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Texas Comparative Advantage and Manufacturing Exports

Jesús Cañas, Luis Bernardo Torres Ruiz and Christina English

Chapter 11 in Ten-Gallon Economy, 2015, pp 159-179 from Palgrave Macmillan

Abstract: Abstract Texas exports more than any other US state. While Texas has gained global market share in some industries, it has lost ground in others. We identify the comparative advantage of Texas’ exports and analyze how that has evolved over the past decade. We then look at Texas’ comparative advantage versus its primary global competitors and analyze domestic competitors based on how total factor productivity could have influenced export performance. The results suggest that Texas’ comparative advantage in manufacturing markets has increased as Texas industries have become more productive. In addition, the results show that relative wage differentials have allowed Texas to become more competitive and gain global market share vis-à-vis its closest domestic rivals.

Keywords: Total Factor Productivity; Census Bureau; Comparative Advantage; Reveal Comparative Advan; North American Industry Classification System (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-137-53017-2_11

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DOI: 10.1057/9781137530172_11

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