GTAP Resources: Resource Display
| GTAP Resource #6809 |
|---|
|
"Targeting untapped intra-regional trade opportunities for trade integration in Africa" by Ferreira, Lorainne, Ermie Steenkamp and Riaan Rossouw Abstract Many divisions stifle trade on the African continent, from limited market access and poor infrastructure to unwieldy regulatory frameworks and a lack of information on trade opportunities. Typically, the first step towards boosting intra-regional trade is the removal of tariffs, followed by a reduction in other trade divisions to increase trade efficiency. Several studies have examined the broad effects of free trade areas in Africa and how the removal of tariffs and other trade barriers impacts member countries. However, no studies appear to have been conducted on the effects of a targeted reduction in trade divisions based on untapped export potential. This study sets out to address this research gap by translating the potential trade values of the identified untapped intra-regional trade opportunities between African countries into GTAP model shocks. This involved determining what the increase in trade efficiency (or reduction in trade divisions) must be, in addition to the removal of all tariffs, to deliver the estimated potential increase in trade for the identified trade opportunities. A key finding was that, in addition to the removal of tariffs, targeted increases in trade efficiency phased in over time produces much higher economic gains than a once-off trade efficiency shock. Importantly, too, the aggregate welfare gains of many of the smaller African economies are also higher under this phased approach, and it is not mostly the bigger, more industrialised economies that benefit most. |
| Resource Details (Export Citation) | GTAP Keywords | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
- Dynamic modeling - Economic development - Non-Tariff barriers - Preferential trading arrangements - Africa (East) - Africa (Southern) |
| Attachments |
|---|
|
If you have trouble accessing any of the attachments below due to disability, please contact the authors listed above.
Public Access No documents have been attached. Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
| Comments (0 posted) |
|---|
|
You must log in before entering comments.
No comments have been posted. |
Last Modified: 9/15/2023 2:05:45 PM
