The Trade Impact of European Union Preferential Policies An Analysi
The book investigates the EU preferential trade policy and, in particular, the impact it had on trade flows from developing countries. It shows that the capability of the "trade as aid" model to deliver its expected benefits to these countries crucially d
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Luca De Benedictis
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Luca Salvatici
Editors
The Trade Impact of European Union Preferential Policies An Analysis Through Gravity Models
Editors Prof. Luca De Benedictis University of Macerata Department of Economics and Financial Institutions Via Crescimbeni 20 62100 Macerata Italy [email protected]
Prof. Luca Salvatici University Roma Tre Department of Economics Via Silvio D’Amico 77 00145 Roma Italy [email protected]
Financial support for the publication of this book received from the Italian Ministry of Education, University and Research (Scientific Research Program of National Relevance 2007 on “European Union policies, economic and trade integration processes and WTO negotiations”) is gratefully acknowledged. We are extremely grateful to Filomena Pietrovito for superbe assistance in the preparation of individual chapters and the editing of manuscripts. Additional material to this book can be downloaded from http://extra.springer.com ISBN 978-3-642-16563-4 e-ISBN 978-3-642-16564-1 DOI 10.1007/978-3-642-16564-1 Springer Heidelberg Dordrecht London New York Library of Congress Control Number: 2011930926 # Springer-Verlag Berlin Heidelberg 2011 This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer. Violations are liable to prosecution under the German Copyright Law. The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Cover design: eStudio Calamar S.L. Printed on acid-free paper Springer is part of Springer Science+Business Media (www.springer.com)
To our teachers and students, and to our families
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Foreword
Trade preferences are an important structural component of the relations between the European Union (EU) and the developing world, although their effectiveness in promoting developing country exports has sometimes been questioned. However, developing countries have been consistently asking developed countries for deeper and wider preferential trade concessions, preference erosion has always been and continues to be a contentious issue in multilateral negotiations, and firms in developed countries complain about the increased competition they have to face as a result of trade preferences. EU trade preference schemes form a diverse and complicated set of tangled trade concessions (a “spaghetti bowl”, as Bhagwati put it), with preferences of different degrees – in terms of both the depth of preferential margins and the width of
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