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In 2016, Mexico City was among the top 10 largest metropolises in the world with 21.4 million people. With GVA share from service industries coming to 83% in 2016, Mexico City is one of the most service-focused metropolises in Latin America. However, continued negative net migration coupled with a fast-growing elderly population are some of the challenges facing Mexico City in the upcoming years.
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Mexico City is the country's leading economic hub, with a predominance of high-value-added services activities. This helped to support the city's labour productivity level, which surpassed the average for the rest of Mexico by 52% in 2016.
The comparatively greater productivity level of Mexico City allows its employed population to command much higher earnings than elsewhere in the country. Per household, disposable income in Mexico City was 26% greater than elsewhere in the country in 2016.
The city's average per household spending level (excluding housing and transport) exceeded the average for the rest of Mexico by 18% in 2016. Expenditure on education and recreation and culture reflected the most significant differences between households in Mexico City and the rest of the country in 2016.
In 2016, expenditure on housing and transport was 38% greater in Mexico City compared to the rest of the country, given the city's advantage in household disposable income. Of the two, housing demanded as much as 46% higher expenditure in Mexico City compared to the rest of Mexico, making Mexico City relatively unaffordable.
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