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Trade and investment in Latin America and Asia: Potential perspectives from further integration

Antoine Bouët, Valdete Berisha-Krasniqui, Carmen Estrades and David Laborde Debucquet
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Valdete Berisha-Krasniqui: IFPRI - International Food Policy Research Institute [Washington] - CGIAR - Consultative Group on International Agricultural Research [CGIAR]

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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). The model includes a new way of modeling bilateral investment flows and bilateral investment agreements. 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)
Date: 2011-01-20
Note: View the original document on HAL open archive server: https://hal.science/hal-00637597v1
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Citations: View citations in EconPapers (4)

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