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Full-Text Articles in Social and Behavioral Sciences
Are Mexican And U.S. Workers Complements Or Substitutes?, Raymond Robertson
Are Mexican And U.S. Workers Complements Or Substitutes?, Raymond Robertson
Mission Foods Texas-Mexico Center Research
Fears of NAFTA in the United States were largely based on the belief that Mexicans and U.S. workers were substitutes: lowering barriers would allow competing products into the United States and investment outflows that would cause U.S. workers to lose their jobs to Mexico. While this may have been true when NAFTA first went into effect, subsequent production specialization between Mexico and the United States may suggest that Mexican and U.S. workers are now complements. In particular, NAFTA may have induced production restructuring throughout North America to generate integrated value chains in which workers in the three NAFTA countries work …
Economic Integration In North America: Changes In Us Trade Policy And The Effects On Texas Regional Exports To Mexico, Jorge Eduardo Mendoza
Economic Integration In North America: Changes In Us Trade Policy And The Effects On Texas Regional Exports To Mexico, Jorge Eduardo Mendoza
Mission Foods Texas-Mexico Center Research
Texas is the leading US state exporter to Mexico, trading oil products, automobile components and electronics. The USMCA will impose a restructuring of the North American supply chains to meet the new input content requirements. In order to evaluate the impact of the changes in tariffs arising from the new rules of origin requirements, an econometric model with different tariff scenarios was estimated. The estimations indicate that the distance to Texas and the size of the economies of the states of Mexico are factors that impact Texas exports to Mexico. Tariffs under the USMCA would have a minor but positive …