Archived — Perspectives on North American Free Trade Series Number 05—Effects of the Canada-United States Free Trade Agreement on Interprovincial Trade, April 1999
Strategic Policy Sector
Economic Research and Policy Analysis Branch
This paper assesses the impact of the FTA on interprovincial trade. More specifically, it examines the possibility that the FTA may have created more trade between Canada and the United States in part by diverting trade away from interprovincial channels. The results show that the FTA increased north-south trade relative to east-west trade, as FTA-related reductions in Canadian tariffs led to increases in imports from the United States, while reductions in U.S. tariffs led to increases in exports to the United States.
Catalogue number: C21-28/5-1999
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