Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach

This paper uses a computable general equilibrium approach to simulate two opposing views describing regional trade agreements either as building blocks for or stumbling blocks to multilateral trade liberalisation. This study focuses on the regional trade agreement between the Economic and Monetary C...

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Main Authors: Ngeleza, Guyslain K., Muhammad, Andrew
Format: Journal Article
Language:Inglés
Published: Wiley 2015
Subjects:
Online Access:https://hdl.handle.net/10568/154795
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author Ngeleza, Guyslain K.
Muhammad, Andrew
author_browse Muhammad, Andrew
Ngeleza, Guyslain K.
author_facet Ngeleza, Guyslain K.
Muhammad, Andrew
author_sort Ngeleza, Guyslain K.
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper uses a computable general equilibrium approach to simulate two opposing views describing regional trade agreements either as building blocks for or stumbling blocks to multilateral trade liberalisation. This study focuses on the regional trade agreement between the Economic and Monetary Community of Central Africa (CEMAC) and the European Union (EU). Results show that, although a regional trade agreement may slightly raise welfare among the members of the agreement, the cost to nonmembers can be high. The regional breakdown in our design considers 14 regions, allowing for country‐specific analysis for one least‐developed country (Democratic Republic of Congo) and one non‐least‐developed country (Cameroon). Multilateral liberalisation amplifies welfare gain for Cameroon. The Democratic Republic of Congo, with its weaker institutional capacity, is affected negatively. An EU‐CEMAC regional free trade agreement without multilateralism produces gains for both Cameroon and the Democratic Republic of Congo. Copyright © 2011 John Wiley & Sons, Ltd.
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spelling CGSpace1547952025-04-30T15:07:25Z Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach Ngeleza, Guyslain K. Muhammad, Andrew computable general equilibrium models trade This paper uses a computable general equilibrium approach to simulate two opposing views describing regional trade agreements either as building blocks for or stumbling blocks to multilateral trade liberalisation. This study focuses on the regional trade agreement between the Economic and Monetary Community of Central Africa (CEMAC) and the European Union (EU). Results show that, although a regional trade agreement may slightly raise welfare among the members of the agreement, the cost to nonmembers can be high. The regional breakdown in our design considers 14 regions, allowing for country‐specific analysis for one least‐developed country (Democratic Republic of Congo) and one non‐least‐developed country (Cameroon). Multilateral liberalisation amplifies welfare gain for Cameroon. The Democratic Republic of Congo, with its weaker institutional capacity, is affected negatively. An EU‐CEMAC regional free trade agreement without multilateralism produces gains for both Cameroon and the Democratic Republic of Congo. Copyright © 2011 John Wiley & Sons, Ltd. 2015-03 2024-10-01T14:03:55Z 2024-10-01T14:03:55Z Journal Article https://hdl.handle.net/10568/154795 en Limited Access Wiley Ngeleza, Guyslain K.; and Muhammad, Andrew. 2011. Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach. Journal of International Development 27(2): 251-272. https://doi.org/10.1002/jid.1838
spellingShingle computable general equilibrium models
trade
Ngeleza, Guyslain K.
Muhammad, Andrew
Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title_full Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title_fullStr Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title_full_unstemmed Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title_short Preferential trade agreements between the monetary community of Central Africa and the European Union: Stumbling or building blocks? A general equilibrium approach
title_sort preferential trade agreements between the monetary community of central africa and the european union stumbling or building blocks a general equilibrium approach
topic computable general equilibrium models
trade
url https://hdl.handle.net/10568/154795
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