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MERCOSUR’s Labyrinth and World Regionalism

Author

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  • Julio J. Nogues

    (Universidad Di Tella)

Abstract

Regional trade agreements are more likely to produce negative effects on nonmembers the larger and the more protected they are. Because MERCOSUR countries are efficient producers of the most protected products in the world –agricultural and agro-industrial products-, these countries suffer particularly from other countries regional agreements. Finally, these costs are likely to increase with the number of regional agreements in which they are not members. The arguments and estimates presented in this paper support these assertions.

Suggested Citation

  • Julio J. Nogues, 2005. "MERCOSUR’s Labyrinth and World Regionalism," International Trade 0502004, EconWPA.
  • Handle: RePEc:wpa:wuwpit:0502004
    Note: Type of Document - doc; pages: 9
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    References listed on IDEAS

    as
    1. Tamim Bayoumi & Barry Eichengreen, 1997. "Is Regionalism Simply a Diversion? Evidence from the Evolution of the EC and EFTA," NBER Chapters,in: Regionalism versus Multilateral Trade Arrangements, NBER-EASE Volume 6, pages 141-168 National Bureau of Economic Research, Inc.
    2. Gupta, Anju & Schiff, Maurice, 1997. "Outsiders and regional trade agreements among small countries : the case of regional markets," Policy Research Working Paper Series 1847, The World Bank.
    3. Goto, Junichi, 1997. "Regional economic integration and agricultural trade," Policy Research Working Paper Series 1805, The World Bank.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Mercosur; Trade diversion; Agricultural protection;

    JEL classification:

    • F1 - International Economics - - Trade
    • F2 - International Economics - - International Factor Movements and International Business

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