Phases and Variables Linked to Deindustrialization: An Analysis on Two Territorial Scales

Abstract

According to studies on spatial and industrial economics, deindustrialization involves the loss of importance of the manufacturing industry in the labor market and the economic structure. The factors associated with this loss are divided among those linked to the vertical integration of services of a higher order than the productive process and thoselinked to the loss of competitiveness for the production of goods. The purpose of this article is to contribute conceptual elements and empirical evidence for characterizing deindustrialization as a process that undergoes various phases ranging from industrial growth to the absolute loss of employment and production; it also seeks to explore the variables associated with this process. To this end, some statistical tools are used: correspondence analysis, log-linear models and logistic regression functions. The study originally included 88 countries. During the second phase, the geographical scale was changed in order to focus on the 90 most highly populated urban and metropolitan areas in Mexico. The author concludes that deindustrialization on both territorial scales (country and city) share common features, such as being linked to less economic growth and greater importance of producer services. However, specificities can also be observed, such as the greater speed and variability of the process in cities as opposed to countries. The article also shows that deindustrialization must be conceived of as a process, although not always as a linear one, particularly for the urban sphere and that this phenomenon is not unique to nations with a higher degree of development or larger cities.