ABSTRACT

The benefits of regional integration are potential benefits for the common market or economic community as a whole. The question of how those benefits will be distributed is a vitally important issue that will affect the feasibility of integration initiatives and the sustainability and progress of those that have been established. Distributional questions arise at several levels. • To what extent will different countries and regions benefit? • How will the distribution of the gains between capital and

labour be affected? • How will factor prices be affected? • How will different economic sectors be affected? • Since industries tend to concentrate in particular regions of

particular countries, how will the sectoral impacts of integration affect the regions within member states?