New Mexico State University

New Mexico economists say a recession is likely.  

The gross domestic product in the United States has fallen 0.9% in the second quarter. “So, what that's saying is it's a contraction of the economy. It means that the value of goods and services that we produce this period is not as large as the value that we produced last period,” said Janie Chermak, the chair of UNM's economics department. While economists say the drop is modest, this is the second quarter in a row it went down. “In general, you know, it could signal the potential for a recession, which is what I think is on everybody's mind," Chermak said.

How confident can foreign investors be in mexico ? 

After taking office as Mexico's President on Oct. 1, Claudia Sheinbaum outlined 100 different policy points, which included a promise that Mexico would be safe for foreign investment, following the country’s controversial passage of a judicial reform just before she took office. How successful will Sheinbaum be at attracting foreign investment? What policies will she promote to encourage foreign investment, and which industries will be most affected? What does the resignation of Deputy Finance Minister Gabriel Yorio, who has been seen as a figure of stability in the government, mean for foreign investment in Mexico ?

Buying a new home is out of reach for many. Could housing tax credits help ? 

A New Mexico senator wants to get more single-family homes built by creating a new tax credit program at a time when housing affordability is at a generational low. Economic experts say the bill could help New Mexicans, but far more needs to be done to shift the housing market. Sen. Martin Heinrich recently intriduced the New Homes Tax Credit Act, which would authorize in fedral income tax credits anually to incentivize in home building.

Will Mexico's Stock Market Reform Spur Investment ? 

The board of Mexican bank regulator CNBV on Sept. 7 approved the terms of a stock market reform championed by Deputy Finance Minister Gabriel Yorio, which lawmakers passed last year. The overhaul seeks to support trading in light of delistings in recent years and will also make as much as 70 billion pesos a year available to small to medium-sized businesses. What are the most important terms of the reform, and what impact could it have on local and foreign investment? How does it address the spate of delistings within the stock market? How will it help small and medium sized businesses obtain financing?

Will Nearshoring to Mexico Survive the U.S. Election? 

Elon Musk said last month that Tesla will not be investing further in its Mexico factory until after the U.S. presidential  election. The CEO said the company faces too many uncertainties in the face of Republican nominee Donald Trump’s  promise to impose strict tariffs on goods imported from Mexico. What does Musk’s decision to pause the development of a Mexican plant say about the state of the nearshoring boom? How much will the nearshoring trend be affected by the outcome of the U.S. presidential election? How will the election influence trade and economic policy between the two countries?

Map Shows Only State Where Immigrant Population Is Falling

The report, released on April 9, comes amid recent rises in migrant arrivals at the U.S.-Mexico border. In Congress, Democrats have pushed for humanitarian-focused approaches to immigration issues, and Republicans have emphasized stronger border protection policies, with little common ground on the issue. The  Newsweek map below illustrates the stark difference between the  southern-border state of New Mexico and the others, which have all seen some increase in foreign-born residents, including Hawaii. 

What Will Three New Rail Lines Mean for Mexico?

President-elect Claudia Sheinbaum announced July 10 that she will build three train lines running from the capital to some cities along the U.S. border. The project involves constructing some 1,850 miles of passenger rail, about double what current President Andrés Manuel López Obrador built. Sheinbaum announced that the trains would be electric, in contrast to the diesel-consuming freight trains that make up Mexico’s current fleets. Why is Sheinbaum proposing this infrastructure project? How does this align with her environmental policies? What will the new rail lines accomplish?

What Do Tariffs on Chinese Goods Mean for Latin America?

U.S. President Joe Biden last month announced an increase in tariffs on several Chinese imports, including not only electric vehicles, but also advanced batteries, solar cells, steel, aluminum and medical equipment. Biden said the tariffs are an effort to counter Chinese government subsidies, which he said give China’s products an unfair advantage in global trade. How will the tariffs affect trade between the United States, Central America and Mexico, particularly amid the “nearshoring” trend? How do the tariffs affect relations between the United States and Mexico? Which sectors stand to be most affected by the tariffs?

Can the U.S. Curb Chinese Production of EVs in Mexico?

