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Dominican Republic, Central American Free Trade Agreement (DR-CAFTA) : Challenges and Opportunities for Central America

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dc.contributor.author World Bank
dc.date.accessioned 2012-06-18T20:46:58Z
dc.date.available 2012-06-18T20:46:58Z
dc.date.issued 2005-12
dc.identifier.uri http://hdl.handle.net/10986/8358
dc.description.abstract This report provides a preliminary assessment of DR-CAFTA (the , with particular attention to three key themes: (1) expected trade and non-trade benefits, (2) actions that Central American countries need to pursue to capitalize optimally on the new opportunities, and (3) identification of the population groups that may require assistance to adapt to a more competitive environment. The report focuses on the developing countries of Central America, namely Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua. The analysis presented in the report shows that the vast majority of the population in Central America is likely to experience welfare gains from implementation of DR-CAFTA, even in the short run. At the same time, the removal of trade barriers in sensitive agricultural crops could adversely affect a small share of the population living in rural areas in Central America. Although provisions in DR-CAFTA will allow for long timetables in reducing tariffs for the most sensitive products, appropriate support programs may need to be designed. In addition, selective investments in education, rural infrastructure, rural finance, and technical assistance will be required to ensure that the rural poor have the means to take full advantage of the new opportunities arising out of DR-CAFTA. Chapter 1 of the report reviews the main findings of the chapters in the order in which they appear. Chapter 2 places DR-CAFTA in the historical context of the economic reforms that Central American countries have been undertaking since the late 1980s. Chapter 3 provides a summary overview of the recently negotiated DR-CAFTA, with special attention on the extent to which the agreement's provisions would significantly change market access for Central American goods and services, and also on how far they could be expected to consolidate prior reforms. Chapter 4 reviews various analyses that assess the potential impacts of DR-CAFTA on the developing countries of Central America. Chapter 5 focuses on the identification and quantification of potentially affected populations from the easing of trade restrictions in sensitive agricultural products, and analyzes policy options to assist vulnerable groups. Chapter 6 reviews evidence related to key macroeconomic implications of DR-CAFTA, namely the potential revenue losses that might be produced by the removal of import taxes and the treaty's potential effect on the patterns of business-cycle synchronization. Chapter 7 reviews evidence from each Central American country in the areas of trade facilitation, institutional and regulatory reforms, and innovation and education, in order to identify key priorities for the complementary agenda for DR-CAFTA. en
dc.language English
dc.language.iso en_US
dc.publisher Washington, DC
dc.rights CC BY 3.0 IGO
dc.rights.uri http://creativecommons.org/licenses/by/3.0/igo/
dc.subject DOUBLE TAXATION TREATIES
dc.subject MACROECONOMIC POLICY COORDINATION
dc.subject HARMONIZATION
dc.subject WTO
dc.subject GOVERNMENT REGULATIONS
dc.subject LABOR MARKETS
dc.subject TRADE RESTRICTIONS
dc.subject TRADE
dc.subject REGULATIONS
dc.subject INTELLECTUAL PROPERTY RIGHTS
dc.subject TAX REVENUE
dc.subject TRADE AREA
dc.subject INVESTMENT PROTECTION
dc.subject PRELIMINARY ASSESSMENT
dc.subject REGIONAL COORDINATION
dc.subject DEBT
dc.subject SAFEGUARD MEASURES
dc.subject TRADE POLICY
dc.subject TRADE EXPANSION
dc.subject MACROECONOMIC POLICIES
dc.subject POLICY MAKERS
dc.subject TRADE POLICIES
dc.subject ECONOMIC COOPERATION
dc.subject INDUSTRY TRADE
dc.subject APPAREL EXPORT
dc.subject NATIONAL INNOVATION SYSTEM
dc.subject WELFARE LOSSES
dc.subject DONOR AGENCIES
dc.subject TAX POLICY
