01772cas a2200241 a 4500 AALejournalIMF003567 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451861129 1018-5941 BD-DhAAL BD-DhAAL Faal, Ebrima. GDP Growth, Potential Output, and Output Gaps in Mexico / Ebrima Faal. Washington, D.C. : International Monetary Fund, 2005. 1 online resource (30 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper analyzes the sources of Mexico's economic growth since the 1960s and compares various decompositions of historical growth into its trend and cyclical components. The role of the implied output gaps in the inflationary process is then assessed. Looking ahead, the paper presents medium-term paths for GDP based on alternative assumptions for productivity growth rates. The results indicate that the most important factor underlying the slowdown in output growth was a decline in trend total factor productivity growth. Economic policy reforms and the introduction of NAFTA may have raised trend productivity growth in recent years. Further increases in productivity growth would appear necessary, however, to raise medium-term growth. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2005/093 Full text available on IMF http://elibrary.imf.org/view/journals/001/2005/093/001.2005.issue-093-en.xml IMF e-Library