IDEAS home Printed from https://ideas.repec.org/p/wii/wpaper/85.html
   My bibliography  Save this paper

Measuring the Effects of Trade Liberalization in Kosovo

Author

Listed:
  • Mario Holzner

    (The Vienna Institute for International Economic Studies, wiiw)

  • Florin Peci

Abstract

Similar to other countries in the European periphery, Kosovo lacks competitiveness, has adopted the euro as its national currency and started an integration process with the EU. The next milestone in this process is the signing of an FTA with the EU. We simulate full trade liberalization vis-à-vis the EU, using the Global Simulation Model. Our results suggest a slight output loss in almost all industries in Kosovo due to a drop in prices. Moreover the government budget is expected to lose about 5% of its revenues due to the tariff cut. A shift towards more direct taxation and measures aimed at improving the investment climate in Kosovo are recommended.

Suggested Citation

  • Mario Holzner & Florin Peci, 2012. "Measuring the Effects of Trade Liberalization in Kosovo," wiiw Working Papers 85, The Vienna Institute for International Economic Studies, wiiw.
    • Handle: RePEc:wii:wpaper:85
    as

    Download full text from publisher

    File URL: https://wiiw.ac.at/measuring-the-effects-of-trade-liberalization-in-kosovo-dlp-2637.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Masahisa Fujita & Paul Krugman & Anthony J. Venables, 2001. "The Spatial Economy: Cities, Regions, and International Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262561476, December.
    2. Leudjou, Roland R., 2012. "The Doha Round and Food Security in the Dairy Sector in Cameroon: A Global Simulation Model (GSIM) Approach: Technical Annex," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 13(1), pages 1-4, April.
    3. Joze P. Damijan & José de Sousa & Olivier Lamotte, 2006. "The Effect of Trade Liberalization in South-Eastern European Countries," wiiw Balkan Observatory Working Papers 70, The Vienna Institute for International Economic Studies, wiiw.
    4. Will Bartlett, 2009. "Regional integration and free-trade agreements in the Balkans: opportunities, obstacles and policy issues," Economic Change and Restructuring, Springer, vol. 42(1), pages 25-46, May.
    5. Hess, Sebastian & von Cramon-Taubadel, Stephan, 2008. "Agricultural Trade Policy Modelling: Insights from a Meta-Analysis of Doha Development Agenda Outcomes," Commissioned Papers 43466, Canadian Agricultural Trade Policy Research Network.
    6. Mutambatsere, Emelly, 2006. "Trade Policy Reforms in the Cereals Sector of the SADC Region: Implications on Food Security," Working Papers 127055, Cornell University, Department of Applied Economics and Management.
    7. Mutambatsere, Emelly, 2006. "Trade Policy Reforms in the Cereals Sector of the SADC Region: Implications on Food Security," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25380, International Association of Agricultural Economists.
    8. Leudjou, Roland R., 2012. "The Doha Round and Food Security in the Dairy Sector in Cameroon: A Global Simulation Model (GSIM) Approach," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 13(1), pages 1-16, April.
    9. David Vanzetti & Santiago Fernandez de Córdoba & Veronica Chau, 2005. "Banana Split: How Eu Policies Divide Global Producers," UNCTAD Blue Series Papers 31, United Nations Conference on Trade and Development.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Burkitbayeva, Saule & Kerr, William A., 2013. "The Accession of Kazakhstan, Russia and Ukraine to the WTO: What will it Mean for the World Trade in Wheat?," Commissioned Papers 158891, Canadian Agricultural Trade Policy Research Network.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mario Holzner, 2013. "Impact of Croatian EU Accession on Regional Trade Patterns," wiiw Policy Notes 10, The Vienna Institute for International Economic Studies, wiiw.
    2. Mario Holzner & Valentina Ivanić, 2012. "Effects of Serbian Accession to the European Union," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 59(3), pages 355-367, June.
    3. Vukšić, Goran & Holzner, Mario, 2016. "Trade and fiscal imbalances in Southeastern Europe: Can fiscal devaluation help?," Economic Systems, Elsevier, vol. 40(4), pages 568-581.
