International trade in natural resources: Practice and policy
Natural resources account for 20% of world trade, and dominate the exports of many countries. Policy is used to manipulate both international and domestic prices of resources, yet this policy is largely outside the disciplines of the WTO. The instruments used include export taxes, price controls, production quotas, and domestic producer and consumer taxes (equivalent to trade taxes if no domestic production is possible). We review the literature, and argue that the policy equilibrium is inefficient. This inefficiency is exacerbated by market failure in long run contracts for exploration and development of natural resources. Properly coordinated policy reforms offer an avenue to resource exporting and importing countries to overcome these inefficiencies and obtain mutual gains.
|Date of creation:||Mar 2012|
|Date of revision:|
|Contact details of provider:|| Postal: Centre for Economic Policy Research, 77 Bastwick Street, London EC1V 3PZ.|
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Martin, Will & Anderson, Kym, 2011.
"Export restrictions and price insulation during commodity price booms,"
Policy Research Working Paper Series
5645, The World Bank.
- Will Martin & Kym Anderson, 2012. "Export Restrictions and Price Insulation During Commodity Price Booms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(2), pages 422-427.
- Anderson, Kym & Martin, Will, 2011. "Export Restrictions and Price Insulation During Commodity Price Booms," CEPR Discussion Papers 8494, C.E.P.R. Discussion Papers.
- Collier, Paul & Venables, Tony, 2010.
"International rules for trade in natural resources,"
WTO Staff Working Papers
ERSD-2010-06, World Trade Organization (WTO), Economic Research and Statistics Division.
- Collier Paul & Venables Anthony J., 2010. "International Rules for Trade in Natural Resources," Journal of Globalization and Development, De Gruyter, vol. 1(1), pages 1-19, January.
- Paul Collier & Anthony J Venables, 2009. "International Rules for Trade in Natural Resources," OxCarre Working Papers 032, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.
- Karp, Larry & Sacheti, Sandeep & Zhao, Jinhua, 2001.
"Common Ground between Free-Traders and Environmentalists,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 42(3), pages 617-47, August.
- Karp, Larry & Sacheti, Sandeep, 1997. "Common Ground Between Free-traders and Environmentalists," CEPR Discussion Papers 1598, C.E.P.R. Discussion Papers.
- Zhao, Jinhua & Karp, Larry & Sacheti, Sandeep, 2001. "Common Ground Between Free-Traders and Environmentalists," Staff General Research Papers 5138, Iowa State University, Department of Economics.
- Karp, Larry & Sacheti, Sandeep & Zhao, Jinhua, 1999. "Common ground between free-traders and environmentalists," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt7jw3t8pw, Department of Agricultural & Resource Economics, UC Berkeley.
- Bouet, Antoine & Laborde Debucquet, David, 2010. "Economics of export taxation in a context of food crisis," IFPRI discussion papers 994, International Food Policy Research Institute (IFPRI).
- Pedro A. Almoguera & Christopher C. Douglas & Ana María Herrera, 2011. "Testing for the cartel in OPEC: non-cooperative collusion or just non-cooperative?," Oxford Review of Economic Policy, Oxford University Press, vol. 27(1), pages 144-168, Spring.
- Jean-Philippe Stijns, 2003. "An Empirical Test of the Dutch Disease Hypothesis using a Gravity Model of Trade," International Trade 0305001, EconWPA.
- Radetzki,Marian, 2008. "A Handbook of Primary Commodities in the Global Economy," Cambridge Books, Cambridge University Press, number 9780521880206, June.
- Teece, David J. & Sunding, David & Mosakowski, Elaine, 1993. "Natural resource cartels," Handbook of Natural Resource and Energy Economics, in: A. V. Kneese† & J. L. Sweeney (ed.), Handbook of Natural Resource and Energy Economics, edition 1, volume 3, chapter 24, pages 1131-1166 Elsevier.
- Gérard Gaudet, 2007. "Natural resource economics under the rule of Hotelling," Canadian Journal of Economics, Canadian Economics Association, vol. 40(4), pages 1033-1059, November.
- Blanchard, Olivier J & Galí, Jordi, 2008.
"The Macroeconomic Effects of Oil Shocks: Why are the 2000s so Different from the 1970s?,"
CEPR Discussion Papers
6631, C.E.P.R. Discussion Papers.
