Effects of exports in the economic growth of Baja California Sur: an application of the economic base model and multiplier

Abstract

This paper attempts to explain the effect of exports in local economies with the use of the economic performance analysis of the State of Baja California Sur. The objective is to analyze the role of exports on economic growth at the municipal level and apply the economic base model and its multiplier in local economies. Its theoretical background is based on regional economic growth and productive systems. The analysis shows that the Subbajacalifornian economy is competitive, as the municipalities recorded exportable surpluses; proved their ability to meet domestic demand, and demonstrated relatively less dependency on imports. As a result, local economies have potentials to articulate their productive systems, and therefore, boost their growth.