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Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The trade associated with international production networks – supply‐chain trade for short – is associated with some of the most momentous global economic changes in the last 100 years. It has transformative implications for the world economy. This paper presents a portrait of the global pattern of supply‐chain trade and how it has evolved since 1995. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Canadian Geographer is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The paper examines whether arbitrage tends to equalize commodity prices for internationally traded homogenous products. It also investigates whether the increasing integration of North American markets has reduced price differences over time, and tests the validity of the so-called Law of One Price. We find that price differences for homogenous tradables between Canada and the U.S. are smaller than those for differentiated tradables and non-tradables, and are statistically insignificant over the period 1985 to 1999. We find no support for the notion that the increasing integration of North American markets due to trade liberalization has reduced price differences between Canada and the United States. Instead, the shifts in the price differences (expressed in the same currency) generally reflected fluctuations in the exchange rate. Canadian prices adapt with a lag to U.S. price changes that are brought about by changes in the exchange rate. [ABSTRACT FROM AUTHOR]

This paper outlines some arguments shout the role of transportation costs in determining the welfare consequences of trade restrictions. The analysis uses a computable general equilibrium (CGE) model and presents the relevant features for trade analysis. The model has two alternative spatial formulations. In the first, all production and trade occur at one point, while in the second the regions are separated by distance. The calculated effects of a unilateral tariff increase are compared using the CGE model with the "point" and "distance" formulation. While the presence of transportation costs is crucial to some sectoral trade and production results, most welfare results are relatively insensitive to the spatial structure of the model. [ABSTRACT FROM AUTHOR]

Structural characteristics of Canada's Pattern of Trade. This paper is concerned with testing the empirical validity of the factor proportions and technology models of international trade in the Canada--United States context. The export and import propensity as well as the net balance of trade of a sample of sixty-seven Canadian industries are regressed against variables measuring the human capital, physical capital, natural resource, and technological intensity of these industries Economies of scale at both the firm and plant level and Canadian and United States tariffs are also taken into account in the multiple regression analysis. The results show that the technology model explains a greater proportion of the variation in the dependent variables than the factor proportions model. [ABSTRACT FROM AUTHOR]

A dumping investigation involves comparing export prices with a “normal value” loosely defined as the price in the exporter's domestic market observed in the course of normal trade. However, domestic sales with prices below production costs are excluded from the computation of a normal value. The paper illustrates how price cycles affect the magnitude of estimated dumping margins. The empirical analysis focuses on Canadian hog exports to the United States and U.S. potato exports to Canada. The estimated period and amplitude of each price cycles result in average dumping margins for Canadian hogs and U.S. potato exports of 11.5% and 5.9%, respectively. Biases in dumping margins depend on the nature of the cycle, the period of investigation, and the average production cost estimate. [ABSTRACT FROM AUTHOR]

This paper analyzes cross-border price behavior in a three-dimensional sample of US and Canadian retail prices. Unit-root tests reveal that a majority of the cross-border relative price series are stationary and that short-run cross-border price differences are eliminated at average speeds comparable to those for intranational prices. Cross-border convergence is not absolute; the long-run international price differences average two to three times their intranational counterparts. Moreover, gravity-type equations reveal a border effect that is sizable but considerably smaller than earlier estimates. These results suggest that, while significant, the Canada–US border may not be the formidable barrier portrayed in previous studies. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Agricultural Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The article discusses the way in which environmental regulations by large triad groups such as the European Community (EC) and the United States can pose nontariff barriers to entry to firms from small, open economies like Canada. To analyze the use of environmental regulations as a strategy with asymmetric differences between firms in the triad and outsiders, it is useful to build upon the mainstream literature in strategic management. The "asymmetry" in size between the triad markets, where economies of scale and scope are possible and small, open economies, means that access to a triad market is required for a Canadian firm to develop a global strategy. Knowing this, rival firms in the EC or United States can lobby for tighter environmental regulations within their regimes, thereby forcing outsiders to incur costs in conforming to triad-based measures, because the outsiders cannot afford to lose access to these critical markets. In other words, there is a potential incentive for U.S. and EC firms to attempt to "capture" the administration of environmental laws and use them as entry barriers.

