China's and India's Challenge to Latin America

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index intra-industry trade (IIT) with China and India, 55, 56f, 66, 71 manufacturing export from China, effect on, 23, 103–4, 166–67 manufacturing export growth of, 146, 153 mining and metals industry export variety from, 253 negative effects of Chinese competition on, 6, 8, 20–21, 147, 180, 197, 202, 203 OECD FCS in, 126, 133, 138 output correlation with China, 84 tariff reductions in, 252t, 253 trade integration, output specialization and demand spillovers, effect in, 92–93f trade liberalization in, 245–61 See also trade liberalization and export variety trade with U.S. (1990 & 2001), 251, 252t, 253 trend in trade with China, 54, 55, 77 unaffiliated trade in services in, 222, 229f U.S. FCS in, 126, 133 Monat, P., 288n8 Moreira, M. M., 266 Morocco employment levels and effect of trade, 266 Multifibre Arrangement (MFA), 23, 33n22 Mutti, John, 293 N NAFTA. See North American Free Trade Agreement Najberg, S., 266 National Bureau of Economic Research, 49, 96n3

325 natural-resource-intensive activities Asian competition pushing LAC in specialization in, 7, 25, 30 complementarities of specialization patterns in industries, 25 LAC comparative advantage in, xxii, 10, 11f long-term growth of LAC and, 26 policy implications and, 30 negative impacts of Chinese and Indian competition in specific industries, xxii, 6, 19–23, 40, 104 Argentina’s decline in employment and, 265–87 See also Argentina goals of study, 214n2 high-wage sectors, 179, 203 industries for which China is correlated with lower LAC growth, 192, 197t manufacturing sector, 147, 167, 179 products under threat from China, 119n2, 180 U.S. economy as reason for, 180 See also United States “new goods,” 245–46 See also trade liberalization and export variety “extensive margin” and, 250 literature review on, 246–49, 247f, 249f productivity input from, 247, 247f nontariff barriers (NTBs) in China, 256, 257f North American Free Trade Agreement (NAFTA), 24, 145 export variety and, 246, 253, 254f, 257, 258t, 259, 261


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