creative economic activities. Likewise, quantile regressions show that creative employment has a heterogeneous effect throughout wage distribution, the greatest impact being in the upper end. Understanding this heterogeneous effect is fundamental to understanding urban wage inequality in Mexico.

Key Words: Employment; creative economy; urban wages; salary distribution; quantile regressions.

A Case Study in Mining and Unsustainable Development: San Juan, Argentina
Margarita Moscheni

“Mining is the main engine of development”, is one of the most commonly used arguments in support of the activity. This paper is the product of comprehensive interpretive research, which aims to test this hypothesis, using extractive mining in San Juan, a province in the center-west of Argentina, as a case study. One of the key findings of this study is that high foreign investment in mining is not synonymous with development. To the contrary, mining creates growth which is concentrated, exclusive and unsustainable, and which undermines external commercial apparatus, displaces traditional modes of production and triggers a process of socio-environmental conflicts, causing irreversible ecological damage.

Key Words: Mining; San Juan province; foreign investment; exports; environmental pollution; ecological damage.

Fuel Subsidies Policy in Brazil: A Simulation of the Macroeconomic Impact
Bruna Lira and Nelson Paes

Between 2011 and 2014, the Brazilian government granted generous fuel subsidies via Petrobras. This paper adopts a macroeconomic model to estimate the changes that would take place in the consumption and production of fuels and other goods present in the Brazilian economy if the fuel subsidy were removed. The results suggest that the reduction of fuel subsidies, if offset by a reduction in taxation on consumption, capital, or labor, would reduce fuel consumption and increase the consumption and production of other goods. If the withdrawal of the subsidy were offset by a reduction on fuel tax, the consumption of all goods would increase, thereby proving this measure to be the most beneficial course of action.

Key Words: Fuels; subsidies; production; consumption; prices; macroeconomic model.

Multisectoral Analysis of Electricity Price Increases in the Mexican Economy
Jaime Vaca, Gaspar Núñez and Antonio Kido

This paper presents a multisectoral analysis of the increase in electricity prices in the Mexican economy, applying a pricing model and using the most recent input-output matrix. Increases in the manufacture of petroleum derivatives and coal, as electricity sources, are also analyzed. Additionally, increases in the generation, transmission and distribution of electricity are studied. The key findings obtained from this analysis show that a 40% increase has the most significant impact on sectors such as air transport (7.76%); land passenger transportation (6.04%) –except rail–, tourist transport (6.04%) and on the generation, transmission and distribution of electricity (5.58%). This increase in turn impacts all subsectors of the national economy.

Key Words: Electricity; prices; energy transmission and distribution; multisectoral analysis; input-output matrix.