Innocent Bystanders: Implications of an EU–India Free Trade Agreement for Excluded Countries
Synopsis
The European Union, under its ‘Global Europe’ initiative, has since 2006 been pursuing trade agreements with its major global trading partners. An EU–India Free Trade Agreement is currently under negotiation; if successfully concluded it is likely to have knock-on effects on other countries’ trade with both India and the EU, the trade of the ‘innocent bystanders’ excluded from the agreement.
The authors consider the implications of the EU–India Free Trade Agreement for various groups of other countries, including the ACP countries and those in South Asia, the latter group being most strongly impacted. The analysis considers not only trade in goods but also trade in services, and focuses not only on quantities but also on the prices at which trade is conducted.
The authors then consider how excluded countries might respond to the Free Trade Agreement, both at an individual level and at a systemic level.
Chapters
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Preface and Summary
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List of abbreviations
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Introduction and summary
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The effects of preferential trading arrangements (PTA) on excluded countriesWelfare not quantities
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EU Trade AgreementsWhat can we expect an EU–India Agreement to cover?
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The effects of a potential EU–India FTA on the EU and India
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Trade similarity
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Trade diversion and trade re-orientation: Aggregate analysis
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Trade diversion and trade re-orientation: Sectoral analysis
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Terms of trade effects
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The importance of services in a potential EU–India FTA
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Barriers to services trade between EU and India, and areas of interest in a possible FTA
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The coverage of services in FTA
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The welfare effects of preferential services liberalisation
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Specific case studies from EU–India
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The role of investment
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Conclusion
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Individual excluded countries
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Multilateral responses
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Index
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This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.