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MERCOSUR-European Union Trade: How important is EU Trade Liberalisation for MERCOSUR's Exports?

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  • Martínez-Zarzoso, Inmaculada
  • Nowak-Lehmann D., Felicitas

Abstract

In this study, MERCOSUR's past exports to the EU under the protectionist environment of the period between 1988 and 1996 are examined and an attempt is made to determine MERCOSUR's exports' growth potential in a liberalised EU market. A sectoral study is considered indispensable since tariff and non-tariff trade barriers vary strongly among sectors. The influence of the macroeconomic environment on MERCOSUR's exports is examined in a dynamic panel analysis. A simulation study based on a quite comprehensive evaluation of EU trade barriers is performed for the Argentinean case in order to evaluate the impact of EU trade liberalisation.

Suggested Citation

  • Martínez-Zarzoso, Inmaculada & Nowak-Lehmann D., Felicitas, 2004. "MERCOSUR-European Union Trade: How important is EU Trade Liberalisation for MERCOSUR's Exports?," Center for European, Governance and Economic Development Research Discussion Papers 30, University of Goettingen, Department of Economics.
  • Handle: RePEc:zbw:cegedp:30
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    References listed on IDEAS

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    1. J. Michael Finger, 2001. "Implementing the Uruguay Round Agreements: Problems for Developing Countries," The World Economy, Wiley Blackwell, vol. 24(9), pages 1097-1108, September.
    2. Inmaculada Martínez-Zarzoso & Felicitas Nowak-Lehmann, 2003. "Augmented Gravity Model: An Empirical Application to Mercosur-European Union Trade Flows," Journal of Applied Economics, Universidad del CEMA, vol. 6, pages 291-316, November.
    3. Inmaculada Martínez-Zarzoso & Felicitas Nowak-Lehmann D., 2003. "Explaining MERCOSUR sectoral exports to the EU: The role of economic and geographical distance," International Trade 0309025, EconWPA.
    4. Goldstein, Morris & Khan, Mohsin S, 1978. "The Supply and Demand for Exports: A Simultaneous Approach," The Review of Economics and Statistics, MIT Press, vol. 60(2), pages 275-286, May.
    5. Inmaculada Martinez-Zarzoso & Felicitas Nowak-Lehmann D., 2004. "Economic and Geographical Distance: Explaining Mercosur Sectoral Exports to the EU," Open Economies Review, Springer, vol. 15(3), pages 291-314, July.
    6. Inmaculada Martínez-Zarzoso & Felicitas Nowak-Lehmann D., 2003. "Augmented gravity model: An empirical application to Mercosur- European trade flows," International Trade 0309019, EconWPA.
    7. Arvind Panagariya, 1996. "The Free Trade Area of the Americas: Good for Latin America?," The World Economy, Wiley Blackwell, vol. 19(5), pages 485-515, September.
    8. Schweickert, Rainer, 2001. "Macroeconomic constraints on economic development and poverty reduction: the case of Bolivia," Kiel Working Papers 1060, Kiel Institute for the World Economy (IfW).
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    Cited by:

    1. Anders, Sven M. & Caswell, Julie A., 2006. "Assessing the Impact of Stricter Food Safety Standards on Trade: HACCP in U.S. Seafood Trade with the Developing World," 2006 Annual meeting, July 23-26, Long Beach, CA 21338, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Sven M. Anders & Julie A. Caswell, 2007. "Standards as Barriers Versus Standards as Catalysts: Assessing the Impact of HACCP Implementation on U.S. Seafood Imports," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(2), pages 310-321.
    3. Pascal Ghazalian, 2013. "MERCOSUR enlargement: predicting the effects on trade in primary agricultural commodities," Economic Change and Restructuring, Springer, vol. 46(3), pages 277-297, August.

    More about this item

    Keywords

    MERCOSUR-EU trade; trade barriers; sectoral study; panel data;

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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