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The world economy has witnessed a sudden increase in free trade agreements, generating a renewed debate on their economic impact. In Expanding NAFTA Carmen Zechner focuses on the economic effects on Chile of the potential free trade agreement with the United States. The author creates a framework for analyzing the impact of economic integration between a developed and a developing country from the developing country's perspective. This book goes beyond earlier analyses of the static gains from free trade to examine the dynamic and more intangible effects that are critical to the welfare evaluation of trade agreements. Expanding NAFTA is an important contribution to the research on preferential trade liberalization and to understanding developing countries' trade policy choices. This book will be indispensable to anyone interested in trade policy making and the Chilean economy.
"Very readable book written during height of NAFTA debate. Remains a valuable resource for discussing impact of the trade agreement in Mexico and US"--Handbook of Latin American Studies, v. 57.
The Clinton Administration has a chance to build on the success of the NAFTA. By reaching out to other countries in the Americas, Clinton can begin to construct the building blocs for a hemisphere-wide free trade community. Between now and July 1, the Clinton Administration will craft a regional trade policy that will either look toward the future and embrace free trade or pursue managed trade and protectionism. As the NAFTA and other free trade pacts in the Americas show, the wave of the future is surely free trade.