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This paper studies whether NAFTA contributed to the productivity convergence between Mexico and the US. Using data from … productivity and estimation methods, it shows that the productivity gap increased and converged to a higher gap level. Moreover, it … the previous literature. The paper also finds that under NAFTA the industries which have smaller initial productivity gap …
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In the paper, productivity convergence is analyzed with a broad panel of industry sector data for the United States and … had a significant effect on German sectoral productivity growth in the sixties and seventies. Some part of the catching …-up is due to capital-deepening, but most of it is total factor productivity convergence, i.e. endogenous growth models …
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