Trade and investment in Latin America and Asia: Potential perspectives from further integration
Antoine Bouët,
Valdete Berisha-Krasniqui,
Valdete Berisha-Krasniqui,
Carmen Estrades and
David Laborde Debucquet
Additional contact information
Valdete Berisha-Krasniqui: Larefi, Université Bordeaux IV
Valdete Berisha-Krasniqui: IFPRI
No 1101, Larefi Working Papers from Larefi, Université Bordeaux 4
Abstract:
Recently, Asian and Latin American countries have been involved in a series of negotiations to liberalize trade and investment flows. This paper analyzes the potential impact of a Free Trade Agreement between countries of both regions, applying a world dynamic general equilibrium model (MIRAGE). An important feature of the model is that includes a new way of modeling bilateral investment flows and bilateral investment agreements. This is especially important given that investment plays a major role in the economic relations of the two regions. Our results show that most countries will benefit from the agreement; however, Latin American countries’ gains will be higher, especially when all Asian countries participate. Latin American countries will also gain from increased FDI inflows, mainly from developed Asian countries.
Keywords: Trade liberalization; FTA; Asia; Latin America; CGE modeling (search for similar items in EconPapers)
JEL-codes: C68 F13 F15 (search for similar items in EconPapers)
Pages: 36 pages
Date: 2011-01
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Citations: View citations in EconPapers (4)
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Working Paper: Trade and investment in Latin America and Asia: Potential perspectives from further integration (2011)
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