ABSTRACT
The strains on unity that the Arab countries are undergoing contrast sharply with the confidence, euphoria, and sense of coordinated purpose generated by the October 1973 War with Israel and the huge increase in oil prices that followed. The Arab Common Market, whose activity started in 1965 but which still has few members, has fallen far short of its hopes of breaking down tariff barriers and opening the way to a free market. The chances of a market increase in inter-Arab trade remain distant. European Economic Community aid comes in three forms; disbursement is through three separate schemes, of which the Lome Convention and the Maghreb and Mashreq agreements are by far the most important. The whole framework of the Euro-Arab Dialogue is rather grand if only economic and financial matters are to be discussed but the initial paradox remains. The Arabs have oil and large markets, the Europeans skills to teach and.
