Economic determinants of demand for maquiladora exports to the U.S: An empirical examination

This paper examines the impact of three different macroeconomic variables on maquiladora exports from Mexico. The variables addressed in this paper are the U.S GDP, the U.S.-Mexico Manufacturing Wages, and US-Mexico Exchange Rate. These variables are examined to determine their impact on the demand for maquiladora exports (from Mexico) to the U.S. The results show that only US GDP has a positive and significant effect on maquiladora exports to the US.