
Contents
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Background: Mexico’s Trade Policy Background: Mexico’s Trade Policy
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North America North America
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Latin America Latin America
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The North American Free Trade Agreement The North American Free Trade Agreement
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Economic Background Economic Background
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The NAFTA Negotiations The NAFTA Negotiations
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Paving the Way to NAFTA Paving the Way to NAFTA
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Presidential Leadership in the NAFTA Negotiations Presidential Leadership in the NAFTA Negotiations
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The Pacific Alliance The Pacific Alliance
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Economic Background Economic Background
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Previous Economic Integration Efforts in Latin America Previous Economic Integration Efforts in Latin America
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Negotiations Negotiations
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Presidential Leadership Presidential Leadership
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Two-Level Games in the Pacific Alliance Negotiations Two-Level Games in the Pacific Alliance Negotiations
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Conclusion Conclusion
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Notes Notes
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9 Economic Statecraft through the Use of Two-Level Games: Mexico’s Successful Diplomacy in NAFTA and the Pacific Alliance
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Published:August 2015
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Abstract
This chapter examines Mexico’s effective use of diplomacy to achieve economic ends through the North American Free Trade Agreement (NAFTA) and the Pacific Alliance, a new free-trade pact comprising Chile, Colombia, Peru, and Mexico. The chapter relies on Robert Putnam’s two-level game theory as an analytical tool to explain the success of these regional negotiations. In both cases, the presidents involved played successful two-level games by leveraging their leadership to harness the political and bureaucratic apparatus and effectively address domestic and foreign interests. In addition, the presidents were able to turn what is theoretically a negotiation weakness—the strength of domestic constituencies—into a source of bargaining power.
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