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Decomposing the Economic Costs and Benefits of Accession to the EU: the Swiss Case

Author

Listed:
  • Grether, Jean-Marie

    (University of Geneva)

  • Müller, Tobias

    (University of Geneva)

Abstract

This paper proposes a decomposition of the likely effects of a “deep” regional integration arrangement for a small country. It is based on a steady-state general equilibrium model which allows to capture the long-term effects of a variety of factors, including the reduction of non-tariff barriers, immigration, budgetary transfers and monetary integration. Particular care is given to the modeling of wealth accumulation, with savings endogenized on the basis of an overlapping generation framework. The effects of product standardization in manufacturing are simulated on the basis of ex-post estimates of the pro-competitive effects of the Single Market Program.

Suggested Citation

  • Grether, Jean-Marie & Müller, Tobias, 2001. "Decomposing the Economic Costs and Benefits of Accession to the EU: the Swiss Case," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 16, pages 203-228.
    • Handle: RePEc:ris:integr:0161
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    Citations

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    Cited by:

    1. Elena Ianchovichina & Terrie Walmsley, 2005. "Impact of China's WTO Accession on East Asia," Contemporary Economic Policy, Western Economic Association International, vol. 23(2), pages 261-277, April.
    2. Fritz Breuss, 2006. "Austria and Switzerland – Experiences with and without EU Membership," Austrian Economic Quarterly, WIFO, vol. 11(1), pages 13-39, February.
    3. Harald Badinger & Fritz Breuss, 2011. "The Quantitative Effects of European Post-war Economic Integration," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume III, chapter 14, Edward Elgar Publishing.
    4. Müller, Tobias, 2004. "Evaluating the economic effects of income security reforms in Switzerland: an integrated microsimulation - computable general equilibrium approach," MPRA Paper 111919, University Library of Munich, Germany.
    5. Fritz Breuss, 2005. "Österreich und Schweiz – Erfahrungen mit und ohne EU-Mitgliedschaft," WIFO Monatsberichte (monthly reports), WIFO, vol. 78(10), pages 681-714, October.
    6. Tobias Müller & Jean-Marie Grether, 2002. "Long-Run Effects of the Common Agricultural Policy for Switzerland: A Simulation Analysis," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 138(III), pages 271-292, September.
    7. Shiro Takeda, 2010. "A computable general equilibrium analysis of the welfare effects of trade liberalization under different market structures," International Review of Applied Economics, Taylor & Francis Journals, vol. 24(1), pages 75-93.

    More about this item

    Keywords

    Regional Integration; Applied General Equilibrium;

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F15 - International Economics - - Trade - - - Economic Integration

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