IDEAS home Printed from
MyIDEAS: Login to save this article or follow this journal

Export growth of NAFTA members, intra-industry trade and adjustment

  • Marius Brulhart
  • Michael Thorpe

This paper looks at the issue of labour market adjustment in the context of expanded international trade of NAFTA economies both within the region and more generally. The study focuses on the period 1990-1998, a time frame that covers several years prior to and after the formation of NAFTA. Trade flows of the member countries are analysed using measures of static intra-industry trade (IIT) and dynamic (marginal) intra-industry trade (MIIT). Inferences are drawn from these results on the basis of the "smooth adjustment hypothesis" according to which IIT entails relatively low factor-market adjustment costs. The paper concludes that for trade flows within NAFTA, less labour market adjustment pressures are being experienced by the US and Mexico in terms of their relationship. A similar observation can be made for US-Canada trade. Trade between Canada and Mexico is seen as causing relatively more adjustment pressure compared to other intra-regional flows. In terms of the trade of NAFTA members with major trading partners outside of the group, the results are mixed.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Inderscience Enterprises Ltd in its journal Global Business and Economics Review.

Volume (Year): 3 (2001)
Issue (Month): 1 ()
Pages: 94-110

in new window

Handle: RePEc:ids:gbusec:v:3:y:2001:i:1:p:94-110
Contact details of provider: Web page:

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:ids:gbusec:v:3:y:2001:i:1:p:94-110. 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: (Graham Langley)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.