publication . Preprint . Other literature type . 2012

Effect of Tariff Liberalization on Mexico’s Income Distribution in the presence of Migration

Garduno-Rivera, Rafael; Baylis, Katherine R.; Garduno-Rivera, Rafael; Baylis, Katherine R.;
Open Access
  • Published: 01 Jan 2012
Abstract
This paper studies how the North American Free Trade Agreement (NAFTA) affected income distribution within Mexico given internal migration. In low-skilled labor-abundant developing countries, trade liberalization should theoretically increase the income of low-skilled workers, decreasing income disparity. However, anecdotal evidence indicates that NAFTA increased the gap between rich and poor in Mexico, and empirical evidence is mixed (Chiquiar, 2005; Nicita, 2009; Hanson, 2007). Because trade may affect wages differently across regions within the country, accurate measures of wage effects must incorporate intra-national migration. We specifically consider rural...
Subjects
Medical Subject Headings: health care economics and organizations
free text keywords: Income Distribution, Regional Disparities, Trade Liberalization, Internal-Migration, International Relations/Trade, Labor and Human Capital,, International Relations/Trade, Labor and Human Capital, Income Distribution, Regional Disparities, Trade Liberalization, Internal-Migration
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publication . Preprint . Other literature type . 2012

Effect of Tariff Liberalization on Mexico’s Income Distribution in the presence of Migration

Garduno-Rivera, Rafael; Baylis, Katherine R.; Garduno-Rivera, Rafael; Baylis, Katherine R.;