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Colombia-US trade agreement could ease Dutch Disease

News that the Free Trade Agreement between Colombia and the US has finally been signed is clearly positive. Not only should the pact boost trade between the two nations, but the elimination of tariffs on non-commodity products could help to reduce Colombia’s reliance on natural resources and thus ease fears about the economy succumbing to so-called ‘Dutch Disease’. It also stands in stark contrast to the recent shift towards protectionist policies in the likes of Brazil.

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