The Welfare Implications of Trading Blocs Among Countries with Different Endowments

54 Pages Posted: 20 Apr 2011

See all articles by Antonio Spilimbergo

Antonio Spilimbergo

International Monetary Fund (IMF) - Research Department; Centre for Economic Policy Research (CEPR); University of Michigan at Ann Arbor - The William Davidson Institute

Ernesto Stein

Inter-American Development Bank (IDB)

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Date Written: March 1996

Abstract

This paper presents a model in which trade is motivated both by preference for variety and comparative advantages. This framework is used to analyze the welfare implications of trading blocs among countries with different endowments with and without transportation costs.

Suggested Citation

Spilimbergo, Antonio and Stein, Ernesto Hugo, The Welfare Implications of Trading Blocs Among Countries with Different Endowments (March 1996). IDB Working Paper No. 267, Available at SSRN: https://ssrn.com/abstract=1815953 or http://dx.doi.org/10.2139/ssrn.1815953

Antonio Spilimbergo (Contact Author)

International Monetary Fund (IMF) - Research Department ( email )

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Centre for Economic Policy Research (CEPR)

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University of Michigan at Ann Arbor - The William Davidson Institute ( email )

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Ernesto Hugo Stein

Inter-American Development Bank (IDB) ( email )

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Research Department
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United States

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