You might have noticed that Mexican trucks have been in the news lately. Who wins and who loses when Mexican trucks are allowed to carry cargo into the United States?
The New York Times reports that a NAFTA dispute resolution panel has ruled that NAFTA requires the U.S. to let Mexican trucks into the United States. President Bush has said that the U.S. will comply with the ruling. Mexican trucks have been excluded from freely traveling throughout the U.S. since 1995 when President Clinton decided to keep them out on safety grounds.
According to the Times, “Union officials voice fears that Mexican truckers, who often earn one-fourth as much as unionized American truckers, will take American jobs. And consumer groups, noting that 41 percent of Mexican trucks failed American inspections at the border, argue that the trucks will endanger Americans.”
Read the full article at The Library of Economics and Liberty