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Nafta And The Maquiladoras: Boon Or Bane?

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  • LILA J. TRUETT
  • DALE B. TRUETT
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    Abstract

    "This article examines the factors that affect the value added of the maquiladoras as a group as well as the apparel, electrical equipment, food, furniture, and motor vehicle equipment industries. It also explores the impact of the North American Free Trade Agreement (NAFTA) on the maquiladoras. The economic variables of relative wage rates, relative prices between Mexico and the United States, and U.S. real gross domestic product generally appear to have their expected effects. However, with the possible exceptions of the clothing and electrical equipment industries, this study suggests that NAFTA had either a negative impact or no effect on the maquiladoras." ("JEL" F14, 054) Copyright 2007 Western Economic Association International.

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    Bibliographic Info

    Article provided by Western Economic Association International in its journal Contemporary Economic Policy.

    Volume (Year): 25 (2007)
    Issue (Month): 3 (07)
    Pages: 374-386

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    Handle: RePEc:bla:coecpo:v:25:y:2007:i:3:p:374-386

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    Cited by:
    1. Thomas M. Fullerton Jr. & George Novela, 2010. "Metropolitan Maquiladora Econometric Forecast Accuracy," Journal for Economic Forecasting, Institute for Economic Forecasting, Institute for Economic Forecasting, vol. 0(3), pages 124-140, September.
    2. Truett, Lila J. & Truett, Dale B., 2010. "Globalization challenges for the Mexican textile industry," International Review of Economics & Finance, Elsevier, Elsevier, vol. 19(4), pages 733-741, October.
    3. Thomas Fullerton & W. Charles Sawyer & Richard Sprinkle, 2011. "Intra-Industry Trade in Latin America and the Caribbean," Working Papers, Texas Christian University, Department of Economics 201103, Texas Christian University, Department of Economics.
    4. Utar, Hale & Ruiz, Luis B. Torres, 2013. "International competition and industrial evolution: Evidence from the impact of Chinese competition on Mexican maquiladoras," Journal of Development Economics, Elsevier, Elsevier, vol. 105(C), pages 267-287.

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