In contrast, annual combined losses would amount to less than US$ 5 billion if only tariff rates were to be increased.
In contrast, annual combined losses would amount to less than US$ 5 billion if only tariff rates were to be increased.For both counterfactuals, the distributional impacts across sectors would be an order of magnitude larger than the aggregate effects.Total combined losses would be about US$ 99 billion a year.
It demonstrates NAFTA's importance for Canada, the United States and Mexico by nation, region and sector.
The paper finds that losses from revoking NAFTA would be widespread, given the interconnected nature of production in the three countries.
The key to the Mexican puzzle lies in Mexico's response to crisis: a deterioration in contract enforceability and an increase in nonperforming loans.
As a result, the credit crunch in Mexico has been far deeper and far more protracted than in the typical developing country.
Any benefits from reduced foreign competition would be offset by higher prices for imported intermediate goods and higher tariffs on exports.
If tariffs and other trade barriers default to international norms, GDP would decline by 0.22% in the United States, 1.8% in Mexico and 2.2% in Canada.The paper uses NAFTA as an example to show how trade policy can affect individual regions and industries.The paper estimates the impact on real wages as well as economic output. (2006), "The impact of NAFTA on the Mexican‐American trade", International Journal of Commerce and Management, Vol. https://doi.org/10.1108/10569210680000219 Download as . In the last decade, Mexico has experienced rising returns to skill, which mirror closely wage movements in the United States.There is, however, little evidence of wage convergence between the two countries.Machine-readable bibliographic record - MARC, RIS, Bib Te X Document Object Identifier (DOI): 10.3386/w10289 Bulletin on Retirement and Disability Bulletin on Health including Archive of Lists of Affiliates' Work in Medical and Other Journals with Pre-Publication Restrictions Archives of Bulletin on Aging and Health Digest — Non-technical summaries of 4-8 working papers per month Reporter — News about the Bureau and its activities.Against a backdrop of rising protectionism, the paper sets out what could be at stake if the North American Free Trade Agreement (NAFTA) were revoked. In the first, tariffs that were lowered under NAFTA revert to those under standard World Trade Organisation (WTO) rules while non-tariff trade barriers revert to pre-NAFTA levels.In this paper we argue that the lack of spectacular growth in Mexico cannot be blamed on either the North American Free Trade Agreement (NAFTA) or the other reforms that were implemented, but on the lack of further judicial and structural reform after 1995.In fact, the benefits of liberalization can be seen in the extraordinary growth of exports and foreign domestic investment (FDI).