Register  |  Login  |  Inquiries  |  Sitemap |  
Advanced Search
Journal of Economic Integration 2008 December;23(4) :1002-1045.
DOI: https://doi.org/10.11130/jei.2008.23.4.1002
Trade Liberalization in Latin America and Eastern Europe: the Cases of Ecuador and Slovenia

Sang-Wook Cho Julián P. Díaz 

University of New South Wales
Bowdoin College
Copyright ©2008 Journal of Economic Integration
ABSTRACT

We analyze the potential effects of ongoing trade reforms: Ecuador signing an FTA with the US, and Slovenia joining the EU. We construct a static Applied General Equilibrium Model and perform numerical experiments eliminating all import tariffs. Based on Input-Output tables, we construct Social Accounting Matrices for each country for calibration. Additional experiments are performed: sensitivity analyses on the trade elasticities, partial liberalizations, fiscal impacts of eliminating tariff revenues, and an alternative Slovenian liberalization framework. We find that both countries benefit from these reforms, with import prices falling and exports rising. However, different arrangements of trade liberalization have different implications on trade and welfare patterns.

JEL Classification: F14, F15

Keywords: trade liberalization | free trade agreement | customs union | fiscal policy | Ecuador | Slovenia
 
REFERENCE
1. Banco Central del Ecuador (2004), Información Estadística Mensual. Quito, Ecuador.
2. Cho, S. and Díaz, J. (2008), "Welfare Impact of Trade Liberalization", Mimeo, University of New South Wales.
TOOLS
PDF Links  PDF Links
Full text via DOI  Full text via DOI
Download Citation  Download Citation
  Print
Share:      
METRICS
2
Crossref
0
Scopus
4,473
View
35
Download
Trade Integration between Eastern and Western Europe: Policies Follow the Market  1997 September;12(3)
Editorial Office
Center for Economic Integration, Sejong University, 209, Neungdong-Ro, Gwangjin-Gu,
Seoul, 05006, Korea
TEL : +82-2-3408-3338    FAX : +82-2-6935-2492   E-mail : editorial.office@e-jei.org
Browse Articles |  Current Issue |  For Authors and Reviewers |  About
Copyright© by Center for Economic Integration.      Developed in M2PI