Factors that have shaped the eEvolution of bilateral trade between Canada and Colombia in the long run (1953-2003)

Currently bilateral trade between Canada and Colombia is low. In 2003, this trade amounted to US $489 million, with Co­lombian imports from Canada totaling US $ 213 million (DOTS, 2004). Canada supplied approximately 4.0% of Colombia’s total trade (total imports and total ex­ports), in contrast Colombia supplied only around 0.1% of the Canadian total trade. In 2005, Colombia was the third largest Canadian partner in South America after Brazil and Venezuela. The objective of this paper is to analyze the trade performance between Canada and Colombia using a modified gravity equation to identify the most relevant historical factors that have shaped the evo­lution of this bilateral trade in the long run (during the period from 1953 to 2003). The analysis includes traditional economic va­riables (such as population and income of the importing and exporting countries). In order to understand the qualitative nature of the evolution of this bilateral trade the second objective is to review the evolving nature of trade including commodity com­position and trade characteristics.  

An exploratory assessment of the potential impact of the free trade area of the americas on the andean community

A través de una simulación llevada a cabo con GTAP, este documento presenta una evaluación preliminar del impacto potencial que el Área de Libre Comercio de las Américas tendría sobre la Comunidad Andina de Naciones. Mantenido por la Universidad de Purdue, el GTAP es un modelo multiregional de equilibrio general, ampliamente usado para el análisis de temas de economía internacional. El experimento llevado a cabo tiene lugar en un ambiente de competencia perfecta y rendimientos constantes a escala y consiste en la completa eliminación de aranceles a las importaciones de bienes entre los países del Hemisferio Occidental. Los resultados muestran la presencia de modestas pero positivas ganancias netas de bienestar para la Comunidad Andina, generadas fundamentalmente por mejoras en la asignación de recursos. Movimientos desfavorables en los términos de intercambio y el efecto de la desviación de comercio con respecto a terceros países, reducen considerablemente las ganancias potenciales de bienestar. De la misma forma, la existencia de distorsiones económicas al interior de la Comunidad Andina tiene un efecto negativo sobre el bienestar. El patrón de comercio aumenta su grado de concentración en el comercio bilateral con los Estados Unidos y la remuneración real a los factores productivos presenta mejoras con la implementación de la zona de libre comercio.

Development, resistance and change. A point of view from Río Negro’s steppe

In this paper we search the concept of nonviolent resistance inquiring a rural experience from Rio Negro´s steppe. The initiative highlights the need to recognize  the context of the resistance exercise and the consideration of three aspects: the evaluation and interpretation of space, the dispute to public policy and the  restructuring of the family order. These three elements, which overlap material  and symbolic aspects, are discussed from an organization of trade domestic craft production. The notion of “development” is discovered on the basis of the  frameworks of values from which the reproduction of subordination is associated  with this idea, and even the challenge of change is the basis of the proposal which reviews that development idea, and illuminates from this complexity the notion  of “nonviolent resistance”.

Poverty impacts of increased openness and fiscal policies in a dollarized economy: a CGE-micro approach for Ecuador

We quantify the effects on poverty and income distribution in Ecuador of bilateral trade liberalization with the US and a budget-neutral value added tax increase which seeks to compensate tariff revenue losses. We stress the study of fiscal policies that the government could tap in order to compensate for tariff revenue loss. This is a very important issue for Ecuador because this country adopted the US dollar as its currency in 2000, forgiving the use of important policy instruments. To study these issues we combine a reduced-form micro household income and occupational choice model (using 2005/6 data from the Ecuadorian LSMS) with a standard single-country computable general equilibrium model (employing a 2004 SAM). We follow a sequential approach that simulates the full distributional impact of trade and tax policies. We find that the impact of these policy changes on extreme poverty and income distribution is small but positive.

Information externalities and export trade duration at the firm level

Recent empirical work emphasizes the importance of the extensive margin of trade (new exporters, new export activities) for long run export growth. In this context, understanding the determinants of duration of new exporters is key for underpinning the dynamics of exports growth. As new exporters tend to show low survival rates, identifying the determinants of export duration is highly relevant for academic and policy purposes. In this paper, we explore whether information externalities arising from different levels of spatial interaction allow new exporters to increase the duration of their trade activities. For this, we use transaction level data on Colombian exports between 2004 and 2011. Results show that export networks, understood as the agglomeration of exporting firms at different spatial levels, reduce the risk of dropping out from exporting and that this effect is stronger the more similar are export activities carried out by firms

Essays on International trade and economic growth

At present, we are witnessing globalization as a truly worldwide phenomenon. Trade agreements among differing countries, a reduction in trade costs, the mobility of production factors, the free flow of information and so on are all proof of the present day era of globalization. Countries are trading with one another more and more every day and the effects of international trade on economies represent a central discussion in all economic spheres. In spite of increasing trade around the world and the promotion of globalization by multilateral organisms such as WTO and IMF, the effects of international trade are not yet clear. Economics literature concerning the effects of international trade on economic growth and welfare remains ambiguous in terms of both theoretical models and empirical research. The present thesis tries to contribute to the theoretical debate surrounding the effects of dynamic international trade, focusing in particular on the implications for economic growth, welfare and changes in the preferences of individuals.