国际经济学英文版章节课件Chap008.pptVIP

8 Regional Trading Arrangements Introduction Considered the second approach to trade liberalization A small group of nations, typically on a regional basis, form an arrangement Lower barriers while trading with member nations Preferential treatment for group members Regional Integration Versus Multilateralism Regional trading arrangements Trade barriers reduced only for a small group of partner nations Multilateral liberalization (WTO) Trade liberalization extended to all WTO members, on a nondiscriminatory basis Regional trading blocs can complement multilateral trading system Limitations of Regional Integration Versus Multilateralism Discriminatory; a departure from the principle of normal trading relations, a cornerstone of the WTO system Can act as stumbling blocks to multilateralism Factors suggesting members’ non-interest in worldwide liberalization: May not realize additional economies of scale from global trade liberalization May want to invest time and energy in establishing strong regional linkages Advantages of Regional Integration Versus Multilateralism Ways that foster global market opening: Can achieve deeper economic integration among members than multilateral accords Establishment of a regional free-trade area sets in place a self-reinforcing process Attractive for nonmembers to join and receive trade preferences Encourages partial adjustment of workers out of import-competing industries and into exporting industries based on comparative advantages Types of Regional Trading Arrangements Free-trade area Customs union Common market Example: European Union (EU) Economic union Would include the dimension of a monetary union Impetus for Regionalism Allows economies of large-scale production Fosters specialization and learning-by-doing Attracts foreign investment Fosters a variety of noneconomic objectives Managing immigration flows Promoting regional security Enhances and solidifies domestic economic reforms Smaller nations may seek safe-haven trading a