- Olivier J. Blanchard & Jordi Gali, 2007. "The Macroeconomic Effects of Oil Shocks: Why are the 2000s So Different from the 1970s?," NBER Working Papers 13368, National Bureau of Economic Research, Inc.
- Eyal Dvir & Kenneth S. Rogoff, 2009. "Three Epochs of Oil," NBER Working Papers 14927, National Bureau of Economic Research, Inc.
- Paolo E. Giordani & Nadia Rocha & Michele Ruta, 2012.
"Food Prices and the Multiplier Effect of Export Policy,"
CESifo Working Paper Series
3783, CESifo Group Munich.
- Giordani, Paolo E. & Rocha, Nadia & Ruta, Michele, 2012. "Food prices and the multiplier effect of export policy," WTO Staff Working Papers ERSD-2012-08, World Trade Organization (WTO), Economic Research and Statistics Division.
- Paolo E. Giordani & Nadia Rocha & Michele Ruta, 2012. "Food Prices and the Multiplier Effect of Export Policy," Working Papers LuissLab 1297, Dipartimento di Economia e Finanza, LUISS Guido Carli.
- repec:idb:brikps:59538 is not listed on IDEAS
- James L. Smith, 2003.
"Inscrutable OPEC? Behavioral Tests of the Cartel Hypothesis,"
0305, Massachusetts Institute of Technology, Center for Energy and Environmental Policy Research.
- James L. Smith, 2005. "Inscrutable OPEC? Behavioral Tests of the Cartel Hypothesis," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 51-82.
- Krugman, Paul, 1987. "The narrow moving band, the Dutch disease, and the competitive consequences of Mrs. Thatcher : Notes on trade in the presence of dynamic scale economies," Journal of Development Economics, Elsevier, vol. 27(1-2), pages 41-55, October.
- Frederick van der Ploeg & Steven Poelhekke, 2009. "Volatility and the natural resource curse," Oxford Economic Papers, Oxford University Press, vol. 61(4), pages 727-760, October.
- Lutz Kilian & Daniel P. Murphy, 2014.
"The Role Of Inventories And Speculative Trading In The Global Market For Crude Oil,"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 29(3), pages 454-478, 04.
- Kilian, Lutz & Murphy, Daniel P, 2010. "The Role of Inventories and Speculative Trading in the Global Market for Crude Oil," CEPR Discussion Papers 7753, C.E.P.R. Discussion Papers.
- Headey, Derek D., 2010. "Rethinking the global food crisis," IFPRI discussion papers 958, International Food Policy Research Institute (IFPRI).
- Daniel Lederman & William F. Maloney, 2007.
"Natural Resources : Neither Curse nor Destiny,"
World Bank Publications,
The World Bank, number 7183, April.
- Anthony J. Venables & William Maloney & Ari Kokko & Claudio Bravo Ortega & Daniel Lederman & Roberto Rigobón & José De Gregorio & Jesse Czelusta & Shamila A. Jayasuriya & Magnus Blomström & L. Colin X, 2007. "Natural Resources: Neither Curse nor Destiny," IDB Publications (Books), Inter-American Development Bank, number 59538 edited by William Maloney & Daniel Lederman, June.
- Sterner, Thomas, 2007. "Fuel taxes: An important instrument for climate policy," Energy Policy, Elsevier, vol. 35(6), pages 3194-3202, June.
- Collier, Paul & Venables, Anthony J., 2011. "Illusory revenues: Import tariffs in resource-rich and aid-rich economies," Journal of Development Economics, Elsevier, vol. 94(2), pages 202-206, March.
- Sachs, J-D & Warner, A-M, 1995.
"Natural Resource Abundance and Economic Growth,"
517a, Harvard - Institute for International Development.
- Davis, Graham A., 2010. "Trade in mineral resources," WTO Staff Working Papers ERSD-2010-01, World Trade Organization (WTO), Economic Research and Statistics Division.
- Tobias N. Rasmussen & Agustin Roitman, 2011. "Oil Shocks in a Global Perspective; Are they Really That Bad?," IMF Working Papers 11/194, International Monetary Fund.
- Ralph Ossa, 2011. "A "New Trade" Theory of GATT/WTO Negotiations," Journal of Political Economy, University of Chicago Press, vol. 119(1), pages 122 - 152.
- Eyal Dvir & Ken Rogoff, 2009. "The Three Epochs of Oil," Boston College Working Papers in Economics 706, Boston College Department of Economics.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:8903. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.