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Ep. 76: The political consequences of NAFTA

Ep. 76: The political consequences of NAFTA

FromAEA Research Highlights


Ep. 76: The political consequences of NAFTA

FromAEA Research Highlights

ratings:
Length:
28 minutes
Released:
Jul 2, 2024
Format:
Podcast episode

Description

In 1993, the North American Free Trade Agreement (NAFTA) was passed with bipartisan support and near universal endorsement by economists. In hindsight, the economic costs and political consequences were far greater than many contemporary observers would have imagined. In a paper in the American Economic Review, authors Jiwon Choi, Ilyana Kuziemko, Ebonya Washington, and Gavin Wright found that US counties most exposed to NAFTA and Mexican import competition saw their total employment drop by roughly 6 percent compared to those with little exposure to the trade deal. However, workers in these communities didn’t respond by moving away to find better opportunities, and many, feeling betrayed by the Democratic party, embraced the Republican party instead.  Choi and Wright recently spoke with Tyler Smith about the economic and political history of NAFTA and what economists have learned since its passage.
Released:
Jul 2, 2024
Format:
Podcast episode

Titles in the series (82)

A podcast featuring interviews with economists whose work appears in journals published by the American Economic Association.