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Keeping Pace or Falling Behind? The Depth of Latin American Trade Agreements

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  • Raphael Gomes da Silva
  • Fernanda Aparecida Silva
  • Lia Nogueira

Abstract

This article examines whether Latin American countries are keeping pace with global trends in trade agreement depth or falling behind. Using 681 agreements (1970–2019), we develop the Depth Index of Trade Agreements (DITA) to weight provisions endogenously through factor analysis based on co‐occurrence patterns. Results show that the Pacific Alliance and Central America lag one decade behind North American standards, whereas South America and the Caribbean lag by two to three decades. Partner selection is critical: countries negotiating extensively with developed partners tend to incorporate similar provisions into South–South agreements, suggesting North–South spillover effects. These findings suggest that regional lag reflects policy choices rather than inherent constraints.

Suggested Citation

  • Raphael Gomes da Silva & Fernanda Aparecida Silva & Lia Nogueira, 2026. "Keeping Pace or Falling Behind? The Depth of Latin American Trade Agreements," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 48(5), pages 1383-1402, December.
    • Handle: RePEc:wly:apecpp:v:48:y:2026:i:5:p:1383-1402
    DOI: 10.1002/aepp.70100
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