Data of: Testing the relationship between real exchange rate and vertically integrated unit labour cost. An econometric analysis from NAFTA
This research aims to test the hypothesis that the real exchange rates of the Mexican manufacturing sectors concerning those from the United States and Canada have been regulated, during 2000-2014, by the relative vertically integrated unit labour costs and the intrasectoral differences in the rates of profit. The methodology applied consists of a panel cointegration model whose results disclose that there exists a stable long-run relationship among these three variables. Furthermore, the cointegration vector suggests that the competitive position of the Mexican manufacturing sectors is positively associated with the decrease in unit production costs and negatively related to the increase in the intra-industry profitability gap.