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Articles

Vol. 21 No. 66 (2026)

The impact of foreingn investment of gender wage gaps in Mexico

DOI:
https://doi.org/10.29201/1kek5z68
Published
July 5, 2026

Abstract

This study examined the influence of Foreign Direct Investment (FDI) on the gender pay gap in Mexico (2018–2024). Initially, it was hypothesized that the USMCA would boost FDI, thus significantly reducing the gap. A linear regression model with fixed state and annual effects was used for the evaluation, taking the gender pay gap as the dependent variable. However, the results failed to establish a statistically significant correlation between FDI and the change in the gap. This suggests that the impact of FDI and the USMCA is potentially outweighed by other economic determinants.