Regional adjustment to trade liberalization

Article Abstract:

Regional labor demand in Mexico has been affected by three factors, namely, transport costs, backward-forward linkages that inspire firms to locate in areas accessible to foreign markets, and agglomeration economies. The influence of trade reform on Mexican employment can be further deduced from the relative growth of post-trade employment in regional industries that are proximate to the US or to related industries. New industrial centers also began sprouting in northern Mexico, or close to the Mexico-US border, as a result of the breakup of the manufacturing belt in Mexico City, a development to which trade reform had a significant contribution.

Administration of General Economic Programs, Trade Regulations NEC, Economic aspects, Employment, International trade, Mexico, International trade regulation

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Forecasting structural change with a regional econometric input-output model

Article Abstract:

A regional econometric input-output model created for the Chicago metropolitan area was utilized to forecast structural change. The model allows analysts to predict specific structural change in an economy characterized by interindustry relationship. It dwells on the general equilibrium power of other computable general equilibrium models by regulating input coefficients to clear markets.

Forecasting, Models, Analysis, Economic research, Macroeconomics, Business forecasting

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