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In 2014, Mexico implemented a tax on sugar-sweetened beverages (SSB) equivalent to one Mexican peso (MP) per liter to address the high obesity prevalence. This tax has effectively reduced SSB purchases and yielded healthcare savings; however, it remains unknown whether SSB taxes lead to net benefits at the societal level in Mexico. Moreover, public health experts recommend increasing the tax. The objective of this study is to estimate the net benefits of SSB taxes compared to a scenario of no tax in urban Mexico. Taxes include the one-MP tax and alternative higher taxes (two and three MP per SSB liter). Thus, we conducted a cost-benefit analysis from the perspective of the government, producers, and consumers for a simulated closed cohort of adults in a life-table model. We defined net benefits as the difference between economic benefits (the value of statistical life, healthcare savings, and tax revenue) and costs (consumer surplus and profit losses). We found that, at the societal level, all simulated taxes will eventually generate benefits that surpass costs within ten years. Overall net benefits can reach USD 7.1 billion and 15.3 billion for the one-MP and the three-MP tax, respectively. Hence, these benefits increased at a declining rate compared to taxes. The government and consumers will experience overall positive net benefits among society's members. Policymakers should consider time horizons and tradeoffs between health gains and economic outcomes across different society members. [ABSTRACT FROM AUTHOR]

This paper presents estimates of the consumers' surplus that would be lost if manufactured goods currently being imported to the U.S. from low wage countries were instead produced domestically. The study focuses on reducing the imports of consumer goods from such countries by about $600 billion, enough to eliminate the trade deficit in consumer goods with China, Mexico, and other major low wage trading partners. Estimates of the increase in compensation to U.S. workers that would result from such a curtailment in trade are also presented. These estimates have been made using a computational model that, unlike other studies, does not require strong assumptions regarding consumer preferences and production functions. The model was calibrated with data from the U.S. Census Bureau, Bureau of Economic Analysis, and Conference Board. Another departure from previous studies is the size of the reduction in the trade deficit. The reduction considered here is considerably less and, therefore, more likely to result from policy changes, than the reductions others have analyzed. At most, these estimates lend weak support to the claim that the loss to consumers from the price increases precipitating from a meaningful, but far less-than-draconian, curtailment in trade would be greater than the compensation that workers stand to gain from it. In fact, it is more likely that there would be a net benefit to a large number of workers, contrary to what other studies have found. [ABSTRACT FROM AUTHOR]

Objective: To assess the impact that the Fertilizers Program for the Welfare would have on corn production and consumption in the state of Chiapas, Mexico. Methodology: A spatial equilibrium model applied to the corn market in the state of Chiapas for 2018 was used. To assess the benefits of policy implementation, producer and consumer surpluses were calculated with and without the Fertilizers Program. Results: The results indicate that the implementation of the program increases production and consumption of corn by 171 and 115 thousand tons, which would represent an increase of 13 and 8.3%, compared to the base model with no program. The producer and consumer surpluses would increase by 6 and 4.5 million pesos (MXN), which would represent an increase of more than 10 million pesos in the welfare of society in the state. Study limitations/implications: The positive effects on corn producers and consumers imply that the policy should be extended to all those regions that have the potential to increase production via their yield. Conclusions: The program has positive effects on the corn market by increasing corn production, consumption and societal welfare. [ABSTRACT FROM AUTHOR]

Los Cabos, Baja California Sur, Mexico, is a reference for sportfishing (SF). In this vein, a significant number of artisanal fishers from the communities surrounding Cerralvo Island-located 215 km from Los Cabos-have opted to offer SF as a tourist service in recent years. The SF has generated unevaluated economic activity in the area. Thus, stakeholders need to know this value to improve their management decision making. Therefore, this research aimed to make a valuation of the recreation service and factors that influence the demand of SF in Cerralvo Island and surrounding areas using the indirect travel cost method (TCM). For this purpose, 275 surveys were performed at the boat ramps in nearby towns. The estimated consumer surplus (EC) was USD 1,886 per visitor. Approximately 28,864 annual recreational sportfishing trips were recorded, so the total annual surplus was USD 54,437,504. The EC outperformed other national sites and was ?140% higher than the highest valuation made for Los Cabos, which presumably derived from the differences in costs (v. gr., fishing charter, lodging). These values suggest the opportunity for the development of this activity in the study area. [ABSTRACT FROM AUTHOR]

After Mexican sugar producers gained unlimited, tariff-free access to the U.S. market in 2008, U.S. and Mexican governments bilaterally agreed to constrain Mexico's sugar exports to the United States because of dumping allegations by U.S. producers in December 2014. This analysis employs a dynamic partial equilibrium model to estimate the price and welfare impacts of the U.S.-Mexico agreement by simulating the reimplementation of North American Free Trade Agreement sugar policies. Estimates suggest liberalizing the market would decrease U.S. sugar prices, translating to an average annual decrease in producer surplus of approximately $660 million and increase in consumer surplus of $1.67 billion across the simulation. [ABSTRACT FROM AUTHOR]

We analyze telecommunications prices in Mexico by using a panel data of countries similar to Mexico to estimate demand models for mobile and fixed-line telecommunications. We find that Mexico's actual mobile and fixed-line prices are below the predicted prices based on similar countries' prices. Mexican consumers are paying lower prices than what one would expect based on comparisons of comparable countries. We calculate that in 2011 Mexican consumers received at least $4-$5 billion (USD) in consumer surplus from these lower mobile prices and in 2010 they received over $1 billion (USD) in consumer surplus from these lower fixed-line prices. These findings are in contrast to the general perception that concentrated telecommunications markets in Mexico are resulting in high prices and harming consumers. [ABSTRACT FROM AUTHOR]