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Risk and Trade Regimes: Another Exploration

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Author Info
Bates, Robert H
Brock, Philip L
Tiefenthaler, Jill

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Abstract

An analysis of a small sample of countries shows that the higher the level of terms-of-trade risk that a nation faces in international markets, the more likely it is to increase barriers. The analysis also shows that the greater the availability of social insurance program mounted by a nation's government, the less likely it is to block free trade. In comparison with the small open economies of Western Europe, therefore, developing countries may remain protectionist because they lack the resources to mount internal programs of transfer payments as a means of coping with risk from international markets. Copyright 1991 by MIT Press.

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Publisher Info
Article provided by MIT Press in its journal International Organization.

Volume (Year): 45 (1991)
Issue (Month): 1 (Winter)
Pages: 1-18
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Handle: RePEc:tpr:intorg:v:45:y:1991:i:1:p:1-18

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  1. Ricardo Hausmann & Michael Gavin, 1996. "Asegurar la estabilidad y el crecimiento en una región propensa a las sacudidas: los retos de políticas para América Latina," RES Working Papers 4021, Inter-American Development Bank, Research Department. [Downloadable!]
  2. Ricardo Hausmann & Michael Gavin, 1996. "Securing Stability and Growth in a Shock Prone Region: The Policy Challenge for Latin America," RES Working Papers 4020, Inter-American Development Bank, Research Department. [Downloadable!]
  3. Kueh, Jerome Swee-Hui & Puah, Chin-Hong & Wong, Chiew-Meu, 2008. "Bounds Estimation for Trade Openness and Government Expenditure Nexus of ASEAN-4 Countries," MPRA Paper 12351, University Library of Munich, Germany. [Downloadable!]
  4. Dani Rodrik, 1996. "Why Do More Open Economies Have Bigger Governments?," NBER Working Papers 5537, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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This page was last updated on 2009-12-2.


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