Date Published:
Oct 2009
Document Type:
B
Primary Image:
Research Document:
In response to changes in the multilateral trading system in the 1990’s, the Latin American and Caribbean (LAC) region revitalized existing Regional Trade Agreements (RTAs) and signed new ones, mainly Preferential Trade Agreements (PTAs). Through the removal of market distorting trade obstacles, RTAs should allow countries to achieve a higher level of welfare by specializing in production in which they enjoy comparative advantage, as well as by taking advantage of the technological inflows facilitated by trade and by larger scale production.