The new regionalism : a country perspective
Regional integration is on the rise again, despite its apparent failure among developing countries in the past. The authors survey the ambiguous economies of customs unions, emphasizing that the traditional dichotomy between"trade creation"and"trade diversion"is not particularly helpful for policy. In a world with trade restrictions, regional integration presents certain advantages, including enhanced bargaining power and market access. The authors also point out that integration enforces arbitrage in institutions as well as in markets for goods and factors. This kind of arbitrage can lead to improved economic outcomes by making decision-making less sensitive to economically harmful factional interests - especially when regional institutions are designed properly. An empirical evaluation of existing schemes produces no evidence that membership in integration schemes has any effect on growth. Finally, the authors note that recent attempts at regional integration have different starting points and objectives than past efforts - so history is a poor guide to the future of regional integration.
|Date of creation:||28 Feb 1993|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (202) 477-1234
Web page: http://www.worldbank.org/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Wonnacott, Paul & Wonnacott, Ronald, 1984. "How General Is the Case for Unilateral Tariff Reduction?," American Economic Review, American Economic Association, vol. 74(3), pages 491, June.
- Langhammer, Rolf J. & Hiemenz, Ulrich, 1990. "Regional integration among developing countries : opportunities, obstacles and options," Open Access Publications from Kiel Institute for the World Economy 416, Kiel Institute for the World Economy (IfW).
- Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, vol. 70(5), pages 950-59, December.
- repec:oup:qjecon:v:101:y:1986:i:2:p:383-406 is not listed on IDEAS
- Fischer, Stanley, 1990. "Rules versus discretion in monetary policy," Handbook of Monetary Economics, in: B. M. Friedman & F. H. Hahn (ed.), Handbook of Monetary Economics, edition 1, volume 2, chapter 21, pages 1155-1184 Elsevier.
- Summers, Robert & Heston, Alan, 1988. "A New Set of International Comparisons of Real Product and Price Levels Estimates for 130 Countries, 1950-1985," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 34(1), pages 1-25, March.
- Erzan, Refik & Yeats, Alexander, 1992. "Free trade agreements with the United States : what's in it for Latin America?," Policy Research Working Paper Series 827, The World Bank.
- C. A. Cooper & B. F. Massell, 1965. "Toward a General Theory of Customs Unions for Developing Countries," Journal of Political Economy, University of Chicago Press, vol. 73, pages 461.
- Bhagwati, Jagdish, 1990. "Departures from Multilateralism: Regionalism and Aggressive Unilateralism," Economic Journal, Royal Economic Society, vol. 100(403), pages 1304-17, December.
- Corden, W M, 1972. "Economies of Scale and Customs Union Theory," Journal of Political Economy, University of Chicago Press, vol. 80(3), pages 465-75, May-June.
- Corden, W. M., 1976. "Customs union theory and the nonuniformity of tariffs," Journal of International Economics, Elsevier, vol. 6(1), pages 99-106, February.
- Berglas, Eitan, 1979. "Preferential Trading Theory: The n Commodity Case," Journal of Political Economy, University of Chicago Press, vol. 87(2), pages 315-31, April.
- Corden, W.M., 1984. "The normative theory of international trade," Handbook of International Economics, in: R. W. Jones & P. B. Kenen (ed.), Handbook of International Economics, edition 1, volume 1, chapter 2, pages 63-130 Elsevier.
- Lopez, Ramon & Panagariya, Arvind, 1992. "On the Theory of Piecemeal Tariff Reform: The Case of Pure Imported Intermediate Inputs," American Economic Review, American Economic Association, vol. 82(3), pages 615-25, June.
When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:1094. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roula I. Yazigi)
If references are entirely missing, you can add them using this form.