This study shows that financing municipalities in Mexico is a segmented market. On the one hand, metropolitan and large municipalities have access to funds through the traditional, though efficient, channels such as commercial banking loans or the money-bond-market. In this sense these...

This paper studies banking competition in Mexico. We use a contestable market approach to argue that competition in banking should be approached by considering all financial intermediaries and not only banks. In this sense, it is more important to look at the whole financial system. To...

This paper uses the methodology of Parry and Small (2005) to estimate the optimal gasoline tax for a less-developed, oil-producing country. The relevance of the estimation relies on the differences between less-developed countries LDCs and industrial countries. We argue that lawless roads,...

This article briefly examines the recent evolution of the Mexican financial system. Based on this, obstacles are identified. It is argued that two are most important. First, the property rights protection is weak in Mexico, thus it inhibits credit expansion. Second, competition is low and it is...