The relationship of socioeconomic variables with wages by sector of economic activity in Mexico

Abstract

The objective of the work was to analyze the relationship of wages by economic activity sector with economic growth, the inflation rate, unemployment, the exchange rate and poverty in Mexico. Nine subsector multiple linear regression models were used. The results were that the elasticity of the wage of the primary sector with respect to poverty and inflation by increasing these by 10.0%, the wage will decrease by 0.47 and 1.3% respectively. For the secondary, the salary of the Extractive and transformation industries with respect to the GDPR, if these increase by 10.0%, the salary would grow by 12.6 and 2.1% respectively. For transformation and communication, business, and social services, if inflation is increased by 10.0%, salary will decrease by 0.95, 1.04, and 1.56% respectively. For these same subsectors, if poverty increases, wages will decrease by 1.01, 0.66, and 1.4% respectiv ely.