ABSTRACT
This chapter analyses the trade, fiscal and welfare impacts of the Economic Partnership Agreement (EPA) to date within the context of the initial five-year period, 2008–2015, of the Agreement. It provides analysts and policy makers with a robust discussion on the trade displacement, trade diversion and trade creation impacts of the Agreement, the possible implications of the same and permits more efficient policy responses. The chapter utilizes some permutations of the partial equilibrium approach; specifically, the D. Greenaway and C. Milner, SMART and the Trade Reform Impact Simulation Tool frameworks. One of the seminal works on the concept of welfare within the context of the CARIFORUM-EU EPA is provided by D. Greenaway and C. Milner. CARIFORUM negotiated the Caribbean-specific regional EPA with the European Union. The estimates vary in terms of scale; however, the general trend identified by each method is consistent.
