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Free trade agreements and the SADC economies

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  • Lewis, Jeffrey D.
  • Robinson, Sherman
  • Thierfelder, Karen

Abstract

Countries in Southern Africa have engaged in a variety of trade liberalization initiatives. In this paper, the authors use a multi-country, computable general equilibrium (CGE) model to analyze the impact of trade liberalization on countries, sectors, and factor. To focus on trade flows among countries in Southern Africa, the model includes seven countries in the region (South Africa, Botswana, Malawi, Mozambique, Tanzania, Zambia, and Zimbabwe), the rest of SADC, the rest of Sub-Saharan Africa, and five other aggregate regions (the EU, High-Income Asia, Low-Income Asia, North America, and the rest of the world). First, they analyze the FTA between South Africa and the EU. Then, they consider how the rest of Southern Africa might respond: (1) by enforcing a SADC FTA; (2) by exploiting advantages of unilateral access to the EU in addition to a SADC FTA; and (3) by entering an FTA with the EU and other SADC countries.

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Bibliographic Info

Paper provided by International Food Policy Research Institute (IFPRI) in its series TMD discussion papers with number 80.

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Date of creation: 2001
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Handle: RePEc:fpr:tmddps:80

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Keywords: Trade liberalization Africa. ; Southern Africa. ; Free trade Econometric models. ; Equilibrium (Economics) Models. ; TMD ;

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References

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  1. Walmsley, Terrie & Scott McDonald, 2003. "Bilateral Free Trade Agreements and Customs Unions: The Impact of the EU Republic of South Africa Free Trade Agreement on Botswana," GTAP Working Papers 1644, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
  2. Shoven, John B & Whalley, John, 1984. "Applied General-Equilibrium Models of Taxation and International Trade: An Introduction and Survey," Journal of Economic Literature, American Economic Association, vol. 22(3), pages 1007-51, September.
  3. Robinson, Sherman & Thierfelder, Karen, 2002. "Trade liberalisation and regional integration: the search for large numbers," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, Australian Agricultural and Resource Economics Society, vol. 46(4), December.
  4. Shoven,John B. & Whalley,John, 1992. "Applying General Equilibrium," Cambridge Books, Cambridge University Press, Cambridge University Press, number 9780521266550.
  5. Baldwin, Richard E. & Venables, Anthony J., 1995. "Regional economic integration," Handbook of International Economics, Elsevier, in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 31, pages 1597-1644 Elsevier.
  6. John Whalley, 1984. "Trade Liberalization among Major World Trading Areas," MIT Press Books, The MIT Press, The MIT Press, edition 1, volume 1, number 0262231204, December.
  7. Brown, Drusilla K., 1987. "Tariffs, the terms of trade, and national product differentiation," Journal of Policy Modeling, Elsevier, Elsevier, vol. 9(3), pages 503-526.
  8. Soamiely Andriamananjara & Russell Hillberry, 2001. "Regionalism, Trade And Growth: The Case Of The Eu-South Africa Free Trade Arrangement," International Trade, EconWPA 0108001, EconWPA.
  9. Devaragan, Shantayanan & Lewis, Jeffrey D. & Robinson, Sherman, 1990. "Policy lessons from trade-focused, two-sector models," Journal of Policy Modeling, Elsevier, Elsevier, vol. 12(4), pages 625-657.
  10. Arvind Panagariya, 2000. "Preferential Trade Liberalization: The Traditional Theory and New Developments," Journal of Economic Literature, American Economic Association, vol. 38(2), pages 287-331, June.
  11. Devarajan, Shantayanan & Lewis, Jeffrey D & Robinson, Sherman, 1993. "External Shocks, Purchasing Power Parity, and the Equilibrium Real Exchange Rate," World Bank Economic Review, World Bank Group, World Bank Group, vol. 7(1), pages 45-63, January.
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Citations

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Cited by:
  1. Walkenhorst, Peter, 2005. "Trade Policy Developments in Tanzania: The Challenge of Global and Regional Integration," MPRA Paper 23399, University Library of Munich, Germany.
  2. Scott McDonald & Terrie Walmsley, 2004. "Preferential Trade Agreements and the Optimal Liberalisation of Agricultural Trade," Working Papers, The University of Sheffield, Department of Economics 2004010, The University of Sheffield, Department of Economics, revised Aug 2004.
  3. Padamja Khandelwal, 2004. "Comesa and Sadc," IMF Working Papers 04/227, International Monetary Fund.
  4. Nielsen, Chantal Pohl & Thierfelder, Karen & Robinson, Sherman, 2003. "Consumer preferences and trade in genetically modified foods," Journal of Policy Modeling, Elsevier, Elsevier, vol. 25(8), pages 777-794, November.
  5. Jean-Marc Philip, 2006. "Le recours aux MEGC pour l’analyse de l’accord de partenariat économique entre l’union européenne et les pays ACP : une revue de la littérature," CAE Working Papers, Aix-Marseille Université, CERGAM 92, Aix-Marseille Université, CERGAM.

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