Regionalism or Multilateralism?: A Political Economy Choice

This paper provides a political economy analysis of the incentives underpinning a country''s decision to enter a regional trade agreement when a multilateral free trade agreement is available, and of how entering a regional trade agreement affects the incentives to pursue multilateral trad...

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1. Verfasser: Albertin, Giorgia (VerfasserIn)
Format: Elektronisch E-Book
Sprache:English
Veröffentlicht: Washington, D.C International Monetary Fund 2008
Schriftenreihe:IMF Working Papers Working Paper No. 08/65
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Zusammenfassung:This paper provides a political economy analysis of the incentives underpinning a country''s decision to enter a regional trade agreement when a multilateral free trade agreement is available, and of how entering a regional trade agreement affects the incentives to pursue multilateral trade liberalization. Taking into account the influence exerted by organized interest groups in the formation of trade agreements, we derive a formal condition under which a regional trade agreement is preferred to a multilateral one. Furthermore, we show that a country''s decision to enter a regional trade agreement unambiguously undermines the incentives towards multilateral trade liberalization
Beschreibung:1 Online-Ressource (26 p)
ISBN:1451869274
9781451869279