Scenarios for Trade Integration in the Americas
AbstractThis paper analyzes two potential trade liberalization scenarios: a Free Trade Area of the Americas (FTAA) and an agreement between MERCOSUR and the European Union (EU). The paper utilizes a world general equilibrium model with some macro elements such as rigidities in wages and exchange rates. The empirical results show that the two regional integration scenarios create trade and increase welfare for the participants (more for the Latin American countries than for either the US or the EU) with little impact on non-participants.
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Bibliographic InfoArticle provided by CEPII research center in its journal Economie Internationale.
Volume (Year): (2003)
Issue (Month): 94-95 ()
Trade; Regional Integration; General Equilibrium Models; Developing Countries;
Other versions of this item:
- C5 - Mathematical and Quantitative Methods - - Econometric Modeling
- E1 - Macroeconomics and Monetary Economics - - General Aggregative Models
- F1 - International Economics - - Trade
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