Social and Behavioral Sciences Commons^™

Preference Areas And Intra-Product Specialization, Sven W. Arndt

CMC Faculty Publications and Research

The theory of preferential trade liberalizations has traditionally focused on trade in final products rather than components and parts. It has also seen such agreements in the main as trade agreements, although its insights have been applied successfully to the creation of Europe's Single Market, the so-called "Europe 1992" project. It has tended as well to focus on agreements involving countries at relatively similar stages of economic development. Inauguration of the North American Free Trade Agreement (NAFTA), on the other hand, has drawn attention to trade in components, to regional investment liberalization, and to preferential agreements linking developed and developing …