Mexico is holding back on some incentives to Chinese electric vehicle manufacturers under pressure from the United States, which is concerned about Chinese automakers seeking to avoid U.S. tariffs by producing cheap electric vehicles in Mexico for the U.S. market, Reuters reported in mid-April. How significant is investment from Chinese electric vehicle makers in Mexico? How likely is Mexico to ramp-up incentives for Chinese automakers to invest in Mexico? How can Mexico continue to attract foreign investment from China while maintaining good relations with the United States?

Tipping Point NM episode 605: NMSU Professor Christopher Erickson – New Mexico Economic Policy and Impacts of Immigration

On this week’s interview Paul talks to Christopher Erickson a professor of economics at NMSU. Chris and Paul discuss a recent interview he gave to Newsweek about a report that New Mexico has seen a decline in immigrants. They discuss economic issues in New Mexico and what is holding its back. Then, the discussion shifts to immigration policy. Where are people coming from who are crossing the border? Why are they crossing? What would a sensible immigration policy be? You don’t want to miss this informative conversation!

Will the USMCA Accord Survive an Upcoming Review?

The United States-Mexico-Canada Agreement (USMCA) is up for review in July 2026, at which time any of the three countries can opt not to renew the trade accord, an action that would put its future into question. The upcoming review makes 2024 a critical year for the future of the USMCA, as both Mexico and the United States will have presidential elections, and the priorities of the countries’ leaders will determine the future of the trade deal. What are the most important parts of the USMCA review process?

New Mexico is the only state where the immigrant population is dropping

9.2% of people in New Mexico were not born in America – compared to the U.S. average of more than 13%. The U.S. Census Bureau released a report on this earlier this week. The data was taken over two five-year time periods, ending in 2022. “I’m surprised too that we were the only state, that surprised me,” New Mexico State University Professor Chris Erickson said.

Map Shows Only State Where Immigrant Population Is Falling

The U.S. Census Bureau defines "foreign-born" as "people who were not U.S. citizens at birth, including naturalized U.S. citizens, lawful permanent residents (immigrants), temporary migrants (such as foreign students), humanitarian migrants (such as refugees and asylees), and unauthorized migrants." Data from the U.S. Census Bureau shows that foreign-born residents make up 9.2 percent of New Mexico's population, which is below the national average of 13.7 percent.

What Factors Are Driving Mexico’s Economic Growth?

Mexico’s inflation rate declined to 4.45 percent in the first half of February, nearly a half percentage point lower as compared to January, Mexico’s National Institute for Statistics and Geography said Feb. 22. The country’s central bank kept its benchmark interest rate steady at 11.25 percent in February for the seventh straight meeting. Additionally, the central bank on Feb. 28 lowered its economic growth forecast for this year to 2.8 percent from its earlier estimate of 3 percent.

Pulitzer Prize-winner Gretchen Morgenson to speak at NMSU College of Business Feb. 20

Pulitzer Prize-winning journalist and author Gretchen Morgenson will be visiting New Mexico State University (NMSU) on February 20th to discuss and sign her latest book, "These are the Plunderers: How Private Equity Runs and Wrecks America." The event, hosted by NMSU's College of Business and Center for Border Economics, will be held at the Yates Auditorium in Domenici Hall on NMSU's Las Cruces campus.

Study measures NMSU’s billion-dollar plus impact on New Mexico economy

A study by New Mexico State University’s Arrowhead Center and the Center for Border Economic Development has found that the university plays a significant role in the state’s economy – totaling in the billions of dollars – thanks to NMSU’s education, research, and Extension and outreach programs.

Two more companies pick Santa Teresa

Coast Aluminum and Monti will create 70 jobs, $24 million in new investment. The New Mexico Economic Development Department announced last week two more companies have been awarded state economic assistance to boost manufacturing expansions and create jobs at New Mexico’s international Borderplex in Santa Teresa.

Spectrum internet outage causes El Paso business losses

Saturday is usually one of the busiest days of the week for Monkey Rock, a family entertainment center at the Shoppes at Solana, but last week its business was bruised by a Spectrum internet outage that impacted hundreds of thousands in El Paso.

Can a Mexican Railway Compete With the Canal?

Mexico’s government wants to revive a century-old railway line that would link the Gulf of Mexico and the Pacific Ocean in an effort to take container traffic away from the Panama Canal, the Financial Times reported Oct. 2. The plan comes as the Panama Canal has had to reduce the number of ships allowed through the waterway amid a drought and low water levels.

