| Abstract: | The formula to distribute customs, excise and sales tax revenue collected in the Southern African Customs Union (SACU) among the constituent members (South Africa, Botswana, Lesotho, Swaziland) implies that there exists an alternative state of the world with the BLS (Botswana, Lesotho, Swaziland) nations outside SACU in which they would be just as well off in some important senses as if they remained members under the terms of the agreement. This exercise investigates what alternative state of the world in the absence of SACU the revenue distribution formula implies for the BLS area. Sections: Revenue distribution, the Formula - A different interpretation - A brief case study: Botswana. Notes, tab. |