The cost of non-maghreb achieving the gains from economic integration

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2006-11Author(s)/Corporate Author (s)
Bchir, Mohammed Hedi;United Nations. Economic Commission for Africa;
United Nations. Economic Commission for Africa. Trade and Regional Integration Division;
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The purpose of this paper is to estimate the impact of the integration of Maghreb countries into a free trade area on the main macroeconomic aggregates. By using the MIRAGE model and Mac Map
database, we tested different scenarios to estimate the gains or the potential losses of various plans of trade integration (Free trade area for the Maghreb countries, Custom Union between Maghreb countries, Maghreban Common Market). Our study suggests that the overall gains from liberalizing trade in goods(and removing various regulatory non-tariff barriers in the process) could reach at least USD 350 million.The increase in revenue through increases in production and wages would positively affect welfare levels
for Maghreb consumers. The dynamic gains from liberalizing trade in goods can outstrip the static gains,with productivity improvements as the main driver. Our analysis shows that the creation of a common
market is probably the most interesting and efficient option for the Maghreb countries.
Citation
“Bchir, Mohammed Hedi; United Nations. Economic Commission for Africa; United Nations. Economic Commission for Africa. Trade and Regional Integration Division (2006-11). The cost of non-maghreb achieving the gains from economic integration. ATPC work in progress;; no. 44. no. 44, 41 p.. [Addis Ababa] :. © UN. ECA,. http://hdl.handle.net/10855/13241”Serial Title
ATPC work in progress; no. 44Collections
- Economic Development [7340]
- Regional Integration [2512]
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