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Trade Performance and Trade Policy in Central and Eastern Europe

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  • Drábek, Zdenek
  • Smith, Alasdair
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    Abstract

    The radical liberalization of foreign trade in Central and Eastern Europe since 1989 has been a key part of the economic reform and has been accompanied by a full-scale geographical reorientation of international trade from East to West. Increased trade with the EU has been associated with remarkably little change in the structure of that trade, which suggests that policy should be oriented towards facilitating rather than slowing industrial adjustment. Future trade policy priorities should include continued liberalization, better coordination of trade and exchange rate policy, the attraction of foreign direct investment, resistance to pressures for selective protection, further development of trade relations with the EU and of intra-regional trade relations, and full participation in the WTO.

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    Bibliographic Info

    Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1182.

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    Date of creation: May 1995
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    Handle: RePEc:cpr:ceprdp:1182

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    Related research

    Keywords: Central and Eastern Europe; Economic Reform; European Integration; Foreign Direct Investment; Trade Liberalization;

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    Cited by:
    1. Ralf Ruhwedel & Michael Funke, 2004. "Trade, Product Variety and Welfare: A Quantitative Assessment for the Transition Economies in Central and Eastern Europe," Quantitative Macroeconomics Working Papers 20401, Hamburg University, Department of Economics.
    2. Hoekman, Bernard & Djankov, Simeon, 1996. "Intra-industry trade, foreign direct investment, and the reorientation of Eastern European exports," Policy Research Working Paper Series 1652, The World Bank.
    3. Eichengreen, Barry & Kohl, Richard, 1998. "The External Sector, the State and Development in Eastern Europe," UCAIS Berkeley Roundtable on the International Economy, Working Paper Series qt22r0x8qk, UCAIS Berkeley Roundtable on the International Economy, UC Berkeley.
    4. Françoise Lemoine, 1996. "Trade Policy and Trade Patterns During Transition: a Comparison Between China and the CEECs," Working Papers 1996-02, CEPII research center.
    5. Yener Kandogan, 2004. "How Much Restructuring did the Transition Countries Experience? Evidence from Quality of their Exports," William Davidson Institute Working Papers Series 2004-637, William Davidson Institute at the University of Michigan.
    6. Chonira Aturupane & Simeon Djankov & Bernard Hoekman, 1999. "Horizontal and vertical intra-industry trade between Eastern Europe and the European union," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 135(1), pages 62-81, March.
    7. Lemoine, Françoise, 1998. "Integrating Central and Eastern Europe In the European Trade and Production Network," UCAIS Berkeley Roundtable on the International Economy, Working Paper Series qt5r66s4ng, UCAIS Berkeley Roundtable on the International Economy, UC Berkeley.
    8. Guerrieri, Paolo, 1998. "Trade Patterns, FDI, and Industrial Restructuring of Central and Eastern Europe," UCAIS Berkeley Roundtable on the International Economy, Working Paper Series qt3bs313rc, UCAIS Berkeley Roundtable on the International Economy, UC Berkeley.
    9. Melanie Lansbury & Nigel Pain & Katerina Smidkova, 1996. "Foreign Direct Investment in Central Europe Since 1990: An Econometric Study," National Institute Economic Review, National Institute of Economic and Social Research, vol. 156(1), pages 104-114, May.
    10. Yener Kandogan, 2003. "The Reorientation of Transition Countries’ Exports: Changes in Quantity, Quality and Variety," William Davidson Institute Working Papers Series 2003-631, William Davidson Institute at the University of Michigan.

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