IDEAS home Printed from https://ideas.repec.org/p/ags/pugtwp/331174.html

Impacts of the Euro-Tunisian Agreements of Free Exchange: Evaluation by a Computable General Equilibrium Model in 1996

Author

Listed:
  • Hadj Salem, Haykel

Abstract

Until nowadays, the South-Mediterranean countries have focused on their strategic choice which consists in the creation of a Euro-Mediterranean Free Trade Area (FTA). In the context of globalisation, this choice appears to be the best means which facilitates the integration of the south countries with the north countries of the Mediterranean. This FTA is going to be established progressively during a period of transition of 12 years. Among the first participants in the constitution of this zone, is Tunisia, which signed an agreement of association with the European Union (EU). This agreement is based on free exchange and on financial, economic and technical cooperation and it contains a social and cultural chapter and a political dialogue. Since the signature of this agreement, Tunisia has been interested in improving its internal economic situation through internal reforms (plan of structural adaptation, upgrading, fiscal reform …) to facilitate the application of external reforms. With the coming into force of this agreement, the free Euro-Tunisian exchange concerns exclusively industrial products, while the other products (farm produce) are going to be examined in the coming days. The object of this communication is to compare the effects of the free total exchange and the effects of the free industrial exchange between Tunisia and the EU in the Tunisian economy. This problem was estimated by means of a Computable General Equilibrium Model (CGEM). This document will be divided in two blocks of simulations. The first concerns total commercial liberalization (for all the products (agricultural and industrial) and all services (traders and non-traders) and for all the partners), while the second block consists in a partial commercial liberalization (only for manufactured goods, for all the partners). Each of these two blocks is subdivided into four simulations: 1°) A decline of 1/12 of the rate of import customs duty 2°) A decline of 1/6 of the rate of import customs duty 3°) A decline of 50% of the rate of import customs duty 4°) A total abolition of the rate of import customs duty In these two blocks, the EU constitutes the totality of the account of the Rest of the World, because it is considered as the main partner of Tunisia. In the light of the comparison of these eight simulations, we notice that a progressive commercial liberalization applied during a reasonable period remains an effective economic reform for a developing country. Moreover, such a liberalization is considered as preferable when it is applied to one or to a certain category of product. In other words, free progressive industrial exchange between Tunisia and the EU is considered as a good strategy for the constitution of a Euro-Mediterranean FTA by 2010.

Suggested Citation

  • Hadj Salem, Haykel, 2004. "Impacts of the Euro-Tunisian Agreements of Free Exchange: Evaluation by a Computable General Equilibrium Model in 1996," Conference papers 331174, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugtwp:331174
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/331174/files/1476.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Minot, Nicholas & Goletti, Francesco, 2000. "Rice Market Liberalization And Poverty In Viet Nam," Research Reports 16534, CGIAR, International Food Policy Research Institute (IFPRI).
    2. Hertel, Thomas, 1997. "Global Trade Analysis: Modeling and applications," GTAP Books, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, number 7685, December.
    3. Castella, Jean-Christophe & Quang, Dang Dinh, 2002. "Doi Moi in the Mountains," IRRI Books, International Rice Research Institute (IRRI), number 281819.
    4. Minot, Nicholas & Baulch, Bob, 2002. "The Spatial Distribution Of Poverty In Vietnam And The Potential For Targeting," MSSD Discussion Papers 16224, CGIAR, International Food Policy Research Institute (IFPRI).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Peterson, Everett B., 2004. "A Comparison of Marketing Margins Across Sectors, Users, and Regions," Conference papers 331224, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    2. Vasco Molini, 2006. "Food Security in Vietnam during the 1990s: The Empirical Evidence," WIDER Working Paper Series RP2006-67, World Institute for Development Economic Research (UNU-WIDER).
    3. Reimer, Jeffrey J., 2002. "Estimating the poverty impacts of trade liberalization," Policy Research Working Paper Series 2790, The World Bank.
    4. Simon J.Evenett & Mia Mikic & Ravi Ratnayake (ed.), 2011. "Trade-led growth: A sound strategy for Asia," ARTNeT Books and Research Reports, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), number brr10.
    5. Eromenko, Igor, 2010. "Accession to the WTO. Computable General Equilibrium Analysis: the Case of Ukraine. Part I," MPRA Paper 67476, University Library of Munich, Germany.
    6. Martin, Will, 2000. "Reducing carbon dioxide emissions through joint implementation of projects," Policy Research Working Paper Series 2359, The World Bank.
    7. Ianchovichina, Elena, 2004. "Trade policy analysis in the presence of duty drawbacks," Journal of Policy Modeling, Elsevier, vol. 26(3), pages 353-371, April.
    8. Ivanic, Maros & Martin, Will, 2010. "Promoting Global Agricultural Growth and Poverty Reduction," Conference papers 331944, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    9. Xie, Sina & Napasintuwong, Orachos, "undated". "Review of Rice Policies in China, Thailand and Vietnam," ARE Working Papers 284032, Kasetsart University - Department of Agricultural and Resource Economics.
    10. Das, Gouranga G. & Maswana, Jean-Claude & Hirano, Yumeka, 2023. "Germs, Globalization, and Trade Spillovers: How could COVID-19 affect African Economies and AfCFTA," GLO Discussion Paper Series 1251, Global Labor Organization (GLO).
    11. Ronald D. Sands & Katja Schumacher & Hannah Forster, 2014. "U.S. CO2 Mitigation in a Global Context: Welfare, Trade and Land Use," The Energy Journal, , vol. 35(1_suppl), pages 181-198, June.
    12. Sergey Paltsev & John Reilly, 2007. "Long-Term Energy Scenarios for Asia," Energy and Environmental Modeling 2007 24000047, EcoMod.
    13. Pierre Boulanger & Hasan Dudu & Emanuele Ferrari & George Philippidis, 2016. "Russian Roulette at the Trade Table: A Specific Factors CGE Analysis of an Agri-food Import Ban," Journal of Agricultural Economics, Wiley Blackwell, vol. 67(2), pages 272-291, June.
    14. Gruere, Guillaume P. & Mevel, Simon & Bouet, Antoine, 2007. "Genetically Modified Rice, International Trade, and First-Mover Advantage: The Case of India and China," 2007: China's Agricultural Trade: Issues and Prospects Symposium, July 2007, Beijing, China 55032, International Agricultural Trade Research Consortium.
    15. George Verikios & Xiao‐guang Zhang, 2004. "The Economic Effects of Removing Barriers to Trade in Telecommunications," The World Economy, Wiley Blackwell, vol. 27(3), pages 435-458, March.
    16. Jiang, Tingsong, 2003. "The Impact of China's WTO Accession on its Regional Economies," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 11.
    17. Sergio Goldbaum & Allexandro Mori Coelho & Samir Cury, 2007. "The Effects of the Doha Round Non-Agricultural Market Access Negotiations in Brazil," EcoMod2007 23900029, EcoMod.
    18. Douglas H. Brooks & Susan F. Stone, 2010. "Accelerating Regional Integration: Issues at the Border," ADBI Working Papers 200, Asian Development Bank Institute.
    19. Knut Einar Rosendahl & Jon Strand, 2011. "Carbon Leakage from the Clean Development Mechanism," The Energy Journal, , vol. 32(4), pages 27-50, October.
    20. Nelson B. Villoria, 2009. "China and the Manufacturing Terms-of-Trade of African Exporters," Journal of African Economies, Centre for the Study of African Economies, vol. 18(5), pages 781-823, November.

    More about this item

    Keywords

    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:pugtwp:331174. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/gtpurus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.