IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Toward a North American Security Perimeter? Assessing the Trade and FDI Impacts of Liberalizing 9/11 Security Measures

Listed author(s):
  • Patrick Georges


    (Graduate School of Public and International Affairs, University of Ottawa, Ottawa, ON)

  • Marcel Mérette

    (Department of Economics, University of Ottawa, 55 Laurier E., Ottawa, Ontario)

  • Qi Zhang

    (Department of Economics, University of Ottawa, 55 Laurier E., Ottawa, Ontario)

This paper examines, for the first time, the trade and FDI impacts of a North American Security Perimeter that would liberalize the post 9/11 security measures at the Canada-US border. First, the study estimates econometrically the impact of post 9/11 security measures on bilateral (US-Canada) trade flows using a gravity model. Second, using these econometric estimates together with a three-region nine-sector general equilibrium model, we compute sectoral tariff rates “equivalent” to the 9/11 security measures. Finally, we assess the (general equilibrium) impacts on trade and FDI of a change of security paradigm toward a North American Security Perimeter. The paper shows that the economic opportunity gains occurring to Canada and the US from the liberalization of the 9/11 security measures amount to US$20 billion annually. This figure, once added to the direct administrative costs of the post 9/11 security measures, warrants serious consideration in policy discussions of a North American Security Perimeter.

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: no

Paper provided by University of Ottawa, Department of Economics in its series Working Papers with number 1204E.

in new window

Length: 36 pages
Date of creation: 2012
Handle: RePEc:ott:wpaper:1204e
Contact details of provider: Postal:
PO Box 450, Station A, Ottawa, Ontario, K1N 6N5

Phone: (613) 562-5753
Fax: (613) 562-5999
Web page:

More information through EDIRC

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.:

in new window

  1. Lakatos, Csilla & Terrie Walmsley, 2010. "A Global Multi-sector Multi-region Foreign Direct Investment Database for GTAP," GTAP Research Memoranda 3197, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
  2. Patrick Georges, 2010. "Dispensing with NAFTA Rules of Origin? Some Policy Options," The World Economy, Wiley Blackwell, vol. 33(11), pages 1606-1637, November.
  3. Trien T. Nguyen & Randall M. Wigle, 2011. "Border Delays Re-Emerging Priority: Within-Country Dimensions for Canada," Canadian Public Policy, University of Toronto Press, vol. 37(1), pages 49-59, March.
  4. Grady, Patrick, 2009. "Were Canadian Exports to the U.S. Curtailed by the Post-9/11 Thickening of the U.S. Border?," MPRA Paper 21047, University Library of Munich, Germany.
  5. Steven Globerman & Paul Storer, 2009. "Border Security and Canadian Exports to the United States: Evidence and Policy Implications," Canadian Public Policy, University of Toronto Press, vol. 35(2), pages 171-186, June.
  6. Patrick GEORGES & Marcel MERETTE & Yazid DISSOU, "undated". "Liberalizing Foreign Direct Investment Restrictions in Canada: A Multi-Country Computable General Equilibrium Analysis," EcoMod2008 23800043, EcoMod.
Full references (including those not matched with items on IDEAS)

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:ott:wpaper:1204e. 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: (Diane Ritchot)

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.