Browsing by Author "Lopes Cristovao, Antonio Francisco"

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    The SADC free trade protocol as a vehicle for the Angolan post-war economic recovery
    (Stellenbosch : Stellenbosch University, 2002-12) Lopes Cristovao, Antonio Francisco; Leysens, A. J.; Stellenbosch University. Faculty of Arts and Social Sciences. Dept. of Political Science.
    ENGLISH ABSTRACT: Free trade is said to maximize welfare in a world organized by nation-states. To participate in the global economy more effectively most nation-states have implemented economic policies with the objective of freeing international trade. This movement has been facilitated by the process of globalization which has had unparalleled effects on the economic policies of countries worldwide. However, countries-have found it increasingly difficult to manage their economies at the multilateral level since the benefits of global free trade are not equally shared. This has led to an increase in Regional Integration Agreements (RIAs), which are seen as a tool for strategic growth and development while promoting free trade on a more restricted basis. In the last decades of the 20th century, the world has seen an increase in the number of RIAs particularly in Sub-Saharan Africa, However, empirical evidence has shown, contrary to what happened in Europe, that in Africa most attempts at economic integration have failed to promote meaningful economic growth and development. Notwithstanding that, the Southern African Development Community (SADC) has embraced economic integration as a strategy for growth in the region. Focusing on SADC and the Angolan economy as the main units of analysis, this study looks at the theory of economic integration to evaluate its validity for the African context and to find out how useful integration is in promoting economic growth and development in less developed countries. The study concludes that economic integration theory, which was developed within the context of European economies, is not relevant for African economies, which are different in character. Evidence indicates for instance, that in Africa the most important gains from economic integration are dynamic and not static, as the theory seems to suggest. Additionally, contrary to what happened in former attempts at forming RlAs in Africa, SADC has implemented a development integration approach aiming at industrialization. This is important, because according to the "Krugman-Venables model of regional relocation" the least developed countries can benefit from trade and investment from the most developed ones. The SADe Free Trade Protocol may be harmful for the Angolan economy in the short to medium term because of structural problems. However, it was found that if properly implemented it could playa major role in promoting growth and development in the longer term.