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Walking a Tightrope: World Trade in Manufacturing and the Benefits of Binding

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  • Patrick Messerlin

    (GEM - Groupe d'économie mondiale - Sciences Po - Sciences Po)

Abstract

Negotiators in Geneva are still struggling to conclude the Doha Round of multilateral trade talks at the World Trade Organization (WTO). However, after seven years of negotiations, many people - and especially many industrialists in Europe and the United States - are not convinced that the negotiations are worth the efforts being put into them. These doubts have been fueled by the modesty of recent estimates of the gains on the table in the negotiations on Non-Agricultural Market Access (NAMA). This policy brief argues that a completed Doha Round has more to offer to the U.S. and European private sector than cuts to already low applied industrial tariffs. The real gold mine in the Doha negotiations is the increased certainty that would flow from large cuts to bound tariff rates.

Suggested Citation

  • Patrick Messerlin, 2008. "Walking a Tightrope: World Trade in Manufacturing and the Benefits of Binding," Working Papers hal-00973101, HAL.
    • Handle: RePEc:hal:wpaper:hal-00973101
    Note: View the original document on HAL open archive server: https://sciencespo.hal.science/hal-00973101
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    File URL: https://sciencespo.hal.science/hal-00973101/document
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    Cited by:

    1. Handley, Kyle, 2014. "Exporting under trade policy uncertainty: Theory and evidence," Journal of International Economics, Elsevier, vol. 94(1), pages 50-66.
    2. Hoekman, Bernard & Martin, Will & Mattoo, Aaditya, 2010. "Conclude Doha: it matters!," World Trade Review, Cambridge University Press, vol. 9(3), pages 505-530, July.
    3. Gawande, Kishore & Hoekman, Bernard & Cui, Yue, 2011. "Determinants of trade policy responses to the 2008 financial crisis," Policy Research Working Paper Series 5862, The World Bank.
    4. Wolfe, Robert, 2010. "Endogenous Learning and Consensual Understanding in Multilateral Negotiations: Arguing and Bargaining in the WTO," Working Papers 90885, Canadian Agricultural Trade Policy Research Network.

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