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Effects of Bilateralism and the MFN Clause on International Trade – Evidence for the Cobden-Chevalier Network, (1860-1875)

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  • Markus Lampe

Abstract

This study contributes to a revised picture of nineteenth-century bilateralism. Employing a new disaggregated dataset, it argues that bilateral treaties did not implement general free trade, but instead reduced tariffs unevenly through commodity-specific preferences, especially favoring manufactured goods. Gravity model estimates show that specific liberalizations translated into systematic increases in exports of corresponding items, but not overall trade. Exporters of countries whose governments used bilateralism strategically to bring down partner tariffs benefitted most. Hence, the network in form and outcome is more properly identified with reciprocal liberalization practiced by the French than with British free trade ideology.

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File URL: http://www1.wiwi.uni-muenster.de/cqe/forschung/publikationen/cqe-working-papers/CQE_WP_2_2009.pdf
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Bibliographic Info

Paper provided by Center for Quantitative Economics (CQE), University of Muenster in its series CQE Working Papers with number 0209.

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Length: 42 pages
Date of creation: Feb 2009
Date of revision:
Handle: RePEc:cqe:wpaper:0209

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Keywords: preferential trade agreements; Anglo-French treaty; bilateralism; liberalisation; gravity model;

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References

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Citations

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Cited by:
  1. Antonio Tena Junguito & Markus Lampe & Felipe Tâmega, 2012. "How much trade liberalization was there in the world before and after Cobden-Chevalier?," Working Papers in Economic History wp12-02, Universidad Carlos III, Departamento de Historia Económica e Instituciones.
  2. Stéphane BECUWE & Bertrand BLANCHETON & Léo CHARLES, 2013. "First globalization: Why did France miss the boat?," Cahiers du GREThA 2013-17, Groupe de Recherche en Economie Théorique et Appliquée.
  3. Meissner, Christopher M., 2014. "Growth from Globalization? A View from the Very Long Run," Handbook of Economic Growth, in: Handbook of Economic Growth, edition 1, volume 2, chapter 8, pages 1033-1069 Elsevier.
  4. Stéphane BECUWE (GREThA, CNRS, UMR 5113) & Bertrand BLANCHETON (GREThA, CNRS, UMR 5113), 2012. "The dispersion of customs tariffs in France between 1850 and 1913: discrimination in trade policy," Cahiers du GREThA 2012-13, Groupe de Recherche en Economie Théorique et Appliquée.
  5. Douglas A. Irwin & Kevin H. O'Rourke, . "Coping with Shocks and Shifts: The Multilateral Trading System in Historical Perspective," The Institute for International Integration Studies Discussion Paper Series iiisdp387, IIIS.
  6. Stéphane BECUWE (GREThA, CNRS, UMR 5113) & Bertrand BLANCHETON (GREThA, CNRS, UMR 5113) & Léo CHARLES (GREThA, CNRS, UMR 5113), 2012. "The decline of French trade power during the first globalization (1850-1913)," Cahiers du GREThA 2012-22, Groupe de Recherche en Economie Théorique et Appliquée.
  7. Switgard Feuerstein, 2013. "From the Zollverein to the Economics of Regionalism," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 233(3), pages 367-388, May.
  8. Markus Lampe & Paul Sharp, 2009. "Something Rational in the State of Denmark? The Case of an Outsider in the Cobden-Chevalier Network 1860-1875," Discussion Papers 09-20, University of Copenhagen. Department of Economics.

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