National and Regional Impacts of Increasing Non-Agricultural Market Access by Developing Countries - the Case of Pakistan

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Author(s)
Butt, Muhammad Shoaib
Bandaralage, Jayatilleke
Griffith University Author(s)
Year published
2008
Metadata
Show full item recordAbstract
The US, the EU, Brazil and India met in Germany in June 2007 with a view to bridging differences between developed and developing countries on the Doha Round of trade negotiations. However, the talks broke down because of disagreement on the intertwined issues of agricultural protection and Non-Agricultural Market Access (NAMA). This study uses the first regional computable general equilibrium (CGE) model of Pakistan to evaluate the national and regional impacts of increasing NAMA as per two actual proposals of the US and the EU and Brazil and India at the 2007 meeting. The results suggest that overall benefits to ...
View more >The US, the EU, Brazil and India met in Germany in June 2007 with a view to bridging differences between developed and developing countries on the Doha Round of trade negotiations. However, the talks broke down because of disagreement on the intertwined issues of agricultural protection and Non-Agricultural Market Access (NAMA). This study uses the first regional computable general equilibrium (CGE) model of Pakistan to evaluate the national and regional impacts of increasing NAMA as per two actual proposals of the US and the EU and Brazil and India at the 2007 meeting. The results suggest that overall benefits to Pakistan's economy-in terms of increased exports and real GDP-will plausibly be higher under the NAMA proposal advocated by the US and the EU than that advanced by Brazil and India. However, inter-industry inequalities in Pakistan and the existing regional disparities between the largest region and the three smaller regions of the country are projected to be higher under the proposal of the US and EU. Drawing on the results of the CGE simulations, the study puts forward a NAMA proposal which can be beneficial and acceptable to both developed and developing countries. A breakthrough in NAMA may also break the impasse over the agricultural issues because of the interdependence of the two issues.
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View more >The US, the EU, Brazil and India met in Germany in June 2007 with a view to bridging differences between developed and developing countries on the Doha Round of trade negotiations. However, the talks broke down because of disagreement on the intertwined issues of agricultural protection and Non-Agricultural Market Access (NAMA). This study uses the first regional computable general equilibrium (CGE) model of Pakistan to evaluate the national and regional impacts of increasing NAMA as per two actual proposals of the US and the EU and Brazil and India at the 2007 meeting. The results suggest that overall benefits to Pakistan's economy-in terms of increased exports and real GDP-will plausibly be higher under the NAMA proposal advocated by the US and the EU than that advanced by Brazil and India. However, inter-industry inequalities in Pakistan and the existing regional disparities between the largest region and the three smaller regions of the country are projected to be higher under the proposal of the US and EU. Drawing on the results of the CGE simulations, the study puts forward a NAMA proposal which can be beneficial and acceptable to both developed and developing countries. A breakthrough in NAMA may also break the impasse over the agricultural issues because of the interdependence of the two issues.
View less >
Journal Title
Economic Analysis and Policy
Volume
38
Issue
2
Publisher URI
Copyright Statement
© The Author(s) 2008. The attached file is reproduced here in accordance with the copyright policy of the publisher. For information about this journal please refer to the journal's website or contact the authors.
Subject
Economics