The Socioeconomic and environmental effects of free trade agreements: a dynamic CGE analysis for Chile
Raúl O'Ryan (),
Carlos de Miguel,
Sebastian Miller and
Mauricio Pereira ()
Environment and Development Economics, 2011, vol. 16, issue 3, 305-327
This paper undertakes a quantitative analysis of the socioeconomic and environmental impacts of different trade agreements for Chile. A dynamic general equilibrium model is used to compare the consequences of unilateral liberalization and trade agreements with the European Union (EU) and the United States (USA). The results show that economic gains under the trade agreements are only significant if foreign investment increases or value added taxes are modified. Winners and losers depend on the agreement; however, unskilled labor-intensive sectors always progress. Consequently, these agreements seem to be good for the poorest groups. Some natural resource intensive sectors significantly increase their production with the EU and the US agreements, also increasing the environmental pressures. CO2 and PM-10 emissions are not very different under these agreements as compared to business as usual â€“ under which environmental pressures increase significantly. The results show the importance of economy-wide analysis of trade agreements in developing contexts.
References: Add references at CitEc
Citations: View citations in EconPapers (10) Track citations by RSS feed
Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:cup:endeec:v:16:y:2011:i:03:p:305-327_00
Access Statistics for this article
More articles in Environment and Development Economics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().