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Regional integration and natural resources: who benefits ? evidence from MENA

Celine Carrere, Julien Gourdon and Marcelo Olarreaga

No 5970, Policy Research Working Paper Series from The World Bank

Abstract: This paper builds on theoretical predictions that show that gains from regional integration are unevenly distributed between resource rich and poor countries. It explores the effects of different integration schemes in the Middle East and North Africa. The results suggest that within the Pan Arab Free Trade Agreement, there is significant trade creation for resource poor countries associated with regional integration, and no evidence of trade diversion. In resource rich countries, however, there is evidence of pure trade diversion in both resource-rich/labor-abundant countries and resource-rich/labor-importing countries. This underscores the idea that regional integration can help to spread the benefits of unevenly distributed resource wealth among the region's economies.

Keywords: Free Trade; Trade Law; Trade Policy; Economic Theory&Research; Trade and Regional Integration (search for similar items in EconPapers)
Date: 2012-02-01
New Economics Papers: this item is included in nep-ara, nep-dev and nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Related works:
Working Paper: Regional Integration and Natural Resources: who benefits? Evidence from MENA (2013) Downloads
Working Paper: Regional Integration and Natural Resources: who benefits? Evidence from MENA (2013) Downloads
Journal Article: Regional Integration and Natural Resources: who benefits? Evidence from MENA (2012) Downloads
Working Paper: Regional Integration and Natural Resources: who benefits? Evidence from MENA (2012) Downloads
Working Paper: Regional integration and natural resources: Who benefits? Evidence from MENA (2012)
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