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Jangkung Handoyo Mulyo
Staf Pengajar Jurusan Sosial Ekonomi Pertanian Universitas Gadjah Mada
Agriculture, Biological Sciences & Forestry Economics, Econometrics & Finance

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REGIONAL TRAE BLOCS : A CASE STUDY OF THE WELFARE IMPACT OF THE EUROPEAN UNION ON INDIA AND KENYA Jangkung Handoyo Mulyo
Agro Ekonomi Vol 8, No 2 (2001): DESEMBER 2001
Publisher : Department of Agricultural Socio-Economics Faculty of Agriculture Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (328.648 KB) | DOI: 10.22146/agroekonomi.16812

Abstract

Some countries, including the big player in the world economy, the USA , believe that free trade liberalization based on principles of non discriminatory and multilateral bases as well as an open market will improve the welfare of many countries. However, other countries do not follow the idea of trade liberalization and hence respond by forming regional trading blocs. Therefore, the existence of such trading blocs will be examined, whether they are a 'building blocks' or a 'stumbling blocks, for sustaining the free trade liberalization. And hence, this paper focuses on three main parts: rationalization of the establishment of trading blocs; identification of the critical factors for the success of these blocs; and presentation of empirical evidence for the welfare implications of the trade diverting effects of the European Union through the analysis of two less developed countries, India and Kenya.
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