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NAFTA intra-industry trade in agricultural food products

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  • Bashir A. Qasmi

    (Economics Department, South Dakota State University, Brookings, SD 57007-0895)

  • Scott W. Fausti

    (Economics Department, South Dakota State University, Brookings, SD 57007-0895)

Abstract

This paper focuses on NAFTA's impact on intra-industry and inter-industry trade in agricultural food products. Bilateral trade among the United States, Canada, and Mexico and their trade with the rest of the world during 1990 and 1995 are investigated. The study shows that U.S. trade patterns for agricultural food products are slowly changing. The proportion of the intra-industry trade was higher for food products involving a greater degree of processing, whereas trade in bulk commodities with little or no processing was predominantly inter-industry. U.S.-Canada bilateral trade has been increasingly more dominated by intra-industry trade. On the other hand, Mexican bilateral trade with both the United States and Canada has been predominantly inter-industry in nature. The study also indicated a decline in the proportion of intra-industry trade in U.S. trade with the rest of the world during this period. [EconLit citations: F120, F190]. © 2001 John Wiley & Sons, Inc.

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Bibliographic Info

Article provided by John Wiley & Sons, Ltd. in its journal Agribusiness.

Volume (Year): 17 (2001)
Issue (Month): 2 ()
Pages: 255-271

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Handle: RePEc:wly:agribz:v:17:y:2001:i:2:p:255-271

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Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297

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  1. Klein, Lawrence R. & Salvatore, Dominick, 1995. "Welfare effects of the North American free trade agreement," Journal of Policy Modeling, Elsevier, Elsevier, vol. 17(2), pages 163-176, April.
  2. H. Gray, 1973. "Two-Way international trade in manufactures: A theoretical underpinning," Review of World Economics (Weltwirtschaftliches Archiv), Springer, Springer, vol. 109(1), pages 19-39, March.
  3. Brander, James & Krugman, Paul, 1983. "A 'reciprocal dumping' model of international trade," Journal of International Economics, Elsevier, Elsevier, vol. 15(3-4), pages 313-321, November.
  4. Krugman, Paul R., 1979. "Increasing returns, monopolistic competition, and international trade," Journal of International Economics, Elsevier, Elsevier, vol. 9(4), pages 469-479, November.
  5. Greenaway, David & Milner, Chris, 1984. "A cross section analysis of intra-industry trade in the U.K," European Economic Review, Elsevier, Elsevier, vol. 25(3), pages 319-344, August.
  6. Roberts, Donna, 1995. "Intra-Industry Trade In Agricultural Products In The Western Hemisphere: Preliminary Evidence And Implications For Economic Integration," Working Papers, International Agricultural Trade Research Consortium 51219, International Agricultural Trade Research Consortium.
  7. Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, American Economic Association, vol. 70(5), pages 950-59, December.
  8. Glejser, H. & Goossens, K. & Vanden Eede, M., 1982. "Inter-industry versus intra-industry specialization in exports and imports (1959-1970-1973)," Journal of International Economics, Elsevier, Elsevier, vol. 12(3-4), pages 363-369, May.
  9. Falvey, Rodney E., 1981. "Commercial policy and intra-industry trade," Journal of International Economics, Elsevier, Elsevier, vol. 11(4), pages 495-511, November.
  10. Lancaster, Kelvin, 1980. "Intra-industry trade under perfect monopolistic competition," Journal of International Economics, Elsevier, Elsevier, vol. 10(2), pages 151-175, May.
  11. Helpman, Elhanan, 1981. "International trade in the presence of product differentiation, economies of scale and monopolistic competition : A Chamberlin-Heckscher-Ohlin approach," Journal of International Economics, Elsevier, Elsevier, vol. 11(3), pages 305-340, August.
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Cited by:
  1. Pérez Mesa, Juan & De Pablo Valenciano, Jaime(*), 2007. "Caracterización del comercio internacional de frutas y hortalizas en la Unión Europea/Characterization of Fruit and Vegetables Trade in the European Union," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 25, pages 619-642, Diciembre.
  2. Fabiosa, Jacinto F., 2000. "Impact Of Gatt In The Functioning Of Agricultural Markets: An Examination Of Market Integration And Efficiency In The World Beef And Wheat Market Under The Pre-Gatt And Post-Gatt Regimes," 2000 Annual meeting, July 30-August 2, Tampa, FL, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) 21868, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  3. Ferto, Imre & Hubbard, Lionel J., 2001. "Intra-Industry Trade In Agri-Food Products Between Hungary And The Eu," 2001 Annual meeting, August 5-8, Chicago, IL, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) 20450, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  4. Doan, Darcie & Goldstein, Andrew & Zahniser, Steven & Vollrath, Tom & Bolling, Chris, 2005. "North American Integration in Agriculture: A Survey," 2004 NAAMIC Workshop I: North American Agrifood Market Integration: Current Situtation and Perspectives, North American Agrifood Market Integration Consortium (NAAMIC) 163851, North American Agrifood Market Integration Consortium (NAAMIC).
  5. Imre Ferto & Lionel J. Hubbard, 2001. "Intra-Industry Trade in Agri-Food Products between Hungary and EU," IEHAS Discussion Papers, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences 0106, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.
  6. Banterle, Alessandro & Carraresi, Laura, 2006. "International trade and competitiveness analysis in the European Union: the case of prepared meat sector," 98th Seminar, June 29-July 2, 2006, Chania, Crete, Greece, European Association of Agricultural Economists 10058, European Association of Agricultural Economists.
  7. Doan, Darcie & Goldstein, Andrew & Zahniser, Steven & Vollrath, Thomas L. & Bolling, H. Christine, 2004. "North American Integration In Agriculture: A Survey Paper," North American Agrifood Integration: Situation and Perspectives, May 2004, Cancun, Mexico, Farm Foundation 16730, Farm Foundation.
  8. Bojnec, Štefan & Hartmann, Monika, 2004. "Agricultural and food trade in Central and Eastern Europe: the case of Slovenian intra-industry trade," IAMO Discussion Papers 65, Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO).
  9. H.S. Rohitha Rosairo & Tamotsu Kawamura & T.L.G. Sanjeewani Peiris, 2004. "The coir fiber industry in Sri Lanka: Reasons for its decline and possible turnaround strategies," Agribusiness, John Wiley & Sons, Ltd., John Wiley & Sons, Ltd., vol. 20(4), pages 495-516.
  10. Fertő, Imre & Hubbard, Lionel J., 2001. "A mezőgazdasági termékek ágazaton belüli kereskedelme. Magyarország és az Európai Unió között
    [Intra-industry trade in agricultural products between Hungary and the European Union]
    ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(9), pages 766-778.
  11. Ferto, Imre, 2006. "Reconsidering Adjustment Costs of the Association Agreement. The Case of Hungarian Food Industry," 2006 Annual meeting, July 23-26, Long Beach, CA, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) 21037, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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