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Assessing the Impact of ACP/EU Economic Partnership Agreement on West African Countries

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  • Busse, Matthias
  • Großmann, Harald

Abstract

The European Union is currently negotiating free trade agreements, called Economic Partnership Agreements (EPAs), with African countries as part of the Cotonou Agreement between the European Union and African, Caribbean and Pacific countries. The paper empirically assesses the impact of the EPAs on trade flows and government revenue for 14 West African countries. The results indicate that the decline in import duties due to the preferential tariff elimination might be of some cause for concern and that complementary fiscal and economic policies have to be implemented before or at the time the EPAs come into force.

Suggested Citation

  • Busse, Matthias & Großmann, Harald, 2004. "Assessing the Impact of ACP/EU Economic Partnership Agreement on West African Countries," HWWA Discussion Papers 294, Hamburg Institute of International Economics (HWWA).
    • Handle: RePEc:zbw:hwwadp:26198
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    References listed on IDEAS

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    1. Paul Brenton & Miriam Manchin, 2014. "Making EU Trade Agreements Work: The Role of Rules of Origin," World Scientific Book Chapters, in: INTERNATIONAL TRADE, DISTRIBUTION AND DEVELOPMENT Empirical Studies of Trade Policies, chapter 14, pages 299-313, World Scientific Publishing Co. Pte. Ltd..
    2. Lawrence E. Hinkle & Maurice Schiff, 2004. "Economic Partnership Agreements Between Sub‐Saharan Africa and the EU: A Development Perspective," The World Economy, Wiley Blackwell, vol. 27(9), pages 1321-1333, September.
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    4. World Bank, 2004. "World Development Indicators 2004," World Bank Publications - Books, The World Bank Group, number 13890.
    5. Brenton, Paul, 2003. "Integrating the least developed countries into the world trading system : the current impact of EU preferences under everything but arms," Policy Research Working Paper Series 3018, The World Bank.
    6. Gallaway, Michael P. & McDaniel, Christine A. & Rivera, Sandra A., 2003. "Short-run and long-run industry-level estimates of U.S. Armington elasticities," The North American Journal of Economics and Finance, Elsevier, vol. 14(1), pages 49-68, March.
    7. World Bank, 2004. "African Development Indicators 2004," World Bank Publications - Books, The World Bank Group, number 13918.
    8. P. J. Verdoorn, 1960. "The Intra-Bloc Trade of Benelux," International Economic Association Series, in: E. A. G. Robinson (ed.), Economic Consequences of the Size of Nations, chapter 0, pages 291-329, Palgrave Macmillan.
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    Cited by:

    1. Walkenhorst, Peter, 2006. "Compensating Lost Revenue in Regional Trade Agreements," MPRA Paper 12279, University Library of Munich, Germany.
    2. Walkenhorst, Peter, 2006. "Trade policy and regionalism in the Central African Republic," MPRA Paper 23863, University Library of Munich, Germany.
    3. Brenton, Paul & Saborowski, Christian & Staritz, Cornelia & von Uexkull, Erik, 2009. "Assessing the adjustment implications of trade policy changes using TRIST (tariff reform impact simulation tool)," Policy Research Working Paper Series 5045, The World Bank.
    4. Walkenhorst, Peter & Cattaneo, Olivier, 2006. "Trade, Diversification and Growth in Nigeria," MPRA Paper 23735, University Library of Munich, Germany.

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    More about this item

    Keywords

    Economic Partnership Agreements; EU; ECOWAS; Africa;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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