Borders affect the composition, not only the level, of interregional trade. In disaggregated U.S. Commodity Flow data, border effects vary substantially across commodities. Substantial border–induced compositional change suggests the possibility that standard estimates suffer from aggregation bias arising from endogenous industry location patterns and the presence of zero observations in commodity–level trade. Adjusting for these effects reduces the estimate of the aggregate border effect from 20.9 to 5.7. JEL Classification: F14, F15 Biais d’agrégation, changement de composition, et effet de frontières. Les frontières affectent la composition et pas seulement le volume de commerce inter-régional. Une analyse des données désagrégées des flux de commerce de biens des Etats-Unis montre que l’effet de frontières varie substantiellement selon les biens. Le changement de composition du commerce engendré par les frontières suggère la possibilité que les estimations usuelles souffrent d’un biais d’agrégation résultant des patterns de localisation industrielle endogènes et de la présence d’observations nulles dans le commerce de certains biens. Un ajustement pour tenir compte de ces effets suggère que les effets de frontières passent de 20.9 à 5.7. [ABSTRACT FROM AUTHOR]

Provisions made by the governments of the United States, Canada and Australia to compensate individuals injured on account of in- creased import competition are examined. The rationale for specifically favoring trade displaced workers, even though employees elsewhere, on account of technological and other changes, also experience disruption, is explained. There- after, the salient features of the three countries' adjustment assistance schemes are outlined and their relative effectiveness evaluated. By and large, none of the three countries has provided sufficient compensation or amelioration to attenuate resistance by either firms or workers to freer trade. [ABSTRACT FROM AUTHOR]

In this paper we investigate the effect of news about the advent of the U.S.- Canada Free Trade Agreement (FTA) on the exchange rate between the Canadian dollar and the U.S. dollar. We find evidence that information flows related to the likelihood of the FTA influenced the volatility of the daily spot rate. In particular, information that increased the likelihood of the FTA subsequently diminished exchange rate volatility. In contrast, information that decreased the likelihood of the FTA subsequently increased exchange rate volatility. [ABSTRACT FROM AUTHOR]

The article discusses that most quantitative tests of the structure-performance model basic to industrial organization analysis have been based on U.S. data. Although similar studies for other economies are becoming more common, in terms of completeness they still lag somewhat behind the U.S. efforts. The purpose of this paper is to attempt to answer this question on the basis of comparisons between Canada and the U.S. of the same structural variables and their effect on the same performance variable. Both countries are reasonably well suited for the comparisons because, although there are substantial differences (the Canadian economy is much smaller and there is a greater reliance on foreign trade) they are similar in many respects. The complete regression model specifies that profits are a function of national and regional concentration; barriers to entry; 'diversification' (which is here treated as the opposite of 'specialization'); demand; and foreign competition. The most significant difference between Canada and the U.S. concerns the foreign competition variable.

Copyright of Canadian Journal of Agricultural Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The article reports on the affect of U.S. and Canadian generally accepted accounting principles (GAAP) on the capital market. In 1991, the U.S. Securities and Exchange Commission (SEC) adopted the forms F-10 and 40-F for a multi-jurisdictional disclosure system to be used by Canadian issuers which requires them to provide reconciliations of their Canadian-GAAP financial statements to the U.S.-GAAP. The differences between GAAPs can be relative to the earnings of a firm or its market value of equity but are not entirely value relevant.

Barriers to international trade are known to be large but because of data limitations it is hard to measure them directly for a large number of countries over many years. To address this problem, I derive a micro-founded measure of bilateral trade costs that indirectly infers trade frictions from observable trade data. I show that this trade cost measure is consistent with a broad range of leading trade theories including Ricardian and heterogeneous firms models. In an application I show that U.S. trade costs with major trading partners declined on average by about 40 between 1970 and 2000, with Mexico and Canada experiencing the biggest reductions. [ABSTRACT FROM AUTHOR]

The imports of hard red winter and durum wheat from Canada has been a source of contention among U.S. wheat growers, due to the likeness between domestic and imported Canadian wheat. This has also been investigated as a source of material injury to the U.S. market. We examine the relative substitution between U.S. and Canadian wheat, by class, by treating wheat as an input in flour production. We find that while U.S. hard red spring wheat and U.S. hard red winter wheat are economic substitutes, there is limited price substitution between U.S. and Canadian durum and U.S. and Canadian hard red spring wheat. Quality differences from the millers' perspective may be the reason driving the import demand for hard red spring and durum wheat from Canada. Les importations de blé de force rouge d'hiver et de blé dur en provenance du Canada sont une source de conflit chez les producteurs de blé des États-Unis, en raison de la ressemblance entre le blé produit aux États-Unis et le blé importé du Canada. Ce point, jugé comme une source de préjudice important au marchéétatsunien, a également fait l'objet d'une enquête. Nous avons examiné la substitution relative du bléétatsunien et canadien, selon la classe, en traitant le blé comme un intrant dans la production de farine. Nos résultats ont indiqué que, bien que le blé de force roux de printemps et le blé de force rouge d'hiver soient des substituts économiques, la substitution en raison du prix demeure limitée entre le blé dur étatsunien et canadien et entre le blé de force roux de printemps étatsunien et canadien. Les différences de qualité perçues par les meuniers pourraient être la raison qui stimule la demande d'importation de blé de force roux du printemps et de blé dur en provenance du Canada. [ABSTRACT FROM AUTHOR]

