The Long and Short of the Canada-U. S. Free Trade Agreement

S-Tier
Journal: American Economic Review
Year: 2004
Volume: 94
Issue: 4
Pages: 870-895

Score contribution per author:

8.043 = (α=2.01 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The Canada-U. S. Free Trade Agreement provides a unique window onto the effects of a reciprocal trade agreement on an industrialized economy (Canada). For industries that experienced the deepest Canadian tariff cuts, the contraction of low-productivity plants reduced employment by 12 percent while raising industrylevel labor productivity by 15 percent. For industries that experienced the largest U. S. tariff cuts, plant-level labor productivity soared by 14 percent. These results highlight the conflict between those who bore the short-run adjustment costs (displaced workers and struggling plants) and those who are garnering the long-run gains (consumers and efficient plants).

Technical Details

RePEc Handle
repec:aea:aecrev:v:94:y:2004:i:4:p:870-895
Journal Field
General
Author Count
1
Added to Database
2026-01-29