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Abstract

The case describes the economic development of Mexico after joining the North American Free Trade Area. While the general discussion often focuses on the issue of whether a trade block should be among equals or not, the case demonstrates how far Mexico benefits from such an agreement, even if the country is economically much weaker than its big neighbour. Trade liberalisation between the three NAFTA members and remaining external restrictions to third countries generate a new competitive advantage to Mexico. Besides general economic parameters, a special view is given on the economic evolution of Mexican sectors. Due to its social importance, the case provides a deeper insight into the agricultural sector. A Spanish translation ''E205-004-1'' is available.
Location:
Other setting(s):
2002

About

Abstract

The case describes the economic development of Mexico after joining the North American Free Trade Area. While the general discussion often focuses on the issue of whether a trade block should be among equals or not, the case demonstrates how far Mexico benefits from such an agreement, even if the country is economically much weaker than its big neighbour. Trade liberalisation between the three NAFTA members and remaining external restrictions to third countries generate a new competitive advantage to Mexico. Besides general economic parameters, a special view is given on the economic evolution of Mexican sectors. Due to its social importance, the case provides a deeper insight into the agricultural sector. A Spanish translation ''E205-004-1'' is available.

Settings

Location:
Other setting(s):
2002

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