    4. Markusen, James R. & Venables, Anthony J., 1999. "Foreign direct investment as a catalyst for industrial development," European Economic Review, Elsevier, vol. 43(2), pages 335-356, February.
    5. Athukorala, Prema-chandra & Narayanan, Suresh, 2018. "Economic corridors and regional development: The Malaysian experience," World Development, Elsevier, vol. 106(C), pages 1-14.
    6. Paulo B. Brito, 2022. "The dynamics of growth and distribution in a spatially heterogeneous world," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 21(3), pages 311-350, September.
    7. Stephen J. Redding, 2010. "The Empirics Of New Economic Geography," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 297-311, February.
    8. Donald R. Davis & David E. Weinstein, 2008. "A Search For Multiple Equilibria In Urban Industrial Structure," Journal of Regional Science, Wiley Blackwell, vol. 48(1), pages 29-65, February.
    9. Wolfgang Keller, 2002. "Geographic Localization of International Technology Diffusion," American Economic Review, American Economic Association, vol. 92(1), pages 120-142, March.
    10. Kadeřábková Jaroslava & Jetmar Marek, 2010. "Selected issues of the development of small municipalities in the Czech Republic, financing of municipalities," European Countryside, Sciendo, vol. 2(2), pages 102-117, January.
    11. Jean-Marc Callois & Carl Gaigné, 2010. "Attitudes Towards Foreign Products and Welfare with Capital Mobility," Open Economies Review, Springer, vol. 21(5), pages 751-770, November.
    12. Biller, Dan & Andres, Luis & Cuberes, David, 2014. "A dynamic spatial model of rural-urban transformation with public goods," Policy Research Working Paper Series 7051, The World Bank.
    13. Francesc Amat & Pablo Beramendi & Miriam Hortas-Rico & Vicente Rios, 2020. "How inequality shapes political participation: The role of spatial patterns of political competition," Working Papers. Collection B: Regional and sectoral economics 2002, Universidade de Vigo, GEN - Governance and Economics research Network.
    14. Alberto Díaz Dapena & Fernando Rubiera Morollón & Mônica de Moura Pires & Andréa da Silva Gomes, 2017. "Convergence in Brazil: new evidence using a multilevel approach," Applied Economics, Taylor & Francis Journals, vol. 49(50), pages 5050-5062, October.
    15. Christian Broda & David E. Weinstein, 2006. "Globalization and the Gains From Variety," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 541-585.
    16. Mutambatsere, Emelly, 2006. "Trade Policy Reforms in the Cereals Sector of the SADC Region: Implications on Food Security," Working Papers 127055, Cornell University, Department of Applied Economics and Management.
    17. Jaime de Melo, 2015. "Bananas, the GATT, the WTO and US and EU domestic politics," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 42(3), pages 377-399, August.
    18. Pierre Philippe Combes & Gilles Duranton & Henry G. Overman, 2005. "Agglomeration and the adjustment of the spatial economy§," Papers in Regional Science, Wiley Blackwell, vol. 84(3), pages 311-349, August.
    19. Alberto Franco Pozzolo, 2004. "Research and Development, Regional Spillovers and the Location of Economic Activities," Manchester School, University of Manchester, vol. 72(4), pages 463-482, July.
    20. Klarl, Torben Alexander, 2015. "Urban-rural migration and congestion costs revisited: is there a triple dividend for cities in developing countries?," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112829, Verein für Socialpolitik / German Economic Association.

    More about this item

    Keywords

    trade policy simulation; Kosovo; EU integration;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
    • P33 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - International Trade, Finance, Investment, Relations, and Aid

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wii:wpaper:85. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Customer service (email available below). General contact details of provider: https://edirc.repec.org/data/wiiwwat.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.