dc.subject UNILATERAL PREFERENCES
dc.subject WORLD TRADE
dc.subject GDP PER CAPITA
dc.subject POLITICAL FACTORS
dc.subject IMPORT TAXES
dc.subject WORLD TRADE ORGANIZATION
dc.subject TECHNICAL ASSISTANCE
dc.subject LIVING STANDARDS
dc.subject DYNAMIC GAINS
dc.subject DOMESTIC PRICES
dc.subject UNILATERAL TRADE
dc.subject MOST FAVORED NATION
dc.subject CAPACITY BUILDING
dc.subject TRADE FLOWS
dc.subject NON-TARIFF BARRIERS
dc.subject POSITIVE EFFECTS
dc.subject TRADE PREFERENCES
dc.subject INVESTMENT LEVELS
dc.subject WELFARE IMPACTS
dc.subject PREFERENTIAL MARKET ACCESS
dc.subject REMOVING TRADE BARRIERS
dc.subject TRADE OPENNESS
dc.subject FOREIGN INVESTORS
dc.subject AGRICULTURE
dc.subject CIVIL SOCIETY
dc.subject TRADING PARTNER
dc.subject APPAREL INDUSTRIES
dc.subject EXPORT GROWTH
dc.subject COMMODITY PRICES
dc.subject DYNAMIC EFFECTS
dc.subject ELIMINATING TARIFFS
dc.subject INTELLECTUAL PROPERTY
dc.subject UNILATERAL EFFORTS
dc.subject SPECIAL SAFEGUARD
dc.subject TRADE FACILITATION
dc.subject TRANSITION PERIODS
dc.subject PUBLIC GOODS
dc.subject TRADE LIBERALIZATION
dc.subject TRADE STRUCTURE
dc.subject INTERNATIONAL TRANSPORT
dc.subject GROWTH RATES
dc.subject FREE TRADE
dc.subject REGIONAL TRADE INTEGRATION
dc.subject TARIFF-FREE ACCESS
dc.subject HUMAN CAPITAL
dc.subject TRADE AGREEMENT
dc.subject EXPORTS
dc.subject ADVERSE IMPACTS
dc.subject PROTECTIONS
dc.subject REGULATORY REFORMS
dc.subject UNSKILLED LABOR
dc.subject FREE TRADE AGREEMENT
dc.subject TARIFF BARRIERS
dc.subject TRADE DIVERSIFICATION
dc.subject PRICE CHANGES
dc.subject PARTIAL EQUILIBRIUM ANALYSES
dc.subject WELFARE GAINS
dc.subject PUBLIC SECTOR
dc.subject IMPORTS
dc.subject POLICY PRIORITIES
dc.subject FINANCIAL ASSETS
dc.subject CUSTOMS UNION
dc.subject RECIPROCITY
dc.subject BUSINESS CYCLE SYNCHRONIZATION
dc.subject TRANSPORT COSTS
dc.subject COMPETITIVE ENVIRONMENT
dc.subject APPAREL TRADE
dc.subject RECIPROCAL ACCESS
dc.subject CONSUMERS
dc.subject ACCESS TO SERVICE MARKETS
dc.subject CENTRAL AMERICA
dc.subject EXPORT PRODUCTS
dc.subject TOTAL FACTOR PRODUCTIVITY
dc.subject ECONOMIC VALUE
dc.subject TRADE CAPACITY
dc.subject REGIONAL TRADE
dc.subject TRADE MORE
dc.subject MARKET ACCESS
dc.subject COMMON MARKET
dc.subject EXPORT PROMOTION
dc.subject AGRICULTURAL PRODUCTS
dc.subject INCOME LOSSES
dc.subject PROTECTION LEVELS
dc.subject ECONOMIC GROWTH
dc.subject DOMESTIC REFORMS
dc.subject BUSINESS CYCLES
dc.subject REMOVING BARRIERS
dc.subject TARIFF REDUCTIONS
dc.subject EXPORT VOLUMES
dc.subject UNILATERAL TRADE REFORMS
dc.subject TAXATION
dc.subject TRADE PREFERENCE
dc.subject REGIONAL INTEGRATION EFFORTS
dc.subject INTRAINDUSTRY TRADE
dc.subject WAGES
dc.subject DOMESTIC LEGISLATION
dc.subject COMPETITIVENESS
dc.subject STATIC ANALYSES
dc.subject INCOME TAXES
dc.subject ZERO TARIFFS
dc.subject QUOTAS
dc.subject TRADE REFORMS
dc.subject TRADE PROTECTION
dc.subject FREE ACCESS
dc.subject TRADE INTEGRATION
dc.subject FINANCIAL RESOURCES
dc.subject FREE TRADE AGREEMENTS
dc.subject INTERNATIONAL TRADE
dc.subject REGIONAL INTEGRATION
dc.subject GDP
dc.subject INCOME
dc.subject GROWTH RATE
dc.subject ACCORDS
dc.subject REDUCING TARIFFS
dc.subject CUSTOMS
dc.subject REDUCING PROTECTION
dc.subject STATIC GAINS
dc.subject BILATERAL TRADE
dc.subject PREFERENTIAL TREATMENT
dc.subject LABOR REGULATIONS
dc.subject FOSTERING TRADE
dc.subject BILATERAL TRADE AGREEMENTS
dc.subject VALUE ADDED
dc.subject FINANCIAL SERVICES
dc.subject TRADE BARRIERS
dc.subject EXPORT PROSPECTS
dc.subject APPAREL
dc.subject BUSINESS CYCLE
dc.subject TRADE INTENSITY
dc.subject TRADE IN SERVICES
dc.subject REGIONAL AGREEMENTS
dc.subject FOREIGN INVESTMENT
dc.subject MACROECONOMIC POLICY
dc.subject INCREASING TRADE
dc.subject DISPUTE SETTLEMENT
dc.subject AGRICULTURAL COMMODITIES
dc.subject TREATIES
dc.subject BOVINE MEAT
dc.subject POLITICAL CONDITIONS
dc.subject DOUBLE TAXATION
dc.title Dominican Republic, Central American Free Trade Agreement (DR-CAFTA) : Challenges and Opportunities for Central America en
dc.rights.holder World Bank


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