This paper identifies the effects of preferential trade agreements on trade volumes and prices using detailed trade and tariff data. It identifies demand elasticities by developing a difference in differences based method that exploits the fact that the additional wedge driven between...

The trade deficit of the USA with its NAFTA partners, Mexico and Canada, increased since 1994 from 21,991 to 119,257 million dollars in 2013 (UNCOMTRADE, 2015. http://comtrade.un.org/db), and most of this increase is explained by the growth in the volume of commerce between Mexico and the USA....

This paper performs a historical analysis of Mexico's insertion into Global Value Chains (GVCs) and links it to the notion of competition underlying traditional theoretical models of international trade. In contrast with existing studies, it uses both new analytical tools pertaining to the GVC...