The Impact of NAFTA on Mexico's Trade and Growth: An Econometric Exploration

Essay specific features

 

Issue:

Business

 

Written by:

Joseph P

 

Date added:

March 26, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

9 / 2381

 

Was viewed:

5080 times

 

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Essay content:

This paper follows the above research tradition for the case of Mexico. It studies the effectiveness of trade liberalization, and in particular of NAFTA, on the expansion of international trade, and the impact of trade on economic growth during the liberalization stage of the Mexican economy. This study builds on the sources-of-growth model, used by Barro and Sala-I-Martin (1995) with cross-section data, but here applied to one country over time...
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In explaining the expansion of trade, it builds on the propositions of the new institutional economics that treat institutions as explanatory variables. I. Institutional changes and opening of the Mexican economy The establishment of the NAFTA agreement between Mexico, Canada and the United States has been a major mechanism to open the Mexican economy to both trade and foreign investment...
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