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Global Effects of Developed Country Trade Restrictions on Textiles and Apparel

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  • Trela, Irene
  • Whalley, John

Abstract

This paper uses an applied general equilibrium model to analyze the impacts of quota and tariff restrictions used by developed countries against textile and clothing imports from developing countries. In the model, countries are represented by their actual size in terms of GDP, weakening rent transfer effects compared to partial equilibrium analysis. Results, based on 1986 data, suggest annual global gains from elimination of quotas and tariffs of around $23 billion. In aggregate, developing countries gain around $8 billion, suggesting that gains to developing countries from improved access more than offset losses from foregone rent transfers as quotas and tariffs are abolished. Copyright 1990 by Royal Economic Society.

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Bibliographic Info

Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 100 (1990)
Issue (Month): 403 (December)
Pages: 1190-1205

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Handle: RePEc:ecj:econjl:v:100:y:1990:i:403:p:1190-1205

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Cited by:
  1. George Verikios, 2006. "Understanding the World Wool Market: Trade, Productivity and Grower Incomes. Part 1: Introduction," Economics Discussion / Working Papers 06-19, The University of Western Australia, Department of Economics.
  2. Sally Baden, 2002. "Trade Policy, Retail Markets and Value Chain Restructuring in the EU Clothing Sector," PRUS Working Papers 09, Poverty Research Unit at Sussex, University of Sussex.
  3. Morris Morkre & David Tarr, 1995. "Reforming Hungarian agricultural trade policy: A quantitative evaluation," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 131(1), pages 106-131, March.
  4. De Santis, Roberto A., 1997. "Why exporting countries agree voluntary export restraints: The oligopolistic power of the foreign supplier," Kiel Working Papers 841, Kiel Institute for the World Economy.
  5. Sonali Jain-Chandra & A. Prasad, 2005. "The Impacton India of Trade Liberalization in the Textiles and Clothing Sector," IMF Working Papers 05/214, International Monetary Fund.
  6. Kenneth Hanson & Kenneth Reinert, 1997. "The Distributional Effects of U.S. Textile and Apparel Protection," International Economic Journal, Taylor & Francis Journals, vol. 11(3), pages 1-12.
  7. Krishna, Kala & Martin, Will & Tan, Ling Hui, 1997. "Imputing license prices: limitations of a cost-based approach," Journal of Development Economics, Elsevier, vol. 52(2), pages 355-374, April.
  8. Skripnitchenko, Anatoliy & Abbott, Philip C., 2003. "Preferential Trade Arrangements In Apparel Exports From The Caribbean To The U.S.: A Dynamic Investment Approach," 2003 Annual meeting, July 27-30, Montreal, Canada 21977, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  9. Shui, Shangnan & Wohlgenant, M. & Beghin, John C., 1993. "Policy Implications of Textile Trade Management and The U.S. Cotton Industry," Staff General Research Papers 1600, Iowa State University, Department of Economics.
  10. Eric Hutton & John Whalley, 1994. "Reference Point Dependence for Specification Bias from Quality Upgrading," NBER Working Papers 4816, National Bureau of Economic Research, Inc.
  11. Afia Malik, 2000. "Demand For Textile And Clothing Exports Of Pakistan," PIDE-Working Papers 2000:180, Pakistan Institute of Development Economics.
  12. Faini, Riccardo & de Melo, Jaime & Takacs, Wendy, 1993. "A primer on the MFA maze," Policy Research Working Paper Series 1088, The World Bank.
  13. Perroni, C. & Wigle, R.M. & Nguyen, T.T., 1996. "Uraguay Round Impacts on Canada," Working Papers 96004, Wilfrid Laurier University, Department of Economics.
  14. George Verikios, 2007. "Modelling the World Wool Market: A Hybrid Approach," Economics Discussion / Working Papers 07-18, The University of Western Australia, Department of Economics.
  15. Attiya Y. Javed & Haseeb Ahmad Bhatti, 2000. "How to Live in a Textile Quota-free World," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 39(4), pages 609-628.
  16. Rehbein, Kathleen & Starks, Laura T., 1995. "Changes in U.S. trade policies: the wealth effects on Japanese steel firms," Japan and the World Economy, Elsevier, vol. 7(3), pages 309-327, September.
  17. Spinanger, Dean, 1995. "Prosperity for all? Real adjustment in the MFA complex after Marrakech," Kiel Working Papers 681, Kiel Institute for the World Economy.
  18. Peter Walkenhorst, 2004. "Liberalising Trade in Textiles and Clothing: A Survey of Quantitative Studies," International Trade 0401007, EconWPA.

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