What is it about?
The US is Mexico's most important market for its manufacturing exports. However, other countries seem to be taking over Mexico as the US main supplier of similar manufacturing exports. Why is this? Is it because they are better than Mexico at producing these goods? Or is it because these countries have more of one crucial ingredient in the production of these goods: human capital?
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Why is it important?
The answer to these questions ought to guide the type of economic policies (and reforms, if necessary) that Mexico should implement to compete with similar exports made in other, similar countries.
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This page is a summary of: Determinants of Mexico’s Comparative Advantages and of the Performance of its Manufacturing Exports During 1996-2005, SSRN Electronic Journal, Elsevier,
DOI: 10.2139/ssrn.1638889.
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