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Preference erosion effects on the agricultural sector of the EU’s Mediterranean Partner Countries

  • Kavallari, Aikaterini
  • Schmitz, P. Michael
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    This paper analyses preference erosion effects on the agricultural sector of the EU’s Mediterranean Partner Countries (MPCs) with the partial equilibrium multi-commodity multi-region world trade model AGRISIM. Supposing that the preferences to the MPCs granted by the EU remain as of 2001 then the effects are evident for high protected markets like beef in Turkey, milk and rice in Morocco and olive oil in the MPCs. Supposing a free trade area between the EU and the MPCs, then the impacts are high for beef, milk and sugar. The farmers’ income decreases, but the consumers and the taxpayers benefit from lower prices and the overall welfare in all MPCs increases.

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    File URL: http://purl.umn.edu/118864
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    Article provided by Greek Association of Agricultural Economists in its journal Agricultural Economics Review.

    Volume (Year): 11 (2010)
    Issue (Month): 2 (June)
    Pages:

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    Handle: RePEc:ags:aergaa:118864
    Contact details of provider: Web page: http://www.etagro.gr/
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    1. Harrison, Glenn W. & Rutherford, Thomas F. & Tarr, David G., 1996. "Economic implications for Turkey of a customs union with the European Union," Policy Research Working Paper Series 1599, The World Bank.
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    6. Minot, Nicholas & Chemingui, Mohamed & Thomas, Marcelle & Dewina, Reno & Orden, David, 2007. "Impact of trade liberalization on agriculture in the near East and North Africa:," IFPRI books, International Food Policy Research Institute (IFPRI), number Nenatrade:2007.
    7. Bayar, Ali. & Diao, Xinshen & Yeldan, A. Erinc, 2000. "An intertemporal, multi-region general equilibrium model of agricultural trade liberalization in the South Mediterranean NICs, Turkey, and the European Union," TMD discussion papers 56, International Food Policy Research Institute (IFPRI).
    8. 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.
    9. Ravallion, Martin & Lokshin, Michael, 2004. "Gainers and losers from trade reform in Morocco," Policy Research Working Paper Series 3368, The World Bank.
    10. Rutherford, Thomas F. & Rutstrom, E. Elisabet & Tarr, David, 1997. "Morocco's free trade agreement with the EU: A quantitative assessment," Economic Modelling, Elsevier, vol. 14(2), pages 237-269, April.
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