Research Library

Latin America Initiative



Preferential Trade Agreements & U.S.-Latin America Trade Relations

Pablo M. Pinto

Preferential Trade Agreements & U.S.-Latin America Trade Relations.

By Pablo M. Pinto, Leonardo Baccini and Stephen Weymouth

While academic and popular debates tend to focus on differential benefits and costs of trade across countries or industries, this brief highlights winners and losers at the level of individual firms. The authors demonstrate that preferential liberalization produces concentrated benefits among a relatively small number of very large and productive firms.