Abstract

RAMIREZ-CEDILLO, Eduardo  and  LOPEZ-HERRERA, Francisco. Private and public investment in the performance of the Mexican economy’s sectors: 1993-2015. Econ: teor. práct [online]. 2018, n.48, pp.125-150. ISSN 2448-7481.  https://doi.org/10.24275/etypuam/ne/482018/ramirez.

This paper shows the results of the analysis of the influence of the public investment, private investment and the interest rate on the performance of the Mexican economy’s sectors, taking into account the long run and short run effects, as well as the interaction among the production and the performance´s dynamics of those sectors. By means of the estimation of ARDL models, the process of the dynamics of each sector is analyzed so as their adjustment to the long run equilibrium relationship that was detected through conventional tests for time series. Among other findings, the results of the empirical analysis show the existence of structural weaknesses in the primary sector, a high degree of decoupling of the secondary sector, and a third sector favored by the public and private investment as well as the interest rate policy.

Keywords : Public investment; private investment; interest rate and economic performance; economic sectors performance; Mexican economy; E22; E27; E69; E50; H54.