Gaining from Trade in Southern Africa

Complementary Policies to Underpin the SADC Free Trade Area

By: C. Jenkins (Editor), J. Leape (Editor), L. Thomas (Editor)

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Hardcover | 31 July 2000 | Edition Number 1

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288 Pages

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Policy-makers in Southern Africa are increasingly convinced that regional trade liberalization can improve growth performance and stimulate development throughout the region. To succeed where previous attempts have failed, however, governments must address two key issues. The first of these is policy coordination - the broad range of domestic policies must be made compatible with the proposed trade reforms. The second is institution building - concerted attention must be devoted to strengthening weak institutions and infrastructure. The contributors are among the leading authorities on regional integration in Africa.

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Foreword	p. ix
Acknowledgements	p. xi
List of Abbreviations	p. xii
Notes on Contributors	p. xiv
Gaining from Trade in Southern Africa	p. 1
Introduction	p. 1
The Southern African Development Community and trade integration	p. 4
The relationship between openness to trade and economic growth in Africa	p. 7
Regional integration, economic convergence and growth	p. 9
Policies to underpin the FTA: an overview	p. 11
Concluding comments: beyond the FTA	p. 20
The Macroeconomic Policy Framework	p. 24
Policy credibility	p. 25
Analysis of country profiles and the identification of potential conflicts with regional trade liberalisation	p. 27
Cross-country comparisons	p. 41
Fiscal policy	p. 45
Monetary policy	p. 47
Exchange rate policy	p. 48
Conclusions and recommendations	p. 54
Taxation and Fiscal Adjustment	p. 58
Introduction	p. 58
The need for fiscal adjustment	p. 61
Fiscal adjustment measures: tax rate increases	p. 65
Fiscal adjustment measures: broadening the tax base	p. 71
Fiscal adjustment measures: enhancing control of expenditure	p. 80
The need for tax coordination	p. 83
Constraints on Foreign Direct Investment	p. 89
Introduction	p. 89
Significant constraints	p. 91
Other constraints	p. 97
Microeconomic Policies	p. 102
Sensitive industries and employment effects	p. 102
Mitigating the effects of job losses	p. 110
Human resource development	p. 115
Transport and communications	p. 117
Development corridors	p. 124
Export Promotion Arrangements	p. 128
Introduction	p. 128
WTO agreement on subsidies and countervailing duties	p. 130
Current incentives in SADC	p. 132
Overcoming negative perceptions	p. 134
Conclusions	p. 136
Compensatory Mechanisms	p. 140
Introduction	p. 140
The case for compensation	p. 140
Insternational experience	p. 143
Review and assessment of the SACU revenue-sharing mechanism	p. 146
Alternatives to fiscal compensation	p. 150
Concluding comments	p. 157
References	p. 158
Appendices
Review of Taxation Policies and Government Revenue	p. 163
Constraints on Foreign Direct Investment by Country	p. 210
Export and Investment Incentives by Country	p. 237
Index	p. 260
Table of Contents provided by Syndetics. All Rights Reserved.

Gaining from Trade in Southern Africa

Complementary Policies to Underpin the SADC Free Trade Area

At a Glance

Hardcover

Shipping

How to return your order

Defective items

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