A look at Spaceport America's economic impact in New Mexico

The future of space travel may be commercial, as private industry continues to play a bigger role in rocket and satellite launches.

Spaceport America is well positioned to capitalize on that future, according to a new economic impact report that highlights the Spaceport’s unique competitive advantages: location, location, location, and a proven track record of successful launches.

Is Mexico missing out on the nearshoring opportunity?

There is no shortage of talk about the opportunity Mexico has to benefit from nearshoring.

Mexico is already positioned to profit from the growing desire of companies to move away from countries such as China and set up operations closer to their main market – the United States. 

Why Is Mexico Lagging Behind in Attracting FDI?

Foreign direct investment in Latin America hit a record high in 2022, with $225 billion committed from investors to Latin America and the Caribbean—55 percent more than 2021, according to the U.N. Economic Commission for Latin America and the Caribbean, or ECLAC, the Financial Times reported Aug. 30. 

Senators float idea NM should take financial control of Spaceport

Agency still has $29 million in unspent capital outlay, continues to seek capital outlay project manager and says it will ask for more state funding

NMSU study delves into Spaceport America's strong impact on NM economy

Arrowhead Center at New Mexico State University and NMSU's Center for Border Economic Development, or C-BED, recently partnered with the New Mexico Spaceport Authority on a report highlighting the Spaceport's activities and economic impact on the state.

Spaceport America economic impact report

“The vision was always there that we could become this hub for commercial space and especially space tourism,” Dr. Bill Gutman on Bill Richardson. According to a new economic development report from the NMSU Arrowhead Center, New Mexico's spaceport generated $138 million in economic activity.

Could oil and gas tax collections in Eddy County exceed $100M at the end of FY '23?

Oil and gas tax collections in Eddy County could exceed $100 million by the end of the 2023 fiscal year, according to data from the Eddy County Finance Department. “We’re going to break $100 million for the first time,” said Eddy County Manager Roberta Gonzales during the June 21 Eddy County Board of County Commissioners meeting in Carlsbad.

A recession in New Mexico? Economists give their views on what a downturn would look like

The economy has been in a confusing state as of late. Inflation has cooled some with recent rate hikes from the Fed. But the labor market remains tight, data for April showing employers added more than 250,000 jobs. There is also, of course, the recent banking failures and a third straight quarter of GDP growth.

Paso del Norte, una perspectiva económica regional

México, al presentar importantes diferencias territoriales y un complejo grupo de agentes que interactúan a través de actividades de producción y consumo, requiere comprender que la actividad económica no es homogénea y que, por lo tanto, tiene patrones de comportamiento diferentes que necesitan un estudio territorial desde una perspectiva regional que permita dilucidar el funcionamiento de las partes que lo componen y encontrar las relaciones existentes. Bajo esta perspectiva, ¿cuáles con las características de la región Paso del Norte y cómo interactúan sus integrantes?

NMSU professor explains wage differences for El Paso and Las Cruces city employees

EL PASO, Texas (KFOX14) — While some cities like Las cruces are already paying city employees a minimum wage of $15, other cities like El Paso made a goal to get to $15 by 2026. NMSU Economics professor Chris Erickson said there are several reasons for the wage discrepancy.

‘Reshoring’ amortiguará una recesión

Aunque a nivel mundial se muestran signos de desaceleración económica, la relocalización de empresas en Ciudad Juárez la salvaría de un impacto profundo, afirmó la economista Érika Donjuán Callejo.

Recomiendan convencer a migrantes para trabajar en Juárez

Ciudad Juárez. Ante los retos que la relocalización de la industria (nearshoring) tiene para las fronteras mexicanas, el profesor de la Universidad de Texas en el Paso (UTEP) Tom Fullerton, recomendó que por la necesidad de mano de obra se debe aprovechar de todas las migraciones que buscan llegar a Estados Unidos.

Voice of the Public - economic forecast for 2023 with Dr. Chris Erickson

NMSU Professor and Director of the Center for Border Economic Policy Dr. Chris Erickson joins KC Counts to discuss the economy on a state, national, and global level for 2023.