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Regionalism and the Rest of the World: The Irrelevance of the Kemp-Wan Theorem


  • Winters, L Alan


Many commentators purport to use the Kemp-Wan (1976) theorem to discuss the effects of regional integration schemes on nonmember countries and to operationalize the theorem in terms of the share of member countries' imports coming from nonmembers. The author shows that Kemp and Wan say nothing about changes in nonmember welfare and that the latter is more closely related to nonmembers' imports than to their shares of members' markets. The author suggests that a new approach to this issue is required. Copyright 1997 by Royal Economic Society.

Suggested Citation

  • Winters, L Alan, 1997. "Regionalism and the Rest of the World: The Irrelevance of the Kemp-Wan Theorem," Oxford Economic Papers, Oxford University Press, vol. 49(2), pages 228-234, April.
  • Handle: RePEc:oup:oxecpp:v:49:y:1997:i:2:p:228-34

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    References listed on IDEAS

    1. Jean-Paul Azam & Véronique Thelen, 2008. "The roles of foreign aid and education in the war on terror," Public Choice, Springer, vol. 135(3), pages 375-397, June.
    2. Jean-Paul Azam & Alexandra Delacroix, 2006. "Aid and the Delegated Fight Against Terrorism," Review of Development Economics, Wiley Blackwell, vol. 10(2), pages 330-344, May.
    3. Khusrav Gaibulloev & Todd Sandler, 2008. "Growth Consequences of Terrorism in Western Europe," Kyklos, Wiley Blackwell, vol. 61(3), pages 411-424, August.
    4. Subhayu Bandyopadhyay & Todd Sandler, 2011. "The Interplay Between Preemptive and Defensive Counterterrorism Measures: A Two‐stage Game," Economica, London School of Economics and Political Science, vol. 78(311), pages 546-564, July.
    5. B. Curtis Eaton, 2004. "The elementary economics of social dilemmas," Canadian Journal of Economics, Canadian Economics Association, vol. 37(4), pages 805-829, November.
    6. Daniel G. Arce M. & Todd Sandler, 2005. "Counterterrorism," Journal of Conflict Resolution, Peace Science Society (International), vol. 49(2), pages 183-200, April.
    7. Alan B. Krueger & Jitka Maleckova, 2003. "Education, Poverty and Terrorism: Is There a Causal Connection?," Journal of Economic Perspectives, American Economic Association, vol. 17(4), pages 119-144, Fall.
    8. Quan Li, 2005. "Does Democracy Promote or Reduce Transnational Terrorist Incidents?," Journal of Conflict Resolution, Peace Science Society (International), vol. 49(2), pages 278-297, April.
    9. Konstantinos Drakos & Andreas Gofas, 2006. "In Search Of The Average Transnational Terrorist Attack Venue," Defence and Peace Economics, Taylor & Francis Journals, vol. 17(2), pages 73-93.
    10. Todd Sandler & Kevin Siqueira, 2006. "Global terrorism: deterrence versus pre-emption," Canadian Journal of Economics, Canadian Economics Association, vol. 39(4), pages 1370-1387, November.
    11. Sandler, Todd & Lapan, Harvey E., 1988. "The Calculus of Dissent: An Analysis of Terrorists' Choice of Targets," Staff General Research Papers Archive 10818, Iowa State University, Department of Economics.
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    Cited by:

    1. Srinivasan, T. N., 1997. "The common external tariff of a customs union: Alternative approaches," Japan and the World Economy, Elsevier, vol. 9(4), pages 447-465, December.
    2. Bagwell,K. & Staiger,R.W., 1999. "Multilateral trade negotiations, bilateral opportunism and the rules of GATT," Working papers 6, Wisconsin Madison - Social Systems.
    3. Souleymane COULIBALY, 2006. "Evaluating the Trade and Welfare Effects of Developing RTAs," Cahiers de Recherches Economiques du Département d'Econométrie et d'Economie politique (DEEP) 06.03, Université de Lausanne, Faculté des HEC, DEEP.
    4. Howard J. Wall, 2002. "Has Japan been left out in the cold by regional integration?," Review, Federal Reserve Bank of St. Louis, issue Sep, pages 25-36.
    5. Schiff, Maurice & Chang, Won, 2003. "Market presence, contestability, and the terms-of-trade effects of regional integration," Journal of International Economics, Elsevier, vol. 60(1), pages 161-175, May.
    6. Jaime MELO DE & Céline CARRERE & Olivier CADOT & Alberto PORTUGAL-PEREZ, 2005. "How Much Market Access in FTAs? Textiles Under NAFTA," Working Papers 200511, CERDI.
    7. Céline CARRERE, 2011. "A new measure of tariff preference margins adjusted for import and domestic competition," Working Papers P19, FERDI.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration


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