IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

TTIP and its Effects on Austria. A Critical Literature Survey

  • Fritz Breuss

    (WIFO)

Registered author(s):

    With a comprehensive Trade and Investment Agreement, called Transatlantic Trade and Investment Partnership (TTIP) the European Union and the USA aim at creating the world's largest free trade area. It should help to stimulate growth and create new jobs. All TTIP studies so far forecast positive trade, welfare and employment effects on both sides of the Atlantic (in various sizes). However, these foreseen gains are not realised now but only after a long period of adjustment. The TTIP hence is not able to overcome the current economic crisis. The estimated welfare gains vary strongly according to the method applied: CGE models come up with modest welfare gains between ½ and 1 percent of GDP; estimations with gravity equations, however, predict great gains (5 percent increase of real GDP per capita in the EU and 13.4 percent in the USA). The results for Austria (1.7 percent GDP growth in CGE models to 2.7 percent in gravity approaches) are somewhat in between these extremes. The results concerning the effects of third countries are politically explosive. Gravity studies indicate extraordinarily large losses in trade (trade diversion) and welfare. This could challenge the acceptance of TTIP at the WTO. Above all, NGOs and the interested public are increasingly sceptical about the seemingly lack of transparency of the TTIP negotiations. Therefore, the European Commission in spring 2014 paused the negotiations and launched public online consultation on investor protection in TTIP.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.wifo.ac.at/wwa/pubid/47231
    File Function: Abstract
    Download Restriction: no

    Paper provided by WIFO in its series WIFO Working Papers with number 468.

    as
    in new window

    Length: 36 pages
    Date of creation: 12 May 2014
    Date of revision:
    Handle: RePEc:wfo:wpaper:y:2014:i:468
    Contact details of provider: Postal: Arsenal Object 20, A-1030 Wien
    Phone: (+43 1) 798 26 01-0
    Fax: (+43 1) 798 93 86
    Web page: http://www.wifo.ac.at/

    More information through EDIRC

    References listed on IDEAS
    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.:

    as in new window
    1. Heid, Benedikt & Larch, Mario, 2013. "International Trade and Unemployment: A Quantitative Framework," Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79824, Verein für Socialpolitik / German Economic Association.
    2. James E. Anderson & Eric van Wincoop, 2003. "Gravity with Gravitas: A Solution to the Border Puzzle," American Economic Review, American Economic Association, vol. 93(1), pages 170-192, March.
    3. Gabriel Felbermayr & Mario Larch & Finn Krüger & Lisandra Flach & Erdal Yalcin & Sebastian Benz, 2013. "Dimensionen und Auswirkungen eines Freihandelsabkommens zwischen der EU und den USA," ifo Forschungsberichte, Ifo Institute for Economic Research at the University of Munich, number 62, December.
    4. Fritz Breuss, 2013. "Europe as a Global Player," WIFO Working Papers 455, WIFO.
    5. Fritz Breuss & Joseph F. Francois, 2011. "EU-South Korea FTA – Economic Impact for the EU and Austria," FIW Policy Brief series 010, FIW.
    6. Raza, Werner & Grumiller, Jan & Taylor, Lance & Tröster, Bernhard & von Arnim, Rudi, 2014. "ASSESS_TTIP: Assessing the claimed benefits of the Transatlantic Trade and Investment Partnership," Policy Notes 10/2014, Österreichische Forschungsstiftung für Internationale Entwicklung (ÖFSE) / Austrian Foundation for Development Research.
    7. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
    8. Baier, Scott L. & Bergstrand, Jeffrey H., 2004. "Economic determinants of free trade agreements," Journal of International Economics, Elsevier, vol. 64(1), pages 29-63, October.
    9. Lionel Fontagné & Julien Gourdon & Sébastien Jean, 2013. "Transatlantic Trade: Whither Partnership, Which Economic Consequences?," CEPII Policy Brief 2013-01, CEPII research center.
    10. Arnaud Costinot & Andrés Rodríguez-Clare, 2013. "Trade Theory with Numbers: Quantifying the Consequences of Globalization," NBER Working Papers 18896, National Bureau of Economic Research, Inc.
    11. Felbermayr, Gabriel & Prat, Julien & Schmerer, Hans-Jörg, 2011. "Globalization and labor market outcomes: Wage bargaining, search frictions, and firm heterogeneity," Munich Reprints in Economics 20471, University of Munich, Department of Economics.
    12. David Gaukrodger & Kathryn Gordon, 2012. "Investor-State Dispute Settlement: A Scoping Paper for the Investment Policy Community," OECD Working Papers on International Investment 2012/3, OECD Publishing.
    13. Joachim Pohl & Kekeletso Mashigo & Alexis Nohen, 2012. "Dispute Settlement Provisions in International Investment Agreements: A Large Sample Survey," OECD Working Papers on International Investment 2012/2, OECD Publishing.
    14. David Gaukrodger, 2013. "Investment Treaties as Corporate Law: Shareholder Claims and Issues of Consistency," OECD Working Papers on International Investment 2013/3, OECD Publishing.
    15. Fritz Breuss, 2004. "WTO Dispute Settlement: An Economic Analysis of Four EU–US Mini Trade Wars—A Survey," Journal of Industry, Competition and Trade, Springer, vol. 4(4), pages 275-315, December.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:wfo:wpaper:y:2014:i:468. 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: (Ilse Schulz)

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.