The Effects of Proposed

1
The Effects of Proposed Deeper Integration Paul
Storer and Steven Globerman, July 29, 2005
2
Goals of the Project

• Survey proposals for deeper integration of
  trade and security policies.
• Consider implications for production and trade
  flow patterns
• Determine the impacts for border and
  transportation infrastructure

3
Proposed Deeper Integration

• Rules of origin.
• Perimeter security.
• Tariff harmonization.

4
Security and Prosperity Partnership

• Establish a common approach to security to
  protect North America from external threats .
• reduce rules of origin costs.
• explore opportunities for trade facilitation

5
Data Sources and Methodology Analysis of Recent
Changes

• Document changes to NAFTA rules.
• Calculate a restrictiveness index.
• Explore trade effects of (a) RoO changes and (b)
  phase in of the NAFTA mini-customs union (use
  5-digit trade data).

6
Data Sources and Methodology Analysis of
Proposed Changes

• Survey sectoral implications from CGE models.
• Survey the existing perimeter security
  literature.
• Apply transportation impact models eg Casavant
  et al, NWJBE, 2001.