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NAFTA and the changing pattern of state exports

Author

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  • Cletus C. Coughlin
  • Howard J. Wall

Abstract

The trade liberalization associated with NAFTA has affected the pattern of state exports by altering the origin as well as the destination of merchandise exports. We find that NAFTA has increased US merchandise exports to Mexico and Canada by just over 15 percent, and has increased total US merchandise exports by nearly 8 percent. We also find that although many states have seen large increases in exports to both Mexico and Canada, others have seen large decreases. NAFTA has also affected states’ exports to non-NAFTA regions of the world, tending to decrease exports to Europe and Latin America and increase exports to Asia. States in the northeast regions of the United States have seen the smallest increases in exports in the wake of NAFTA.

Suggested Citation

  • Cletus C. Coughlin & Howard J. Wall, 2002. "NAFTA and the changing pattern of state exports," Working Papers 2000-029, Federal Reserve Bank of St. Louis.
  • Handle: RePEc:fip:fedlwp:2000-029
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    Cited by:

    1. repec:rge:journl:v:5:y:2017:i:2:p:93-107 is not listed on IDEAS
    2. Cletus C. Coughlin & Dennis Novy, 2013. "Is the International Border Effect Larger than the Domestic Border Effect? Evidence from US Trade," CESifo Economic Studies, CESifo, vol. 59(2), pages 249-276, June.
    3. Gu, Wulong & Sawchuk, Gary, 2001. "Canada's growing market integration with the U.S.--with a focus on trade," The North American Journal of Economics and Finance, Elsevier, vol. 12(3), pages 283-300, November.
    4. Tomasz Brodzicki & Stanislaw Uminski, 2013. "International trade relations of enterprises established in Poland's regions: gravity model panel estimation," Working Papers 1301, Instytut Rozwoju, Institute for Development.
    5. Enrique López-Bazo & Elisabet Motellón, 2013. "“Firm exports, innovation, … and regions”," AQR Working Papers 201305, University of Barcelona, Regional Quantitative Analysis Group, revised May 2013.
    6. Howard J. Wall, 2002. "Has Japan been left out in the cold by regional integration?," Review, Federal Reserve Bank of St. Louis, issue Sep, pages 25-36.
    7. Andrew J. Cassey, 2011. "State Foreign Export Patterns," Southern Economic Journal, Southern Economic Association, vol. 78(2), pages 308-329, October.
    8. Fukao, Kyoji & Okubo, Toshihiro & Stern, Robert M., 2003. "An econometric analysis of trade diversion under NAFTA," The North American Journal of Economics and Finance, Elsevier, vol. 14(1), pages 3-24, March.
    9. Chad R. Wilkerson & Megan D. Williams, 2010. "The export potential of Tenth District states," Economic Review, Federal Reserve Bank of Kansas City, issue Q III, pages 93-114.
    10. Howard J. Wall, 2003. "NAFTA and the geography of North American trade," Review, Federal Reserve Bank of St. Louis, issue Mar, pages 13-26.
    11. Miren Lafourcade & Elisenda Paluzie Hernandez, 2005. "European Integration, FDI and the Internal Geography of Trade: Evidence from Western European Border Regions," Working Papers in Economics 145, Universitat de Barcelona. Espai de Recerca en Economia.
    12. Kristian Behrens & Frédéric Robert-Nicoud, 2009. "Krugman's "Papers in Regional Science": The 100 dollar bill on the sidewalk is gone and the 2008 Nobel Prize well-deserved," Papers in Regional Science, Wiley Blackwell, vol. 88(2), pages 467-489, June.
    13. I-Hui Cheng & Howard J. Wall, 2005. "Controlling for heterogeneity in gravity models of trade and integration," Review, Federal Reserve Bank of St. Louis, issue Jan, pages 49-63.
    14. Thi Mai Phuong, Chu & Tu, Thuy Anh, 2014. "On the border effect in the Regional Comprehensive Economic Partnership (RCEP)," Papers 910, World Trade Institute.
    15. Mark Funk & Erick Elder & Vincent W. Yao & Ashvin Vibhakar, 2006. "Intra-NAFTA trade and surface traffic: a very disaggregated view," Regional Economic Development, Federal Reserve Bank of St. Louis, issue Oct, pages 87-99.
    16. Coughlin, Cletus C. & Novy, Dennis, 2016. "Estimating Border Effects: The Impact of Spatial Aggregation," Working Papers 2016-6, Federal Reserve Bank of St. Louis.
    17. Michael W. Klein & Scott Schuh & Robert K. Triest, 2002. "Job creation, job destruction, and international competition: job flows and trade: the case of NAFTA," Working Papers 02-8, Federal Reserve Bank of Boston.
    18. Christian Nsiah & Chen Wu & Walter Mayer, 2012. "An analysis of US State’s export performance in the Asian Market," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 49(2), pages 533-550, October.
    19. Richard V. Adkisson & Eduardo Saucedo, 2010. "Merchandise Exports and Job Quality, Evidence From the States," Economic Development Quarterly, , vol. 24(3), pages 231-242, August.
    20. Cassey, Andrew, 2006. "State export data: origin of movement vs. origin of production," MPRA Paper 3352, University Library of Munich, Germany.
    21. Zenebe, Addisalem & Peterson, Wesley & Wamisho, Kassu, 2014. "The Impact of the African Growth and Opportunity Act (AGOA): An Empirical Analysis of Sub-Saharan African Agricultural Exports," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170590, Agricultural and Applied Economics Association.
    22. Maria Florencia Granato, 2011. "REGIONAL NEW ECONOMIC GEOGRAPHY (refereed paper)," ERSA conference papers ersa10p747, European Regional Science Association.
    23. Martin Andresen, 2009. "The geographical effects of the NAFTA on Canadian provinces," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 43(1), pages 251-265, March.
    24. Miren Lafourcade & Elisenda Paluzie, 2008. "European integration, FDI and the geography of French trade," Working Papers halshs-00586834, HAL.

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    Keywords

    North American Free Trade Agreement ; International trade;

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