EconPapers    
Economics at your fingertips  
 

Impacts of the U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA-DR) on U.S. Fruit Exports - the Apple Case

Shengfei Fu, James Epperson and Glenn C.W. Ames

No 119783, 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama from Southern Agricultural Economics Association

Abstract: The U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA-DR) levels the playing field of trade between the United States and the six CAFTA-DR partner countries. Half of U.S. farm products gain immediate tariff-free access to the markets of the CAFTA-DR region. All Tariffs will be eliminated in 20 years. Under CAFTA-DR, tariffs on an important U.S. fresh fruit export to the region, fresh apples, declined from an initial base of 15%-25% in CAFTA-DR countries to zero immediately upon enforcement. The specific objective of this research is to analyze the impact of tariff elimination under CAFTA-DR on the trade of U.S. fresh apples. Generalized Method of Moments (GMM) is used for the analysis involving an excess-supply-excess-demand model with monthly trade data from January 2000 to December 2010. The more telling empirical results indicate that for each of the six CAFTA-DR countries, tariff elimination positively promotes U.S. apple exports to this region.

Keywords: CAFTA-DR; trade liberalization; tariff elimination; Generalized Method of Moments(GMM); Agricultural and Food Policy; International Relations/Trade; Q17; F13; F15 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
http://purl.umn.edu/119783 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:saea12:119783

Access Statistics for this paper

More papers in 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama from Southern Agricultural Economics Association Contact information at EDIRC.
Series data maintained by AgEcon Search ().

 
Page updated 2017-11-24
Handle: RePEc:ags:saea12:119783