The New Challenges of the Regional Trade Agenda for the Andean Countries1 (original) (raw)

AI-generated Abstract

The paper analyzes the impact of various free trade agreements (FTAs) on the Andean countries, focusing on the simultaneous negotiations for the FTAA, FTA with Mercosur, and FTA with the United States. Using a multi-region, multi-sector computable general equilibrium model, it assesses macroeconomic performance, sectoral outcomes, and labor market implications, emphasizing the need for structural reforms to maximize potential gains while considering the consequences of trade diversion and exclusion from agreements. The findings highlight sector-specific dynamics and potential challenges ahead.