Northwestern Events Calendar


Development Economics Lunch Seminar

When: Thursday, May 4, 2023
12:15 PM - 1:15 PM Central

Where: Kellogg Global Hub, L130, 2211 Campus Drive, Evanston, IL 60208 map it

Audience: Faculty/Staff - Post Docs/Docs - Graduate Students

Contact: Mariya Acherkan  

Group: Department of Economics: Development Economics Lunch Seminar

Category: Academic, Lectures & Meetings


Speaker: Sergio Lopez-Araiza

Title: "US Border Wall and Organized Crime in Mexico"

Abstract: Violence related to drug trafficking organizations (DTOs) has dramatically escalated in Mexico since 2007. However, beyond the increase in the nation-wide homicide rate lies a huge time and spatial variation across Mexico's 2,456 municipalities. One potential source of such heterogeneity is how valuable it is for DTOs to control a municipality for drug trafficking purposes.  Using the expansion of the US-Mexico border wall that resulted from the Secure Fence Act of 2006 and leveraging the fact that it made trafficking drugs into the US more difficult, I study how changes in the value of the municipalities shifted violence in Mexico. Using a TWFE estimator, I observe that municipalities whose closest border municipality get a wall segment see a decrease of 0.35 (44% with respect to the mean) in their homicide rate. The effect is concentrated in municipalities with DTO presence by 2005 and it seems to be present for at least 5 years.

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