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The role of merchandise exports to Mexico in the pattern of Texas employment

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  • Kelly A. George
  • Lori L. Taylor

Abstract

In 1987, Texas exported $25 billion worth of merchandise to foreign countries. Twenty-six percent, or $6.5 billion, of those exports went south to Mexico. By 1994, Texas merchandise exports to Mexico had grown to more than $18.5 billion per year (in 1987 constant dollars). Texas merchandise exports to Mexico (in real terms) have grown more than 10 percent a year for six of the last seven years. ; Using input-output analysis, Kelly George and Lori Taylor find that merchandise exports to Mexico, while representing only about 5 percent of Texas output, have grown in ways that have substantially influenced the composition of the state's economy. The authors attribute a small portion of the state's overall job gains since 1987 to rising merchandise exports to Mexico but find that almost all Texas employment growth in high-tech manufacturing sectors stems from trade with Mexico.

Suggested Citation

  • Kelly A. George & Lori L. Taylor, 1995. "The role of merchandise exports to Mexico in the pattern of Texas employment," Economic and Financial Policy Review, Federal Reserve Bank of Dallas, issue Q I, pages 22-30.
    • Handle: RePEc:fip:fedder:y:1995:i:qi:p:22-30
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    References listed on IDEAS

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    1. Finn E. Kydland, 1993. "Business cycles and aggregate labor-market fluctuations," Working Papers (Old Series) 9312, Federal Reserve Bank of Cleveland.
    2. Fiona Sigalla, 1995. "Another strong year for the Eleventh District," Economic and Financial Policy Review, Federal Reserve Bank of Dallas, issue Q I, pages 31-40.
    3. Gould, David M, 1994. "Immigrant Links to the Home Country: Empirical Implications for U.S. Bilateral Trade Flows," The Review of Economics and Statistics, MIT Press, vol. 76(2), pages 302-316, May.
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    Cited by:

    1. Niles Hansen & Elsie Echeverri-Carroll, 1997. "The Nature And Significance Of Network Interactions For Business Performance And Exporting To Mexico: An Analysis Of High-Technology Firms In Texas," The Review of Regional Studies, Southern Regional Science Association, vol. 27(1), pages 85-99, Summer.
    2. Arthur Silvers, 2000. "Limited Linkage, Demand Shifts and the Transboundary Transmission of Regional Growth," Regional Studies, Taylor & Francis Journals, vol. 34(3), pages 239-251.
    3. Fiona Sigalla, 1995. "Another strong year for the Eleventh District," Economic and Financial Policy Review, Federal Reserve Bank of Dallas, issue Q I, pages 31-40.

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