E-book details

Trade creation and trade diversion under NAFTA. Mexican perspective

Trade creation and trade diversion under NAFTA. Mexican perspective

Justyna Wieloch

Ebook

The monograph is devoted to an in-depth and multithreaded analysis of the effects of trade integration of countries with different levels of economic development. It presents the results of research on the profitability of international trade liberalization from the perspective of a less developed country. An example is the North American Free Trade Agreement - unique in the world due to the asymmetry of development of the economies of the participating countries. An assessment of the impact of integration on Mexico was presented based on extensive literature and empirical studies. The publication is one of the first scientific studies in Poland presenting such a comprehensive investigation of economic integration processes on the North American continent.

Foreword           9

 

1. Economic premises behind trade integration 15

1.1. Trade integration: notion and forms             15

1.1.1. Definitions of trade integration          15

1.1.2. Forms of integration according to Balassa      18

1.1.3. Forms of integration according to the WTO classification       21

1.2. Integration: premises and drivers   23

1.3. Effects of integration of countries at a different level of economic development under conditions of perfect competition      24

1.3.1. Internal and external comparative advantage             27

1.3.2. Multi-product comparative advantage           29

1.3.3. Income divergence and convergence             31

1.4. Effects of integration in conditions of imperfect competition           35

1.5. Summary    37

 

2. Origins and main provisions of NAFTA  39

2.1. Origins         39

2.2. NAFTA: objectives, principles, and institutions         47

2.3. Trade in goods: liberalisation and control mechanisms         49

2.3.1. General regulations 50

2.3.1.1. National treatment and market access for goods      50

2.3.1.2. Rules of origin            53

2.3.1.3. Technical barriers to trade    55

2.4. Investment and services     56

2.4.1. Investment  57

2.4.2. Services         59

2.4.2.1. Telecommunications and financial services  60

2.4.2.2. Temporary entry for business persons           61

2.5. Summary    62

 

3. Trade effects of Mexico’s membership in NAFTA         65

3.1. Overview of empirical studies          65

3.2. Impact of trade agreements on Mexico’s foreign trade: a study using the gravity model    71

3.2.1. Description of a gravity model            71

3.2.2. Results of estimations and descriptive statistics         78

3.3. Shifts in Mexico’s foreign trade flows after the establishing of NAFTA         88

3.3.1. Changes in Mexico’s exports               97

3.3.2. Changes in Mexico’s imports               111

3.4. Summary    124

 

Conclusion         125

 

Afterword          127

 

Bibliography      129

 

List of figures    135

 

List of tables      137

 

Appendices       139

  • Title: Trade creation and trade diversion under NAFTA. Mexican perspective
  • Author: Justyna Wieloch
  • ISBN: 978-83-822-0194-9, 9788382201949
  • Date of issue: 2020-10-28
  • Format: Ebook
  • Item ID: e_1sqe
  • Publisher: Wydawnictwo Uniwersytetu Łódzkiego