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Eu-Acp Economic Partnership Agreements, Inma Martinez-Zarzoso, Sebastian Vollmer, Nils Klann, Felicitas Nowak-Lehmann D.

Inma Martinez-Zarzoso

We estimate the welfare effects of the Economic Partnership Agreements between the EU and nine African countries. Our analysis is based on highly disaggregated data for trade and tariffs. We extend the literature in two principal ways: First, we estimate bilateral elasticities of import demand from the disaggregated data. Second, in place of simulating rather general scenarios we apply the recently negotiated tariff reduction rates to estimate the agreement’s welfare effects. Results indicate that Botswana, Cameroon, Mozambique, and Namibia will profit from the interim agreements, while the effects for Côte d’Ivoire, Ghana, Kenya, Tanzania, and Uganda are close to zero.