Open AccessReal Wages as Determinant of Labour Productivity in the Mexican Tourism Sector
Author(s) -
Juan Gabriel Brida,
Wiston Adrián Risso,
E. Carrera
Publication year - 2010
Publication title -
european journal of tourism research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.467
H-Index - 16
eISSN - 1314-0817
pISSN - 1994-7658
DOI - 10.54055/ejtr.v3i1.46
Subject(s) - economics , real wages , productivity , cointegration , labour economics , tourism , efficiency wage , wage , shock (circulatory) , impulse response , econometrics , macroeconomics , geography , medicine , mathematical analysis , mathematics , archaeology
In this paper we use time-series techniques to estimate the long-run relationship between real wages and labour productivity in the Mexican tourism. Using yearly data from 1970 to 2004, we find a cointegration relationship showing that the average labour productivity depends positively on real wages. We show that real wage is weakly exogenous and causes labour productivity. Moreover, the impulse-response function shows that a positive shock in real wages produces a small negative effect in productivity for two years followed by a large positive one.