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Modelling Euro-Mediterranean Agricultural Trade

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Author Info
Garcia-Alvarez-Coque, Jose-Maria
Martinez-Gomez, Victor
Villanueva, Mique

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Abstract

This paper examines the methodological problems to define a modelling approach to assess the impact of full or limited bilateral liberalisation of agricultural trade flows in the Euro-Mediterranean region. The bilateral trade liberalisation process in the region is framed by complexity, in policy instruments and in the characteristics of the products, in particular fruits and vegetables. Advantages and disadvantages of the general equilibrium and partial equilibrium approaches to simulate trade policy impacts are assessed. Caveats of existing models are related to the representation of specific policy instruments (tariffs, entry prices and other non-tariff measures) and on the seasonal nature of horticultural trade, which is of major importance in the Euro-Mediterranean Free Trade Are. The paper provides an illustration of how an imperfect substitute product model could be helpful to describe the trade effects of bilateral price changes, for given seasons.

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File URL: http://mpra.ub.uni-muenchen.de/1832/
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 1832.

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Date of creation: 02 Feb 2006
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Handle: RePEc:pra:mprapa:1832

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Find related papers by JEL classification:
Q00 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - General
F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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  1. Deardorff, A.V. & Brown, D.K. & Stern, R.M., 1996. "Some Economic Effects of the Free Trade Agreement Between Tunisia and the European Union," Working Papers 385, Research Seminar in International Economics, University of Michigan.
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This page was last updated on 2008-11-17.

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