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GTAP Resources: Resource Display

GTAP Resource #1958

"An Examination of Morocco’s Trade Options with the EU"
by Philippidis, George and Ana Sanjuan


Abstract
As a moderate North African Arab state, Morocco has ratified preferential free trade agreements with both the EU and the USA. However, the potential importance of improved agro-food market access with the EU has been largely ignored in Morocco-EU Association Agreement (MEAA). Indeed, in comparison with the depth of the agro-food reforms in the Morroco-US agreement, the MEAA is largely incomplete. Accordingly, as a first objective we employ a modified computable general equilibrium (CGE) model to assess the potential for further long run trade and growth in Morocco through agro-food tariff abolition. Moreover, we investigate whether there is an economic incentive for such an EU countermovement to restore competitive parity with the US. As a further aim, we examine the trade inhibiting implications of non-tariff barrier (NTB) trade costs (e.g., red tape, licensing laws etc.), which have hitherto largely escaped reform. Thus, we estimate NTB trade cost tariff equivalents (TEs) employing a theoretically consistent gravity specification. TEs are implemented into our CGE model to measure the trade and growth impacts from NTB removal in agro-food and across all Moroccan-EU trade. Whilst agro-food liberalisation yields disappointing results for Morocco, the potential for development led policies through elimination of NTBs is highly appealing.


Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
Status: Published
By/In: Journal of African Economies, 16 (2), pp259-300
Date: 2007
Version:
Created: Philippidis, G. (4/18/2006)
Updated: Philippidis, G. (11/24/2013)
Visits: 1,182
- Agricultural policies
- Domestic policy analysis
- Non-Tariff barriers
- Non-Tariff measures in services
- Preferential trading arrangements
- Africa (North)
- European Union


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