The Europe Agreements: Implications for Trade Laws and Institutions. Lessons from Hungary

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The Europe Agreements: Implications for Trade Laws and Institutions. Lessons from Hungary

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Sapir, André

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Andre Sapir

Abstract

Trade liberalization in Czechoslovakia, Hungary and Poland was accomplished in record time between 1989 and 1991. Sustainability became, however, a major concern in Central and Eastern Europe as the `honeymoon of trade liberalization' ended in 1991/2. The paper examines whether Europe Agreements (EAs) offer a credible mechanism to help in tying the hands of governments in favour of liberal trade policies. The focus is entirely on Hungary. The paper analyses trade policy formulation in Hungary and evaluates the actual constraint imposed by the EAs. It also examines the actual implementation of trade policies by Hungary vis--vis imports from the European Union and third countries. The paper concludes that the Hungarian experience suggests that EAs can be successful in sustaining trade liberalization in Central and Eastern Europe.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1024.

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Date of creation: Sep 1994
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Handle: RePEc:cpr:ceprdp:1024

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Find related papers by JEL classification:
F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
F14 - International Economics - - Trade - - - Country and Industry Studies of Trade
F15 - International Economics - - Trade - - - Economic Integration

Cited by:
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Francoise Lemoine, 1996. "Trade Policy and Trade Patterns During Transition : A Comparison Between China and the CEECs," Working Papers 1996-02, CEPII research center. [Downloadable!]

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