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This paper attempts to examine the trade performance of five SAARC member
countries (Pakistan, India, Bangladesh, Sri Lanka and Nepal) and its impact
over the macroeconomic structure of their economies during 1989 to 2001.The
paper basically focuses on intra SAARC trade in the light of free trade
agreements which encourage trade liberalization process among SAARC
countries. The data provides substantial evidence, which shows the benefits of
intra-regional trade expansion: larger markets and fuller utilization of
production capabilities, transfer of suitable production technologies,
comparative advantage and complementarities, economies of scale due to
expanded markets and better utilization of entrepreneurial capabilities, capital,
manpower and natural resources. In addition to that such an arrangement is
also expected to foster closer economic ties among member countries and
enhance their bargaining power with respect to other countries and economic
blocs.
Rummana Zaheer. (2011) TRADE PERFORMANCE OF SAARC COUNTRIES, Journal of Social Science and Humanities, Volume 50, Issue 1.
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