What we do and don’t know about trade liberalization and poverty reduction
AbstractStrong opinions about the impact of globalization on poverty are not always backed by robust factual evidence. As argued in this paper, however, it is not all that easy to lay our hands on ‘robust’ facts. Quantitative analyses of trade liberalization appear highly sensitive to basic modelling and parameter assumptions. Altering these could turn the expectation that, for instance, Africa’s poor stand to gain from further trade opening under the Doha Round into one in which they would stand to lose. Most studies agree though that trade opening probably adds to aggregate welfare, but gains are small and unevenly distributed.
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Bibliographic InfoPaper provided by United Nations, Department of Economics and Social Affairs in its series Working Papers with number 50.
Length: 17 pages
Date of creation: Aug 2007
Date of revision:
computable general equilibrium models; trade policy; economic integration; trade and labour market interactions; welfare and poverty; international linkages to development; foreign exchange policy;
Find related papers by JEL classification:
- C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- F15 - International Economics - - Trade - - - Economic Integration
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
- O19 - Economic Development, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
- O24 - Economic Development, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
This paper has been announced in the following NEP Reports:
- NEP-AFR-2007-08-18 (Africa)
- NEP-ALL-2007-08-18 (All new papers)
- NEP-DEV-2007-08-18 (Development)
- NEP-PKE-2007-08-18 (Post Keynesian Economics)
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