Jose Espinoza Arellano, Stephen W. Fuller, and Jaime Malaga*
TAMRC International Market Research Report No. IM 3-00
March 2000
ABSTRACT: A price equilibrium econometric model of the
U.S., Mexico and Caribbean nations melon industries was estimated to identify,
measure, and forecast forces impacting international trade. Simulation
analysis shows the 1994-1995 devaluation of the peso to have the greatest
short-run influence on Mexican melon exports to the United States while
improved Mexican yields have the greatest long-run impact. The tariff-reducing
provisions of NAFTA have a comparatively modest influence on Mexican melon
exports.
* Espinoza Arellano is Researcher in the National Institute of Agricultural Research (INIFAP) Mexico, Fuller is Professor and Malaga is Assistant Research Scientist in the Department of Agricultural Economics at Texas A&M University, College Station, Texas.