The Economic Effects of a Spanish Trade Boycott against Catalan Products

• Authors: Xavier Cuadras Morató.
• BSE Working Paper: 110051 | September 15
• Keywords: trade boycott , input output analysis
• JEL codes: C67, F17, F51
• trade boycott
• input output analysis

We study the potential consequences of a hypothetical trade boycott against Catalan products organized by some sectors of the Spanish society mainly for political reasons. A symmetric trade boycott would have two effects: a reduction of Catalan exports to Spain and a partial process of import substitution in Catalonia. In order to quantify the economic impact of the boycott, we compare the "actual" Catalan economy, as described in the input-output table for 2005, with a "simulated" Catalan economy that takes into account the effects of a boycott on the trade exchanges between Catalonia and Spain.