TY - JOUR
T1 - Dynamic adjustment to regional integration
T2 - Europe 1992 and NAFTA
AU - McKibbin, Warwick J.
PY - 1994/12
Y1 - 1994/12
N2 - Recent research on the gains to trade liberalization, especially in a number of papers by Richard Baldwin, suggests that the static gains to trade liberalization that many economists attempt to measure may be dwarfed by the dynamic gains. One source of these dynamic gains is through capital accumulation. A similar argument can be made regarding the consequences of regional integration. As distortions are removed the effects of aggregate output through dynamic adjustments are likely to be larger than simple static calculations suggest. This paper focuses on the issue of the dynamic gains to regional integration for two recent episodes, European integration known as Europe 1992, and the North American Free Trade Agreement (NAFTA). The paper provides empirical results on the size and nature of global and regional adjustments to these two examples of regional integration. J. Japan. Int. Econ., December 1994, 8(4), pp. 422-453. Research School of Pacific and Asian Studies, Australian National University, Canberra ACT 0200, Australia; and Brookings Institution, Washington, DC 20036.
AB - Recent research on the gains to trade liberalization, especially in a number of papers by Richard Baldwin, suggests that the static gains to trade liberalization that many economists attempt to measure may be dwarfed by the dynamic gains. One source of these dynamic gains is through capital accumulation. A similar argument can be made regarding the consequences of regional integration. As distortions are removed the effects of aggregate output through dynamic adjustments are likely to be larger than simple static calculations suggest. This paper focuses on the issue of the dynamic gains to regional integration for two recent episodes, European integration known as Europe 1992, and the North American Free Trade Agreement (NAFTA). The paper provides empirical results on the size and nature of global and regional adjustments to these two examples of regional integration. J. Japan. Int. Econ., December 1994, 8(4), pp. 422-453. Research School of Pacific and Asian Studies, Australian National University, Canberra ACT 0200, Australia; and Brookings Institution, Washington, DC 20036.
UR - http://www.scopus.com/inward/record.url?scp=43949159199&partnerID=8YFLogxK
U2 - 10.1006/jjie.1994.1023
DO - 10.1006/jjie.1994.1023
M3 - Article
AN - SCOPUS:43949159199
SN - 0889-1583
VL - 8
SP - 422
EP - 453
JO - Journal of the Japanese and International Economies
JF - Journal of the Japanese and International Economies
IS - 4
ER -