Bolivia's Trade Choices Could Reshape Regional Dynamics and Prosperity
The study looks at how Bolivia can improve its trade partnerships. It compares different options, such as trading with various groups of countries, to see which would benefit Bolivia the most. By analyzing trade demands and creating a trade compatibility index, the study suggests that Bolivia's best choices for trade are: 1) Trading with more countries through a special deal with Mercosur, 2) Joining Mercosur while still trading freely with the Andean Group, 3) Staying in the Andean Group and getting better deals with Mercosur, or 4) Sticking with current trading partners in the Andean Group. The study shows that whichever option Bolivia picks, it depends not just on economics but also on politics and who would gain the most. MFN trade seems to be the least controversial option, but each choice has its own benefits and drawbacks.