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Liberalizing the Swiss Meat Market with the EU: Welfare Effects and Impacts on Third Countries

Author

Listed:
  • Isabelle Schluep Campo
  • Robert Jörin

Abstract

The paper assesses by means of welfare analysis the effects of trade creation and trade diversion in a Swiss-EU free trade agreement (FTA) in the meat sector and compares it to multilateral trade liberalization. A multi-market multi-region partial equilibrium model is used. The FTA is checked for its conformity with the rules stipulated in Article XXIV of the General Agreement on Tariffs and Trade that prohibits discrimination of third parties. Results indicate that net trade diversion effects are small and do not constitute a long-run impediment to trade. From a trade policy perspective the way is open for an FTA.

Suggested Citation

  • Isabelle Schluep Campo & Robert Jörin, 2009. "Liberalizing the Swiss Meat Market with the EU: Welfare Effects and Impacts on Third Countries," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 145(I), pages 107-126, March.
  • Handle: RePEc:ses:arsjes:2009-i-4
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    References listed on IDEAS

    as
    1. Awudu Abdulai, 2002. "Using threshold cointegration to estimate asymmetric price transmission in the Swiss pork market," Applied Economics, Taylor & Francis Journals, vol. 34(6), pages 679-687.
    2. Robert Jörin & Yvan Lengwiler, 2004. "Learning from Financial Markets: Auctioning Tariff-Rate Quotas in Agricultural Trade," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 140(IV), pages 521-541, December.
    3. Huang, Kuo S. & Lin, Biing-Hwan, 2000. "Estimation of Food Demand Nutrient Elasticities from household Survey Data," Technical Bulletins 184370, United States Department of Agriculture, Economic Research Service.
    4. Kowalczyk, Carsten, 2000. "Welfare and Integration," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 41(2), pages 483-494, May.
    5. Huang, Kuo S. & Lin, Biing-Hwan, 2000. "Estimation Of Food Demand And Nutrient Elasticities From Household Survey Data," Technical Bulletins 33579, United States Department of Agriculture, Economic Research Service.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Market access; free trade agreement; trade diversion; partial equilibrium analysis;

    JEL classification:

    • D60 - Microeconomics - - Welfare Economics - - - General
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy

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