Exports, growth, and employment in Mexico, 1978-2000

Pablo Ruiz-Nápoles

49 citations0/0 files storedJournal of Post Keynesian Economics

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Global trade and economics Economic Theory and Policy Economic and Technological Innovation

Abstract

In this paper, the results of an export-led growth strategy accompanied by a trade liberalization policy implemented in Mexico are analyzed for various periods between 1978 and 2000. The input-output analysis is used to determine the effects of growing exports on gross output and on the level of employment. The results of this analysis allowed us to conclude that the positive effect of increasing manufacturing exports on production is limited and offset by manufacturing imports, thus displacing domestic production. The positive effect of exports on direct and indirect employment is not as important as that of domestic production. However, these positive effects of exports are accentuated by the North American Free Trade Agreement.

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References

1983General Equilibrium Models for Development Policy.1978Lectures on the Theory of Production.1978Modern Capitalism. Its Growth and Transformation.1995Trade Strategy, Investment and Exports: Another Look at East Asia 1984Input-Output Analysis in Developing Countries: Sources, Methods and Applications.

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