Publication

This paper discusses the expected economic gains from the Transatlantic Free Trade Area (TAFTA) proposed in the mid-1990s to revitalize the economic and political ties between the US and the EU. The author examines the expected gains for its members with respect to trade in goods and services and investment flows. Moreover, he analyzes potential effects for third countries, and discusses how TAFTA fits into the WTO institutional rule system for the world economy and how a TAFTA for investment flows is to be evaluated. He argues to include a transatlantic effort for deeper integration into the WTO framework.