Trade reform and inequality: The case of Mexico and Argentina in the 1990s
ACOSTA, PABLO ARIEL; MONTES ROJAS, GABRIEL VICTORIO
Año: 2008 vol. 31 p. 763 - 763
This paper provides empirical assessments of one of the leading explanation for the increase in skill premium in Mexico and Argentina during the 1990s: trade liberalization. We provide evidence that shows that imports increase skill premium in Mexico, while exports reduce it. In Argentina, overall trade increased skill premium in the early 1990s (beginning of trade reforms), although it reduced it later on the decade. These results are helpful for a comparison between South-South integration, FTAA or bilateral FTAs with Northern economies as alternative trade policy options for Latin American countries.