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Are South-South RTAs Growth Enhancing. The Case of Latin American Agreements, 1960-2000

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  • Lo Turco. A.

Abstract

This study represents the evaluation of the growth effects of three Latin American trade agreements for the countries involved. The use of a longitudinal data set allows for a new approach to the topic: under speci?c assumptions, the experience of a group of countries unaffected by the policy intervention will represent what the countries affected would have experienced, had they not negotiated the agreement. This can provide the basic piece of information needed for the evaluation of the policy change. Despite the increased degree of trade introversion for medium and high technology goods, results suggest that, ceteris paribus, no positive additional growth effects emerge on average from the participation into an agreement for the countries involved.

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Bibliographic Info

Article provided by Euro-American Association of Economic Development in its journal Applied Econometrics and International Development.

Volume (Year): 5 (2005)
Issue (Month): 2 ()
Pages:

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Handle: RePEc:eaa:aeinde:v:5:y:2005:i:2_1

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Related research

Keywords: South-South Trade Agreements; Growth.;

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  1. Arellano, Manuel & Bover, Olympia, 1995. "Another look at the instrumental variable estimation of error-components models," Journal of Econometrics, Elsevier, vol. 68(1), pages 29-51, July.
  2. Schiff, Maurice & Winters, L. Alan, 1997. "Regional Integration as Diplomacy," CEPR Discussion Papers 1690, C.E.P.R. Discussion Papers.
  3. Rivera-Batiz, Luis A. & Romer, Paul M., 1991. "International trade with endogenous technological change," European Economic Review, Elsevier, vol. 35(4), pages 971-1001, May.
  4. Richard Blundell & Monica Costa Dias, 2002. "Alternative approaches to evaluation in empirical microeconomics," CeMMAP working papers CWP10/02, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  5. Richard Blundell & Monica Costa Dias, 2000. "Evaluation methods for non-experimental data," Fiscal Studies, Institute for Fiscal Studies, vol. 21(4), pages 427-468, January.
  6. Baier, Scott L. & Bergstrand, Jeffrey H., 2004. "Economic determinants of free trade agreements," Journal of International Economics, Elsevier, vol. 64(1), pages 29-63, October.
  7. Richard Blundell & Steve Bond & Frank Windmeijer, 2000. "Estimation in dynamic panel data models: improving on the performance of the standard GMM estimator," IFS Working Papers W00/12, Institute for Fiscal Studies.
  8. James H. Stock & Motohiro Yogo, 2002. "Testing for Weak Instruments in Linear IV Regression," NBER Technical Working Papers 0284, National Bureau of Economic Research, Inc.
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