Winners and Losers from Regional Integration Agreements.

Working paper

How are the benefits - and costs - of a customs union divided between member countries? Outcomes depend on the comparative advantage of member countries, relative to each other and to the rest of the world. Countries with a comparative advantage between that of their partners and the rest of the world do better than countries with an 'extreme' comparative advantage. As a consequence, integration between low income countries tends to lead to divergence of member country incomes, while agreemen...

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Authors: Venables, A

• Publisher: CEPR
• Host title: C.E.P.R. Discussion Papers
• Series: C.E.P.R. Discussion Papers
• Volume: 2528
• Publication date: 2000-01-01
• Paper number: 2528
• Language: English