International Journal of Business and Economics Volume 4, No. 1 April​, 2005

Impact of NAFTA on U.S. Corn Trade with Mexico

A. A. Farhad Chowdhury

Department of Business, Mississippi Valley State University, U.S.A.

Albert J. Allen

Department of Agricultural Economics, Mississippi State University, U.S.A.

Abstract

The objective of this paper is to assess the impact of NAFTA vis-à-vis other domestic and environmental forces in corn trading between the U.S. and Mexico. Regression analysis could not provide conclusive evidence that the post-NAFTA increase in corn trade was solely due to NAFTA. Severe drought in Mexico and its domestic policy reforms may have contributed to the increased volume of corn trade in the post-NAFTA era.

Keywords：NAFTA, tariff barriers, tariff-rate quota, labor-output coefficients.

JEL Classifications：F13.

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