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Import protection and export performance: Their impact on economic growth

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  • Heitger, Bernhard

Abstract

For a long time economists have been presuming a strong and positive relationship between a country's engagement in international trade and its economic performance. Already Adam Smith stressed the importance of trade as a means of widening markets, thereby increasing the division of labour and thus raising the level of productivity; John Stuart Mill on the other side laid greater emphasis on the dynamic effects of international trade (called indirect effects) . Thus it was generally believed that countries with a high engagement in international trade perform much better than countries that protect their home markets - the latter not being able to make use of the benefits of trade as a source of economic growth.

Suggested Citation

  • Heitger, Bernhard, 1986. "Import protection and export performance: Their impact on economic growth," Kiel Working Papers 260, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:260
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    References listed on IDEAS

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    1. Bela Balassa, 1965. "Tariff Protection in Industrial Countries: An Evaluation," Journal of Political Economy, University of Chicago Press, vol. 73(6), pages 573-573.
    2. Michaely, Michael, 1977. "Exports and growth : An empirical investigation," Journal of Development Economics, Elsevier, vol. 4(1), pages 49-53, February.
    3. Riedel, James, 1984. "Trade as the Engine of Growth in Developing Countries, Revisited," Economic Journal, Royal Economic Society, vol. 94(373), pages 56-73, March.
    4. Voivodas, Constantin S., 1973. "Exports, foreign capital inflow and economic growth," Journal of International Economics, Elsevier, vol. 3(4), pages 337-349, November.
    5. Black, J, 1970. "Trade and the Natural Growth Rate," Oxford Economic Papers, Oxford University Press, vol. 22(1), pages 13-23, March.
    6. Lewis, W Arthur, 1980. "The Slowing Down of the Engine of Growth," American Economic Review, American Economic Association, vol. 70(4), pages 555-564, September.
    7. Jagdish N. Bhagwati, 1978. "Anatomy of Exchange Control Regimes," NBER Chapters, in: Foreign Trade Regimes and Economic Development: Anatomy and Consequences of Exchange Control Regimes, pages 7-52, National Bureau of Economic Research, Inc.
    8. Lubitz, Raymond, 1973. "Export-Led Growth in Industrial Economies," Kyklos, Wiley Blackwell, vol. 26(2), pages 307-321.
    9. Manoucher Parvin, 1975. "Technological Adaptation, Optimum Level of Backwardness and the Rate of per Capita Income Growth: An Econometric Approach," The American Economist, Sage Publications, vol. 19(1), pages 23-31, March.
    10. Feder, Gershon, 1983. "On exports and economic growth," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 59-73.
    11. Robert Summers & Alan Heston, 1984. "Improved International Comparisons Of Real Product And Its Composition: 1950–1980," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 30(2), pages 207-219, June.
    12. Jagdish N. Bhagwati, 1978. "Foreign Trade Regimes and Economic Development: Anatomy and Consequences of Exchange Control Regimes," NBER Books, National Bureau of Economic Research, Inc, number bhag78-1, March.
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    Cited by:

    1. Harrison, Ann, 1996. "Openness and growth: A time-series, cross-country analysis for developing countries," Journal of Development Economics, Elsevier, vol. 48(2), pages 419-447, March.
    2. Joshua J. Lewer & Hendrik Van den Berg, 2003. "How Large Is International Trade’s Effect on Economic Growth?," Journal of Economic Surveys, Wiley Blackwell, vol. 17(3), pages 363-396, July.
    3. Donges, Juergen B., 1986. "Whither international trade policies? Worries about continuing protectionism," Kiel Discussion Papers 125, Kiel Institute for the World Economy (IfW Kiel).
    4. Donges, Juergen B., 1987. "Trade protectionism and international monetary order: Recalling the relevance of past experience," Kiel Working Papers 304, Kiel Institute for the World Economy (IfW Kiel).
    5. Giersch, Herbert, 1986. "Internal and external liberalisation for faster growth," Kiel Working Papers 275, Kiel Institute for the World Economy (IfW Kiel).

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