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The terms-of-trade effects from the elimination of state trading in Soviet-Hungarian trade

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  • Oblath, Gabor
  • Tarr, David

Abstract

Given the demise of the CMEA as of January 1, 1991, it is estimated that the terms of trade will move adversely against Hungary by about 30% and impose an income loss on Hungary of about $1.7 billion. The estimates are based on an extensive series of interviews with firms involved in the trade. Compared with traditional methods, this is at least as reliable a method for adjusting for product quality. We assess the estimates and the methodology of others who have provided estimates and evaluate the consequences of a possibly unredeemable surplus in transferable rubles on the terms-of-trade estimates…
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Suggested Citation

  • Oblath, Gabor & Tarr, David, 1992. "The terms-of-trade effects from the elimination of state trading in Soviet-Hungarian trade," Journal of Comparative Economics, Elsevier, vol. 16(1), pages 75-93, March.
    • Handle: RePEc:eee:jcecon:v:16:y:1992:i:1:p:75-93
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    Cited by:

    1. Hinojosa-Ojeda, Raul & Robinson, Sherman & Tesche, Jean, 1992. "Hungary, Austria, and the European Community: A CGE Model of Economic Refrom and Integration," CUDARE Working Papers 198597, University of California, Berkeley, Department of Agricultural and Resource Economics.
    2. Rodrik, Dani, 1992. "Making Sense of the Soviet Trade Shock in Eastern Europe: A Framework and Some Estimates," CEPR Discussion Papers 705, C.E.P.R. Discussion Papers.
    3. Morris Morkre & David Tarr, 2014. "Reforming Hungarian Agricultural Trade Policy: A Quantitative Evaluation," World Scientific Book Chapters, in: APPLIED TRADE POLICY MODELING IN 16 COUNTRIES Insights and Impacts from World Bank CGE Based Projects, chapter 3, pages 49-74, World Scientific Publishing Co. Pte. Ltd..
    4. Dani Rodrik, 1994. "Foreign Trade in Eastern Europe's Transition: Early Results," NBER Chapters, in: The Transition in Eastern Europe, Volume 2, Restructuring, pages 319-356, National Bureau of Economic Research, Inc.
    5. Erzan, Refik & Holmes, Christopher & Safadi, Raed, 1992. "How changes in the former CMEA area may affect international trade in manufactures," Policy Research Working Paper Series 973, The World Bank.
    6. Jean-Charles Asselain & François Bourguignon, 1994. "Convertibilité précoce et protection par le change : un premier bilan de la réinsertion internationale des pays de l'Est," Revue Économique, Programme National Persée, vol. 45(3), pages 833-844.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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