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This study examines the effect of NAFTA, an instance of North-South trade liberalization, on returns to skill in Mexico …. Mexico is abundant in low-skill workers relative to the US and Canada, and so, by the Hecksher-Ohlin-Samuelson trade model …, NAFTA ought to have raised the relative earnings of low-skill workers, that is, lowered returns to skill in Mexico. Analysis …
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