Abstract: This paper estimates human capital externalities in Mexico using the traditional approaches in the literature. We control the potential endogenenity of individual and average schooling with instrumental variables techniques. We use as instruments, the educational reform of 1993 of compulsory secondary education and the proportion of graduates from upper secondary and higher education and the structure of the population of the states in a previous period. The results show that there is a strong positive and statistically significant relationship between experience, individual education and average education with individual wages. Also we confirmed by the implementation of the various approaches through the coincidence of the results that there are significant human capital externalities at state level in Mexico for the period 2000-2010.