Copyright of Canadian Journal of Economics is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Canadian Geographer is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The impact of lags in the production and marketing of agricultural products on the degree of exchange rate pass-through in export prices is investigated. The predictions of the theoretical model are tested by investigating Canadian pork export prices in the United States and Japan. The empirical methodology accounts for unit root and cointegration using the dynamic seemingly unrelated regression framework and a minimum distance estimator. Predetermined hog supplies have a statistically significant impact on export prices of two out of three Canadian provinces. The degree of misspecification involved with standard pass-through models that do not account for production lags is also illustrated. [ABSTRACT FROM AUTHOR]

Signing the North American Free Trade Agreement (NAFTA) liberalized trade policy and reduced tariffs between Mexico, the United States, and Canada, but activists opposed to the treaty predicted an environmental disaster. This article seeks to analyze the dynamics of environmental spending and changes in companies' profiles following NAFTA. Our results suggest that these predictions have not come true. Through an econometric model, we explore how 2,438 industries in the 1994–2002 period made environmental decisions and how much they spent on cleanup. Estimates were made with a dynamic panel model using the generalized method of moments (GMM) method. Our results suggest that environmental investment decisions depended on business size, their technological capabilities, sales performance, and the need to comply with the standards required by customers in the international market. The last section explores policies to improve compliance with Mexico's environmental regulations and to develop sustainable, eco-friendly manufacturing. [ABSTRACT FROM AUTHOR]

We developed a model of interrelated timber markets in the U.S. West to assess the impacts of large-scale fuel reduction programs on these markets, and concomitant effects of the market on the fuel reduction programs. The linear programming spatial equilibrium model allows interstate and international trade with western Canada and the rest of the world, while accounting for price effects of introducing softwood logs to the market. The model maximizes area treated, given fire regime-condition class priorities, maximum increases in softwood processing capacity, maximum rates of annual treatments, prohibitions on exports of U.S. and Canadian softwood logs from public lands and a fixed annual treatment budget. Results show that the loss to U.S. private timber producers is less than the gains for timber consumers (mills). States receiving more treatments when spending is not constrained by state proportions include Idaho, Montana, New Mexico and Oregon. When only the wildland-urban interface is treated, California, Oregon and Washington receive more treatments. Utah and Colorado receive more treatments when low risk stands are included. [ABSTRACT FROM AUTHOR]

Canada and the United States are each other's largest trading partner. Trade in agricultural goods has grown continuously since the signing of the Canada–United States Trade Agreement in 1989. The trade agreement removed most tariffs on traded agricultural goods. However, many nontariff barriers remain. We estimate the border effects for a select group of agricultural commodities and find that the quantity traded is less than would be predicted under free trade. [ABSTRACT FROM AUTHOR]

The use of anti-dumping policy has been steadily growing in recent decades, and so has the theoretical and empirical literature on anti-dumping. However, while developing countries as a whole have become at least as active as the ‘traditional’ anti-dumping regimes (the USA, the EU, Canada and Australia), the literature is almost exclusively concerned with the latter group. This article gives an overview of anti-dumping policy and practice in Mexico, one of the leading ‘new’ anti-dumping regimes. It assesses how anti-dumping has expanded since the country began liberalising trade in the mid-1980s, and discusses how the policy has been applied in a protectionist way that is not dissimilar to policy practice in the traditional user countries. [ABSTRACT FROM AUTHOR]

This article argues that in legislative systems where absolute party discipline is present, the only means by which a legislator can dissent from the party position is to abstain from voting. It is argued that abstentions are more likely to occur where the party-imposed position causes conflict for the legislator--either because the party-imposedposition conflicts with the interests of the legislator's constituents or because it conflicts with the legislator's personal ideology. The hypothesis is empirically tested by examining voting in the Canadian House of Commons on the bill to implement the politically controversial Canada--U. S. Free Trade Agreement. The empirical results lend general support to the theoretical notions. [ABSTRACT FROM AUTHOR]

Trade creation in agricultural products is defined as a statistically significant positive break in the trend function of the growth in exports and imports between member countries. The present study attempts to determine the time of any break in the trend of real exports and imports between the Canada–USA Free Trade Agreement (CUSTA) and the North American Free Trade Agreement (NAFTA) member countries for the years 1980:I through 1999:II, and document the scale of the phenomenon. The present study finds trade creation only occurs in USA agricultural exports to Canada because of CUSTA. The results confirm the theory that the regionalism of NAFTA did not lead to regionalisation or an increasing share of intraregional international trade. [ABSTRACT FROM AUTHOR]

