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Do South-South Trade Agreements Increase Trade? Commodity-Level Evidence from COMESA, Anna Maria Mayda, Chad Steinberg

South-South trade agreements are proliferating: Developing countries signed 70 new agreements between 1990 and 2003. Yet the impact of these agreements is largely unknown. This paper focuses on the static effects of South-South preferential trade agreements stemming from changes in trade patterns. Specifically, it estimates the impact of the Common Market for Eastern and Southern Africa (COMESA) on Uganda's imports between 1994 and 2003. Detailed import and tariff data at the 6-digit harmonized system level are used for more than 1,000 commodities. Based on a difference-in-difference estimation strategy, the paper finds that-in contrast to evidence from aggregate statistics-COMESA's preferential tariff liberalization has not considerably increased Uganda's trade with member countries, on average across sectors. The effect, however, is heterogeneous across sectors. Finally, the paper finds no evidence of trade-diversion effects
Table Of Contents
Contents; I. Introduction; II. Literature; III. Trade Creation and Trade Diversion; IV. Data; V. Empirical Strategy and Results; A. Benchmark Estimators; B. Difference-in-Difference Estimator; C. Robustness Checks; D. Trade Diversion; VI. Conclusions; Figures; 1. Uganda: Imports and Tariff Revenue (percent of GDP),1986-2003; 2. Uganda: Imports from Developing Countries (percent of GDP),1986-2003; Tables; 1. Summary Statistics for Uganda vis-à-vis COMESA Countries (1994-2003); 2. Summary Statistics for Uganda vis-à-vis non-COMESA Countries (1994-2003)
Literary Form
non fiction
Description based upon print version of record
Physical Description
1 online resource (37 p.)
Specific Material Designation
Form Of Item

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