An analysis of Mexican consumers’ purchases in the United States based on household spending

An analysis of Mexican consumers’ purchases in the United States based on household spending

Using microdata, consumer choice models, and fiscal competition, this study analyzes the reasons for cross–border shopping by Mexicans in the U.S. market by examining whether the incentive for consumers to cross the border is an inverse function of the distance from the border. Assuming rational con...

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Bibliografiske detaljer
Autores principales: Díaz González, Eliseo, González-König, Gabriel
Format: Online
Sprog:eng
spa
Udgivet: Universidad Autónoma de Baja California 2015
Online adgang:https://ref.uabc.mx/ojs/index.php/ref/article/view/564
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Summary:Using microdata, consumer choice models, and fiscal competition, this study analyzes the reasons for cross–border shopping by Mexicans in the U.S. market by examining whether the incentive for consumers to cross the border is an inverse function of the distance from the border. Assuming rational consumers and given the differences in prices and consumption taxes between the two countries, this study finds that the location of consumers in border states and migratory traditions are the main determinants of cross–border shopping.

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