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Economic Growth Driven by the Mexican Fourth Transformation Policy.

Authors :
González Lara, José María
Policardo, Laura
Sanchez Carrera, Edgar J.
Source :
Review of Political Economy. Mar2024, p1-24. 24p. 4 Charts.
Publication Year :
2024

Abstract

The economic policy of the fourth transformation (4T) of Mexico - as the actual president Andrés Manuel López Obrador defines his mandate - is characterized by being cautious and responsible for public spending, making investment decisions more effective, and redistributing wealth to sustain domestic consumption. The internal demand has been promoted by increasing poor people's disposable income through subsidies and transfers and several policies aimed at raising minimum wages. As a framework for these direct policies to boost economic growth, the fight against corruption helped achieve these results more effectively. This work aims to analyze whether the 4T policy increased economic growth in Mexico. We applied two econometric techniques to test our hypothesis: interrupted time series analysis, controlling for robustness of the results, and breakpoint regression analysis. In both cases, we robustly showed that the 4T economic policy has positively impacted economic growth in Mexico. [ABSTRACT FROM AUTHOR]

Details

Language :
English
ISSN :
09538259
Database :
Academic Search Index
Journal :
Review of Political Economy
Publication Type :
Academic Journal
Accession number :
175978116
Full Text :
https://doi.org/10.1080/09538259.2024.2326092