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With the signing of the North American Free Trade Agreement (NAFTA) in 1994, Mexico entered a bilateral free trade …
Persistent link: https://www.econbiz.de/10012462462
We study the effects of domestic trade liberalization on labor markets in Botswana. South Africa is the dominant member of the Southern Africa Customs Union. As such, when South Africa liberalized trade in the 1990s, this induced large and plausibly exogenous tariff reductions for the other...
Persistent link: https://www.econbiz.de/10012480271
We build an equilibrium model of a small open economy with labor market frictions and imperfectly enforced regulations. Heterogeneous firms sort into the formal or informal sector. We estimate the model using data from Brazil, and use counterfactual simulations to understand how trade affects...
Persistent link: https://www.econbiz.de/10012482609
This paper studies the relationship between trade liberalization and informality. It is often claimed that increased foreign competition in developing countries leads to an expansion of the informal sector, defined as the sector that does not comply with labor market legislation. Using data from...
Persistent link: https://www.econbiz.de/10012469258
In this paper, we derive three lessons from Mexico's experience. First, deep reforms like trade liberalization are not … elites breaks down. In the case of Mexico, this happened during a fiscal crisis, when some groups tried to displace other …, Mexico limited radical liberalization to the manufacturing sector. The government has only recently begun to undertake …
Persistent link: https://www.econbiz.de/10012473548
Mexico. I disentangle the effects of two opposing forces on regional labor demand: transport-cost considerations, which, all … of the manufacturing belt in and around Mexico City and the formation of broadly specialized industry centers located in … northern Mexico, relatively close to the United States. The North American Free Trade Agreement is likely to reinforce these …
Persistent link: https://www.econbiz.de/10012474215
This paper compares two possible formats for free trade in the Americas: a system of spokes surrounding a U.S. hub, and a free trade area. The paper identifies the sources of welfare change, and it argues that a country's attitude towards a system depends on whether the arrangement is a...
Persistent link: https://www.econbiz.de/10012474769
obtain an education because of its effect on future earnings. Individuals differ in their initial income levels. Mexico doesn … United States, but Mexican population growth and productivity gains induced by liberalization will make the Mexico of the … future much larger than today, especially in those sectors that use intensively Mexico's abundant low-skilled labor …
Persistent link: https://www.econbiz.de/10012474989
A theoretical model is developed and applied to the North American auto industry, motivated by the possibility of US-Mexico …. Using an applied GE model, we find that (A) the gains to Mexico are significant and the effects on the US and Canada are … North American multinationals determine markups, increased imports from Mexico do not result in a rationalization of US and …
Persistent link: https://www.econbiz.de/10012475332
effect of NAFTA and the GATT on the SDS industry was to help induce Wal-Mart to enter Mexico. Once there, Walmex … new products and processes from their headquarters to Mexico. Finally, although Mexican detergent exports captured an …
Persistent link: https://www.econbiz.de/10012466207