Comparative Advantage and the Performance of Mexican Manufacturing Exports during 1996-2005
In this paper we identify Mexico’s pattern of revealed comparative advantages within manufacturing trade flows during the 1996-2005 period. We define a basket of competing countries, according to the degree of similarity of each country’s comparative advantage pattern with that of Mexico. We show that revealed comparative advantages seem to be positively correlated with the relative performance of Mexico’s manufacturing exports to the U.S. market, as measured by the increase in Mexico’s market share relative to that of its competitors. The analysis suggests that the increasing presence in the markets of countries with similar characteristics as Mexico, in particular from 2001 on, might be causing Mexico to lose comparative advantage in some products in which it had specialized in during the previous years.
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.:
- Balassa, Bela, 1979. "The Changing Pattern of Comparative Advantage in Manufactured Goods," The Review of Economics and Statistics, MIT Press, vol. 61(2), pages 259-266, May.
- Edward M. Graham & Erika Wada, 2000. "Domestic Reform, Trade and Investment Liberalisation, Financial Crisis, and Foreign Direct Investment into Mexico," The World Economy, Wiley Blackwell, vol. 23(6), pages 777-797, 06.
- Hanson, Gordon H, 1996.
"Localization Economies, Vertical Organization, and Trade,"
American Economic Review,
American Economic Association, vol. 86(5), pages 1266-1278, December.
- Gordon H. Hanson, 1994. "Localization Economies, Vertical Organization and Trade," NBER Working Papers 4744, National Bureau of Economic Research, Inc.
- S.M. Shafaeddin, 2002. "The Impact Of China´S Accession To Wto On The Exports Of Developing Countries," UNCTAD Discussion Papers 160, United Nations Conference on Trade and Development.
- Chiquiar, Daniel & Ramos-Francia, Manuel, 2005. "Trade and business-cycle synchronization: evidence from Mexican and U.S. manufacturing industries," The North American Journal of Economics and Finance, Elsevier, vol. 16(2), pages 187-216, August.
- Ballance, Robert H & Forstner, Helmut & Murray, Tracy, 1987. "Consistency Tests of Alternative Measures of Comparative Advantage," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 157-161, February. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:bdm:wpaper:2007-12. 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: (Dirección de Sistemas)
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.