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The Political Economy of Regional Integration Projects at Borders Where Rich and Poor Meet

Dascher, Kristof ; Haupt, A.



Abstract

At borders between poor and rich countries, huge service price differentials could be exploited to mutual benefit, offering better-paid job opportunities to the poor as well as better shopping opportunities to the rich. However, cross-border shopping is often limited by the substantial transaction costs of crossing the border. Moreover, countries and regions frequently fail to cut these ...

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