The colombia-canada free trade area: a partial equilibrium simulation

Catherine Pereira Villa | Biografía
Universidad de la Sabana
Daniel Gómez Abella | Biografía
Universidad de la Sabana
Luis Omar Herrera | Biografía
Universidad de la Sabana

Resumen

This paper uses disaggregated trade data for 2010 and applies ex-ante partial equilibriummodeling to calculate the impact of the preferential trade agreement between Canadaand Colombia. The simulations carried out show aggregate trade creation could be oneand a half times larger than trade diversion; trade between the two countries in the firstyear of the agreement could grow by approximately ten percent and will be focussed ona small number of goods; trade diversion is stronger with the largest trading partner ofeach signatory, namely the United States; and trade diversion is not strong in the caseof Colombia’s neighbors with which there was significant trade prior to the agreement
Cómo citar
Pereira Villa, C., Gómez Abella, D., & Herrera, L. O. (1). The colombia-canada free trade area: a partial equilibrium simulation. Semestre Económico, 15(31), 15-42. https://doi.org/10.22395/seec.v15n31a1

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