The Dynamism of Mexican Exports: Lost in (Chinese) Translation?
Summary This paper analyzes the extent to which Mexican exports have penetrated US markets in recent years, and juxtaposes such an analysis with the performance of China. We find that Mexico's main non-oil exports are losing dynamism, and their relative share in the US market is either declining or growing slower than China's. This trend is a new one, and begins after China's entry into the WTO. A number of factors could explain these findings. These include: (i) the real appreciation of the real exchange rate of the peso relative to the US dollar combined with the trend toward undervaluation of the Chinese currency, (ii) the decline of public investment in Mexico, especially in infrastructure, (iii) limited access to bank credit in Mexico, and (iv) the absence of government policy in Mexico to help spur technological innovation and to strengthening its domestic backward and forward linkages.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sanjaya Lall, 2000. "The Technological Structure and Performance of Developing Country Manufactured Exports, 1985-98," Oxford Development Studies, Taylor & Francis Journals, vol. 28(3), pages 337-369.
- Keld Laursen, 1998. "Revealed Comparative Advantage and the Alternatives as Measures of International Specialisation," DRUID Working Papers 98-30, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
- Imbs, Jean & Wacziarg, Romain, 2000.
"Stages of Diversification,"
CEPR Discussion Papers
2642, C.E.P.R. Discussion Papers.
- Mesquita Moreira, Mauricio, 2007.
"Fear of China: Is There a Future for Manufacturing in Latin America?,"
Elsevier, vol. 35(3), pages 355-376, March.
- Mauricio Mesquita Moreira, 2004. "Fear of China: Is There a Future for Manufacturing in Latin America?," IDB Publications (Working Papers) 45778, Inter-American Development Bank.
- Mauricio Mesquita Moreira, 2006. "Fear of China : is there a future for manufacturing in Latin America ?," INTAL Working Papers 1278, Inter-American Development Bank, INTAL.
- Mauricio Mesquita Moreira, 2004. "Fear of China: Is there a future for manufacturing in Latin America?," Development and Comp Systems 0412008, EconWPA.
- Robert C. Feenstra & Hiau Looi Kee, 2007. "Trade Liberalisation and Export Variety: A Comparison of Mexico and China," The World Economy, Wiley Blackwell, vol. 30(1), pages 5-21, 01.
- Jorge Blázquez-Lidoy & Javier Rodríguez & Javier Santiso, 2006. "Angel or Devil? China's Trade Impact on Latin American Emerging Markets," OECD Development Centre Working Papers 252, OECD Publishing.
When requesting a correction, please mention this item's handle: RePEc:eee:wdevel:v:36:y:2008:i:8:p:1365-1380. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If references are entirely missing, you can add them using this form.