Article: Capital Concentration and Market Power in Mexico's Manufacturing Industry: Has Trade Liberalization Made a Difference?

"It's very sad ... We don't have a middle class in Mexico. We have the worst distribution of income in the world. We only compare with Africa." [1]

--Vicente Fox, President of Mexico

Mexico has long been known for its unequal distribution of income and wealth. Although several academic studies imply a tendency in the Mexican economy toward increasing concentration of wealth and growing polarization between regions, income groups, manufacturing sectors, and exporting companies vis-a-vis non-exporters (e.g., Morales et al. 1992; Dussel 1997; de la Garza Toledo 1998; Marichal 1997; Cruz Serrano 1991), few studies carry out an in-depth analysis of ...

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