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Los acuerdos comerciales de Colombia, Ecuador y Perú con los Estados Unidos: efectos sobre el comercio, la producción y el bienestar
[Trade agreements by Colombia, Ecuador and Peru with the United States: effects on trade, production and welfare]

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Author Info
Durán Lima, José Elías
De Miguel , Carlos J.
Schushny, Andrés

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Abstract

The Computable General Equilibrium model, based on the Global Trade Analysis Project (GTAP) model, is used to evaluate the impact of separate bilateral free trade agreements by Colombia, Ecuador and Peru with the United States of America (USA). As the Andean Trade Promotion and Drug Eradication Act (ATPDEA) is to expire shortly, a number of different scenarios have been analyzed: full liberalization, liberalization excluding sensitive products and non-conclusion of agreements. Signature of the agreements would lead to a widespread increase in trade among the negotiating countries to the detriment of their Andean partners. While the effects on welfare would benefit only the United States and Peru, from the capital accumulation standpoint they are clearly positive for all countries. Research shows that, while these agreements would not be enough on their own to trigger a process of sustained development, an active economic and social policy could usefully tap their potential.

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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 10873.

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Date of creation: 10 May 2006
Date of revision: 25 Apr 2007
Publication status: Published in CEPAL Review 978-92-1-121635-6.No. 91(2007): pp. 67-94
Handle: RePEc:pra:mprapa:10873

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Related research
Keywords: Treaties; Free trade; Trade negotiations; Social welfare; Economic analysis; Andean region; United States;

Find related papers by JEL classification:
R13 - Urban, Rural, and Regional Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
C68 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computable General Equilibrium Models

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Baldwin, Richard E. & Venables, Anthony J., 1995. "Regional economic integration," Handbook of International Economics, in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 31, pages 1597-1644 Elsevier. [Downloadable!] (restricted)
  2. Malcolm, Gerard, 1998. "Adjusting Tax Rates in the GTAP Data Base," GTAP Technical Papers 315, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University. [Downloadable!]
  3. Terrie Walmsley, 1998. "LONG-RUN SIMULATIONS WITH GTAP: Illustrative Results from APEC Trade Liberalisation," Centre of Policy Studies/IMPACT Centre Working Papers ip-70, Monash University, Centre of Policy Studies/IMPACT Centre. [Downloadable!]
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  4. Ricardo Arguello & Ernesto Valenzuela, 2005. "Market access in the Western Hemisphere: Implications for the Andean Community," BORRADORES DE INVESTIGACIÓN 003188, UNIVERSIDAD DEL ROSARIO - FACULTAD DE ECONOMÍA. [Downloadable!]
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