Journal article

Publication year: 2003

Pages: 21-47

Journal: Quarterly Journal of International Agriculture

Volume number: 42

Issue number: 1

ISSN: 0049-8599

Publisher: DLG-Verlag

Abstract: 

In April 2001, the European Union and the United States reached an agreement on how the European Common Market Organization for bananas can be modified to end the long-lasting WTO dispute. It is the objective of this paper to survey concisely the complex banana dispute and to draw economic lessons from this case study. We elaborate that the CMOB's institutional details induced substantial additional adjustment and transaction costs as well as excessive rent-seeking activities. These "details" consequently caused welfare losses in excess to the price-distorting effects and may explain the long duration of the banana dispute.

Harvard Citation style: Herrmann, R., Kramb, M. and Mönnich, C. (2003) The Banana Dispute: Survey and Lessons, Quarterly Journal of International Agriculture, 42(1), pp. 21-47

APA Citation style: Herrmann, R., Kramb, M., & Mönnich, C. (2003). The Banana Dispute: Survey and Lessons. Quarterly Journal of International Agriculture. 42(1), 21-47.