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Recent US Free Trade Initiatives in the Middle East: Opportunities but No Guarantees

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  • Lawrence, Robert Z.

    (Harvard U)

Abstract

This paper evaluates the US initiative to establish a Free Trade Agreement with countries in the Middle East by signing bilateral agreements with the countries individually and then combining them into a single arrangement. These agreements present new opportunities for Arab countries, but to take full advantage, they will have to complement the agreements with additional policy measures, both individually, and together. The promise comes from the ability to use the agreements as a catalyst for improving regulatory rules and systems at home and facilitating integration with the rest of the region and the world. But the agreements also present problems for Arab countries, first in relating these US agreements to agreements with other trading partners – most importantly the EU; second in creating political difficulties associated with closer relations with the USA given problems in the region, and third, in undertaking the necessary economic and political policies that are necessary to realize the benefits.

Suggested Citation

  • Lawrence, Robert Z., 2006. "Recent US Free Trade Initiatives in the Middle East: Opportunities but No Guarantees," Working Paper Series rwp06-050, Harvard University, John F. Kennedy School of Government.
    • Handle: RePEc:ecl:harjfk:rwp06-050
    as

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    File URL: https://research.hks.harvard.edu/publications/workingpapers/citation.aspx?PubId=4311&type=WPN
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    References listed on IDEAS

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    1. Jeffrey J. Schott (ed.), 2004. "Free Trade Agreements: US Strategies and Priorities," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 375, October.
    2. Marcus Noland & Howard Pack, 2007. "Arab Economies in a Changing World, The," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 3931, October.
    3. Kehoe, Timothy J., 2002. "An Evaluation of the Performance of Applied General Equilibrium Models of the Impact of NAFTA," Conference papers 331066, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    4. Robert Z. Lawrence & Ahmed Galal, 2005. "Anchoring Reform with a US-Egypt Free Trade Agreement," Peterson Institute Press: All Books, Peterson Institute for International Economics, number pa74, October.
    5. Mr. Ludvig Söderling, 2005. "Is the Middle East and North Africa Region Achieving Its Trade Potential?," IMF Working Papers 2005/090, International Monetary Fund.
    6. Tovias, Alfred & Ugur, Mehmet, 2004. "Can the EU anchor policy reform? The case of the Euro-Med Partnership," Greenwich Papers in Political Economy 3980, University of Greenwich, Greenwich Political Economy Research Centre.
    7. Alfred Tovias & Mehmet Ugur, 2004. "Can the EU Anchor Policy Reform in Third Countries?," European Union Politics, , vol. 5(4), pages 395-418, December.
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    Cited by:

    1. Michael Thorpe & Sumit Mitra, 2008. "Growing Economic Interdependence of China and the Gulf Cooperation Council," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 16(2), pages 109-124, March.

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