In general, a reduction in trade barriers will affect the environment by expanding the scale of economic activity, by altering the composition of economic activity and by initiating a change in the techniques of production. We present empirical evidence to assess the relative magnitudes of these three effects as they apply to further trade liberalization in Mexico. We first use comparable measures of three air pollutants in a cross-section of urban areas located in 42 countries to study the relationship between air quality and economic growth. We find for two pollutants (sulphur dioxide and 'smoke') that concentrations increase with per capita GDP at low levels of national income, but decrease with GDP growth at higher levels of income. We then study the determinants of the industry pattern of US imports from Mexico and of value added by Mexico's maquiladora sector. We investigate whether the size of pollution abatement costs in US industry influences the pattern of international trade and investment. Finally, we use the results from a computable general equilibrium model to study the likely compositional effect of a North American Free Trade Agreement (NAFTA) on pollution in Mexico.
This volume represents a first attempt at holistically classifying and mapping ecological regions across all three countries of the North American continent. A common analytical methodology is used to examine North American ecology at multiple scales, from large continental ecosystems to subdivisions of these that correlate more detailed physical and biological settings with human activities on two levels of successively smaller units. The volume begins with an overview of North America from an ecological perspective, concepts of ecological regionalization. This is followed by descriptions of the 15 broad ecological regions, including information on physical and biological setting and human activities. The final section presents case studies in applications of the ecological characterization methodology to environmental issues. The appendix includes a list of common and scientific names of selected species characteristic of the ecological regions.