"As the U.S. Slips, So Slips Mexico?"

Business Week, February 5, 2001

Synopsis:

Impacts of one economy on another would be significant especially when the two countries belong to the same economic block. This article explains how the recent economic slowdown in the U.S will affect Mexico, one of its North American Free Trade Agreement (NFTA) partners. Given the fact that the U.S. has been the most important market for Mexico's exports, the slowdown in the U.S. economy is expected to negatively affect Mexico. As this article explains, however, Mexico may rather benefit from the shaky economic situations in the U.S. The U.S. slowdown may provide U.S. firms more incentive to invest in Mexico, creating more jobs for Mexicans. The U.S. downturn may also provide Mexican firms with an incentive to find out new customers including those in the EU.

Full-text Article: http://www.businessweek.com/@@71GeFWQQrDqPtwQA/premium/01_06/b3718136.htm

Text connection: Chapter 8 "Regional Economic Integration" (pp.247-250).

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