Openness and Technology Diffusion in Payment Systemsthe Case of NAFTA

  1. Francisco Callado 1
  2. Jana Hromcov 2
  3. Natalia Utrero 1
  1. 1 Universitat de Girona. Departament d'Economia i Empresa
  2. 2 Universitat Autònoma de Barcelona. Departament d'Economia Aplicada
Revista:
Working papers (Universitat Autònoma de Barcelona. Departament d'Economia Aplicada)

Año de publicación: 2012

Número: 6

Tipo: Documento de Trabajo

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Resumen

We study the relationship between openness and payment system development. Inparticular, we analyze how the existence of technology di§usion from a more developedcountry fosters a transformation of payment choice in a less developed country. We applyour analysis to Mexico. Economic growth in Mexico was not high enough to cause atransformation of payment choice observed in the data after 2001. We argue that theswitch towards electronic payments can be attributed to openness and related paymenttechnology spillovers from the US in the context of NAFTA.

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