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Trade Creation And Trade Diversion Effects In The Eu-South Africa Free Trade Agreement, Gregory Emeka Kwentua
Trade Creation And Trade Diversion Effects In The Eu-South Africa Free Trade Agreement, Gregory Emeka Kwentua
LSU Master's Theses
This study examines trade creation and trade diversion effects in the EUSAFTA using the standard gravity model of bilateral trade flows. The estimation of the gravity equation was carried out using the OLS analysis. In order to ascertain the overall trade creation and trade diversion effects explanatory variables such as GDP, distance and dummy variables were incorporated into the estimation equation to explain bilateral trade flows and exports respectively. The main focus was on the estimation of trade creation and trade diversion effects, resulting from participation in selected regional and preferential trade agreements like EU, COMESA, SACU and EUSAFTA. Additionally, …