Transition Problems in Economic Reform: Agriculture in the North American Free Trade Agreement

Santiago Levy and Sweder van Wijnbergen

American Economic Review, 1995, vol. 85, issue 4, 738-54

Abstract: How fast should Mexican agriculture be incorporated into the North American Free Trade Agreement? The authors focus on the implications for policy design of the absence of efficient capital markets on the welfare costs of reforming gradually, on incentive problems created by trade adjustment policies, and on the redistributive aspects of policy reform--all transitional problems that arise in most economic reforms. A key consideration is that adjustment should focus on increasing the value of the assets owned by the groups affected and not on direct income transfers or programs targeted on characteristics controlled by the beneficiaries. Copyright 1995 by American Economic Association.

Date: 1995
References: Add references at CitEc
Citations: View citations in EconPapers (26)

Downloads: (external link)
http://links.jstor.org/sici?sici=0002-8282%2819950 ... O%3B2-L&origin=repec full text (application/pdf)
Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aea:aecrev:v:85:y:1995:i:4:p:738-54

Ordering information: This journal article can be ordered from
https://www.aeaweb.org/journals/subscriptions

Access Statistics for this article

American Economic Review is currently edited by Esther Duflo

More articles in American Economic Review from American Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Michael P. Albert ().