Chapter

Globalization, Labor Income, and Poverty in Mexico

Gordon H. Hanson

in Globalization and Poverty

Published by University of Chicago Press

Published in print April 2007 | ISBN: 9780226317946
Published online February 2013 | e-ISBN: 9780226318004 | DOI: http://dx.doi.org/10.7208/chicago/9780226318004.003.0011
Globalization, Labor Income, and Poverty in Mexico

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This chapter investigates the different outcomes for individuals born in Mexican states with high exposure to globalization versus individuals born in states with low exposure to globalization between 1990 and 2000. High exposure to globalization does not indicate high exposure to emigration. In Mexico regions, more exposed to globalization have done better in terms of income growth. During Mexico's globalization decade, individuals born in states with high exposure to globalization appear to have done much better than individuals born in states with low exposure to globalization. Thus, they did relatively well in terms of their labor earnings. Labor income in low-exposure states fell relative to high-exposure states by 8–12 percent, and the incidence of wage poverty increased in low-exposure states relative to high-exposure states by 7 percent.

Keywords: globalization; Mexico; labor income; labor earnings; wage poverty

Chapter.  12515 words.  Illustrated.

Subjects: Economic Development and Growth

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