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Consequences of economic: Partnership agreements between East and Southern African countries and the EU for inter- and intra-regional integration

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  • Borrmann, Axel
  • Busse, Matthias
  • de la Rocha, Manuel

Abstract

The European Union is currently negotiating Economic Partnership Agreements (EPAs) with six African, Caribbean and Pacific country groupings, aiming at establishing mutual free trade. This paper empirically assesses the impact of the EPAs on trade flows and government revenues for 22 East and Southern African countries and discusses implications for intra-regional integration. The results indicate that while moderate trade effects can be expected, relatively large budget effects are likely to occur in a number of these countries, exposing them to considerable structural and financial adjustment requirements. Also, EPAs would strengthen the need to consolidate overlapping intra-regional integration schemes. --

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Bibliographic Info

Paper provided by Hamburg Institute of International Economics (HWWI) in its series HWWI Research Papers with number 2-8.

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Date of creation: 2007
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Handle: RePEc:zbw:hwwirp:2-8

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Keywords: Economic Partnership Agreement; EU; ACP Countries; East and Southern Africa;

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References

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  1. Kee, Hiau Looi & Nicita, Alessandro & Olarreaga, Marcelo, 2004. "Import Demand Elasticities and Trade Distortions," CEPR Discussion Papers 4669, C.E.P.R. Discussion Papers.
  2. Hertel, Thomas & David Hummels & Maros Ivanic & Roman Keeney, 2003. "How Confident Can We Be in CGE-Based Assessments of Free Trade Agreements?," GTAP Working Papers 1324, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
  3. World Bank, 2005. "World Development Indicators 2005," World Bank Publications, The World Bank, number 12426, January.
  4. Chris Milner & Oliver Morrissey & Andrew McKay, 2005. "Some Simple Analytics of the Trade and Welfare Effects of Economic Partnership Agreements," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 14(3), pages 327-358, September.
  5. Sadni Jallab, Mustapha & Karingi, Stephen & Oulmane, Nassim & Perez, Romain & Lang, RĂ©mi & Ben Hammouda, Hakim, 2005. "Economic and Welfare Impacts of the EU-Africa Economic Partnership Agreements," MPRA Paper 12875, University Library of Munich, Germany.
  6. Alexander Keck & Roberta Piermartini, 2005. "The Economic Impact of EPAs in SADC Countries," Working Papers id:288, eSocialSciences.
  7. Gallaway, Michael P. & McDaniel, Christine A. & Rivera, Sandra A., 2003. "Short-run and long-run industry-level estimates of U.S. Armington elasticities," The North American Journal of Economics and Finance, Elsevier, vol. 14(1), pages 49-68, March.
  8. Paul Brenton & Miriam Manchin, 2002. "Making EU Trade Agreements Work: The Role of Rules of Origin," International Trade 0203003, EconWPA.
  9. Brenton, Paul, 2003. "Integrating the least developed countries into the world trading system : the current impact of EU preferences under everything but arms," Policy Research Working Paper Series 3018, The World Bank.
  10. Lawrence E. Hinkle & Maurice Schiff, 2004. "Economic Partnership Agreements Between Sub-Saharan Africa and the EU: A Development Perspective," The World Economy, Wiley Blackwell, vol. 27(9), pages 1321-1333, 09.
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Cited by:
  1. Kohnert, Dirk, 2008. "EU-African Economic Relations: Continuing Dominance, Traded for Aid?," MPRA Paper 9434, University Library of Munich, Germany.

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