Trade Agreements: Impact on the U.S. Economy
"The United States is in the process of considering a number of trade agreements. In addition, the
111th Congress may address the issue of trade promotion authority (TPA), which expired on July
1, 2007. These agreements range from bilateral trade agreements with countries that account for
meager shares of U.S. trade to multilateral negotiations that could affect large numbers of U.S.
workers and businesses. During this process, Congress likely will be presented with an array of
data estimating the impact of trade agreements on the economy, or on a particular segment of the
economy...

This report examines the major features of economic models being used to estimate the effects of
trade agreements. It assesses the strengths and weaknesses of the models as an aid in helping
Congress evaluate the economic impact of trade agreements on the U.S. economy. In addition,
this report identifies and assesses some of the assumptions used in the economic models and how
these assumptions affect the data generated by the models. Finally, this report evaluates the
implications for Congress of various options it may consider as it assesses trade agreements."