The African Growth and Opportunity Act (AGOA) and its Implications on Member States' Compliance to US Policy Goals: A process-tracing analysis

This thesis investigates the political effect of the United States’ African Growth and Opportunity Act, a non-reciprocal trade agreement granting eligible Sub-Saharan African states tariff free access to the US-American market. In both the scholarly literature and real-world politics, the threat of AGOA suspension seems to spook African leaders. The exclusion mechanism is highly exploitable and political compliance therefore important to stay included in the agreement. The economic impact of AGOA is however highly limited. This thesis tackles the puzzle of why an agreement with no major economic impact leads to political compliance to the US by its member states. My argument is the limitation of AGOA’s utilization to a capacity-abundant elite, which can afford to overcome the utilization barriers (high transportation costs, permits, etc.) and earn the agreements benefits. Following the elite theory, this benefitting elite is then able to influence its government to comply with US...Show moreThis thesis investigates the political effect of the United States’ African Growth and Opportunity Act, a non-reciprocal trade agreement granting eligible Sub-Saharan African states tariff free access to the US-American market. In both the scholarly literature and real-world politics, the threat of AGOA suspension seems to spook African leaders. The exclusion mechanism is highly exploitable and political compliance therefore important to stay included in the agreement. The economic impact of AGOA is however highly limited. This thesis tackles the puzzle of why an agreement with no major economic impact leads to political compliance to the US by its member states. My argument is the limitation of AGOA’s utilization to a capacity-abundant elite, which can afford to overcome the utilization barriers (high transportation costs, permits, etc.) and earn the agreements benefits. Following the elite theory, this benefitting elite is then able to influence its government to comply with US policies, in order for AGOA benefits to retain.Show less

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The African Growth and Opportunity Act (AGOA) and its Implications on Member States' Compliance to US Policy Goals: A process-tracing analysis