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Some Economic Effects of the Free Trade Agreement Between Tunisia and the European Union

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Author Info

  • Deardorff, A.V.
  • Brown, D.K.
  • Stern, R.M.

Abstract

We use a special constructed version of the Michigan Brown-Deardorff-Stern (BDS) Computational General Equilibrium (CGE) Model of World production and Trade to estimate the potential economic effects on the Tunisian economy that may result from the free trade agreement (FTA) between Tunisia and the European Union (EU) that was concluded in July 1995. We find that the static welfare benefits for Tunisia of the FTA range from slightly negative to somewhat positive, depending on what is assumed about intersectoral capital mobility in Tunisia.

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Bibliographic Info

Paper provided by Research Seminar in International Economics, University of Michigan in its series Working Papers with number 385.

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Length: 40 pages
Date of creation: 1996
Date of revision:
Handle: RePEc:mie:wpaper:385

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Postal: ANN ARBOR MICHIGAN 48109
Web page: http://www.fordschool.umich.edu/rsie/
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Related research

Keywords: ECONOMIC MODELS ; ECONOMIC EQUILIBRIUM ; INTERNATIONAL TRADE;

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Cited by:
  1. Garcia-Alvarez-Coque, Jose-Maria & Martinez-Gomez, Victor & Villanueva, Mique, 2006. "Modelling Euro-Mediterranean Agricultural Trade," MPRA Paper 1832, University Library of Munich, Germany.
  2. DeRosa, Dean A., 1997. "Agricultural trade and rural development in the Middle East and North Africa: recent developments and prospects," Policy Research Working Paper Series 1732, The World Bank.
  3. Iván Martín, 2004. "La inversión extranjera directa en los países del Maghreb en el marco de la Asociación Euromediterránea: ¿el eslabón perdido?," International Trade 0405001, EconWPA.
  4. Arce, Rafael de & Mahia, Ramón, 2000. "A Euro-Mediterranean Agricultural Trade Agreement: Benefits for the South and Costs for the EU," MPRA Paper 12721, University Library of Munich, Germany, revised 2001.
  5. Dennis, Allen, 2006. "The impact of regional trade agreements and trade facilitation in the Middle East and North Africa region," Policy Research Working Paper Series 3837, The World Bank.
  6. Ferjani, Ali, 2003. "Imperfect Competition, Economies of Scale and Trade Liberalisation in Tunisia - A Comparative Analysis Using a Computable General Equilibrium Model (CGEM)," Agrarwirtschaft und Agrarsoziologie/ Economie et Sociologie Rurales, Swiss Society for Agricultural Economics and Rural Sociology, issue 1.
  7. Denise Eby Konan & Ari Van Assche, 2006. "Regulation, Market Structure and Service Trade Liberalization," CIRANO Working Papers 2006s-18, CIRANO.
  8. Sophie Drogué & Youssef Chahed, 2003. "Incidence du processus multilatéral sur la viabilité des accords préférentiels: le cas euro-méditerranéen," Économie rurale, Programme National Persée, vol. 276(1), pages 3-16.
  9. Kavallari, Aikaterini & Schmitz, P. Michael, 2010. "Preference erosion effects on the agricultural sector of the EU’s Mediterranean Partner Countries," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 11(2), June.
  10. Alessandrini, Sergio & Resmini, Laura, 2000. "FDI in the Mediterranean Region: a Comparison with CEE Experience," MPRA Paper 26103, University Library of Munich, Germany.

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