Title
Peso acceptance patterns in el paso
Publication Date
10-26-2009
Publication Name
Pennsylvania Geographer
Volume
47
Issue
1
First Page
91
Last Page
102
Document Type
Article
Abstract
This paper examines the acceptance of peso payments, or currency substitution reverse dollarization, by U.S. retail firms near the international border with Mexico. Survey data are drawn from a stratified random sample of 586 retailers located in El Paso, Texas,situated across the border from Ciudad Juarez, Chihuahua, Mexico. Approximately 13 percent of the participant firms accept Mexican pesos in exchange for goods and services. Empirical results indicate that factors such as a firm's percentage of Spanish speaking employees and distance to the nearest international bridge significantly influence the decision to accept or reject Mexican pesos.
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