On 1 January 1989 the Canada-United States Free Trade Agreement went into effect. The agreement reduced thc restrictions on the importation and marketing of wine produced in the United States. This article analyzes the impact of this lessening on United States wine exports to Canada. A demand relation for United States exports to Canada is estimated and then used to decompose the effects into their proximate causes. These causes are (a) own-price and exchange rate effects, (b) substitute price and exchange rate effects, (c) changes in real income in Canada, (d) tariff removal effects, and (e) removal of nontariff trade barriers by Canada. [ABSTRACT FROM AUTHOR]

This article examines the factors which explain the inter-industry variation of productivity of Canadian manufacturing industries relative to the productivity of counterpart industries in the U.S. The empirical results support the view that scale economies and product differentiation are associated with the survival of inefficiently small production units in Canada, provided that tariff protection is strong enough to insulate these establishments from foreign competition. Other variables which appear to affect relative productivity are: relative non-production-worker intensity of the labor force, a multiplicative interaction of seller concentration and market growth and relative research and development activity. Perhaps the most interesting finding is that relative productivity is negatively associated with the percentage of industry shipments accounted for by foreign-controlled firms. Restriction of export possibilities may serve no purpose to the multinational, but restriction of import competition would be expected to occur to protect investments that involve substantial sunk costs. An additional reason for the inverse relationship between relative productivity and foreign-ownership is the marketing strength of the foreign-owned firms.

Copyright of Canadian Public Administration is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Canada and the United States export coniferous lumber and wood chips to Scandinavia and other countries, in 1984, Finnish authorities found the pinewood nematode (PWN) Bursaphelenchus xylophzlus in coniferous wood chips imported from Canada and the United States. The fact that pine-wilt disease, caused by the PWN, is a serious problem in Japan, gave Finland occasion to ban importation of all raw softwood materials from countries where the PWN occurs and, in 1986, other Scandinavian countries followed suit. The Scandinavian ban has affected North American forest exports.

The article focuses on the idea of the U.S. to have free trade with Canada. Americans must realize that they are no longer dealing with a small and insignificant Dominion, but Canada that has emerged from nationhood into a position generally recognized as that of a world power. Canada has certainly achieved enough since 1939, and given the U.S. such outstanding aid, as to be able to demand the fullest equality of consideration. The Dominion has not even accepted lend lease aid from the U.S., but has paid the U.S. for all war materials or manufactured articles imported from the United States for the use of its military or naval forces, while raw materials bought from the U.S. by Canada for use in making armaments for England were debited to England under lend-lease. In these war relationships Canada's aim has been the mutual benefit of both countries without any selfish purpose or any objective that it was not willing to share with the U.S. or any other country. If the Dominion is now met with similar evidences of American good-will and the desire to make the U.S.'s postwar relations as close as those between the individual American States, and not in a horse-trading spirit, not only will the two countries profit, but the whole world.

This article reports that when the U.S.-Canada Free Trade Agreement (FTA) went into effect, businesses on both sides of the border breathed sighs of relief. The agreement would make trading between the two countries easier because trade barriers would be conveniently reduced. In "Knowing Your Export Origins," in the March 1990 issue of the "Northeast International Business," by Alexander T. Smith, the publication's transportation writer, takes a penetrating look at this troublesome document. His perceptive article includes some revealing interviews with U.S. and Canadian companies whose experiences with the certificate of origin have hardly been a cause for joy. Tariffs on U.S. and Canadian-made merchandise have been reduced significantly due to the FTA; in some cases they have been completely eliminated. The agreement also helps prevent third countries, such as Japan, from not paying the correct duty when their goods are traded across the U.S.-Canadian border. As Charles L. Crowley, customs specialist and senior manager at Deloitte and Touche, a New York accounting firm, points out, Japanese computer chips bought and then repackaged by a U.S. firm cannot gain entry into Canada duty free. Such trans-shipment subterfuge was one of the major concerns of the treaty negotiators.

The article questions that is the United States being priced out of the world market. Since much public discussion has been carried on without objective analysis, some pertinent facts are presented. The index of export prices for the United States rose from 100 in the base year 1953 to 106 in 1959. All other countries except Great Britain and Canada experienced a steady growth with particularly sharp rises in 1959. Japan with a 1959 index of 280, Germany with 198 and Italy with 182 was especially outstanding. Assuming that exports have decreased because the prices in the U.S. have risen relative to foreign prices, the causes can be many. Between 1953 and June 1959 the index of U.S. wage rates rose from 100 to 127 while indices of all other major countries showed equal or greater rises. With various forms of government intervention such as subsidies, tariffs and quotas, materials are becoming more costly. High prices may also result from large overhead or insistence on high return on capital.