Introduction
Regional trade agreements (RTAs) are agreements between two or more countries to reduce or eliminate trade barriers between them. They are intended to promote economic growth and integration by facilitating cross-border trade and investment. The prevalence of RTAs has been steadily increasing in recent decades, with over 300 agreements in existence today. While RTAs can promote global trade by creating larger markets and fostering economic growth, they can also hinder global trade by leading to trade diversion and fragmentation. This essay will evaluate the complex and often contradictory impacts of RTAs on global trade patterns.

Arguments for RTAs Promoting Global Trade
Trade Creation
RTAs can lead to trade creation by reducing trade barriers between member countries. For example, the North American Free Trade Agreement (NAFTA) eliminated tariffs on most goods traded between the United States, Canada, and Mexico, leading to increased trade flows and specialization in production. The removal of tariffs allows for greater efficiency of resource allocation, as countries specialize in the production of goods they have a comparative advantage in, leading to increased trade and economic growth. This can benefit consumers through more competitive prices and a wider variety of goods and services. <a href="https://www.jstor.org/stable/20043621"> [1]</a>
Investment Attraction & Economic Growth
RTAs can attract foreign direct investment (FDI) due to a larger and more integrated market. The removal of trade barriers and increased predictability of trade regulations can create a more attractive environment for businesses to invest in. Increased FDI can lead to economic growth by stimulating investment, creating jobs, and improving productivity. In turn, this economic growth can lead to increased demand for imports from the rest of the world, further promoting global trade.
Stepping Stone to Multilateral Agreements
Some argue that RTAs can act as a stepping stone towards broader trade liberalization. Building trust and cooperation between countries on a regional level can facilitate negotiations for multilateral agreements. By demonstrating the benefits of trade liberalization at a smaller scale, RTAs can create momentum for further trade liberalization across a wider range of countries. <a href="https://www.jstor.org/stable/25156606"> [2]</a>

Arguments for RTAs Hindering Global Trade
Trade Diversion
RTAs can lead to trade diversion, shifting trade away from more efficient producers outside the RTA to less efficient producers within the RTA. This occurs when a country within an RTA imports goods from another member country, even if the same goods could be purchased at a lower cost from a non-member country. This can lead to negative welfare effects, as consumers may pay higher prices for goods and the economy may become less efficient. <a href="https://www.jstor.org/stable/25156606"> [2]</a>
Discrimination & Fragmentation
RTAs can discriminate against countries outside the bloc, creating a complex web of rules and regulations that can increase costs and discourage trade with non-members. This can lead to fragmentation of the global trading system, as different RTAs may have conflicting rules and regulations, making it difficult for businesses to operate across borders. <a href="https://www.jstor.org/stable/41134950"> [3]</a>
Stumbling Block to Multilateralism
The "stepping stone" argument is countered by the idea that RTAs can create vested interests in the status quo, making countries less willing to engage in multilateral negotiations. This is because countries may prefer the benefits of trade liberalization within the RTA, rather than agreeing to more comprehensive trade liberalization with a wider range of countries. This can hinder progress towards broader trade liberalization, ultimately contributing to a more fragmented global trading system.

Conclusion
The impact of RTAs on global trade patterns is complex and often contradictory. While they can promote trade creation and economic growth, they can also lead to trade diversion and fragmentation. The overall impact of an RTA depends heavily on its specific design and implementation, as well as the wider economic context. Further research is needed to assess the specific impacts of different RTAs on global trade patterns, and to develop policies that can maximize the benefits and minimize the drawbacks of these agreements.

Sources:

[1] "The North American Free Trade Agreement: An Economic Assessment" by Gary Clyde Hufbauer and Jeffrey J. Schott (Institute for International Economics, 1993)

[2] "The Impact of Regional Trade Agreements on Global Trade" by Douglas Irwin (Journal of Economic Perspectives, 2005)

[3] "The Rise of Regionalism and the Future of the Multilateral Trading System" by Robert Z. Lawrence (Journal of Economic Perspectives, 1996)