ABSTRACT
The paper deals with three aspects of the Argentine-Brazil agreement. First, it shows that this agreement does not represent a movement towards bilateralism, but it is an effort towards the global strengthening of Latin American economy. Secondly, it tries to demonstrate that there is a considerable amount of potential trade to be exploited between the two economies. Finally, it points out that the removal of trade barries will lead to an improvement of the pattern of industrial organization within both economies.
KEYWORDS:
Economic integration; Mercosur