Neutrality and Export Promotion: Issues, Evidence and Policy Implications

  • Chris Milner
  • Andrew McKay
Chapter

Abstract

In one of Bhagwati’s many important contributions on trade and development, he posed the following question:

What exactly is meant by an export-promoting trade strategy? Unless we are clear on that critical question, we cannot properly debate the merits of the strategy and its alternatives. Clarification of the question is therefore important, especially as the everyday usage of this phrase evokes many different notions that are wholly unrelated. (Bhagwati, 1990, p. 17)

Keywords

Real Exchange Rate Trade Strategy Income Effect Import Substitution Commercial Policy 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
This is a preview of subscription content, log in to check access.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Balassa, B. et al. (1982), Development Strategies in Semi-Industrialised Countries (Washington: World Bank).Google Scholar
  2. Bautista, R.M. (1987), Production Incentives in Philippine Agriculture: Effects of Trade and Exchange Rate Policies, Research Report 59 (Washington, DC: International Food Policy Research Institute).Google Scholar
  3. Bhagwati, J.N. (1968), The Theory and Practice of Commercial Policy, Princeton University, Frank D. Graham Memorial Lecture.Google Scholar
  4. Bhagwati, J.N. (1988), ‘Export Promoting Trade Strategy: Issues and Evidence’, World Bank Research Observer, vol 3, pp. 22–58.CrossRefGoogle Scholar
  5. Bhagwati, J.N. (1990), ‘Export-promoting Trade Strategy: Issues and Evidence’, in C.R. Milner, ed., Export Promotion Strategies: Theory and Evidence from Developing Countries (New York: New York University Press).Google Scholar
  6. Chen, L.L. and Devereux, J. (1994), ‘Protection, Export Promotion and Development’, Journal of Development Economics, vol. 43, pp. 387–95.CrossRefGoogle Scholar
  7. Clague, C. and Greenaway, D. (1994), ‘Incidence Theory, Specific Factors and the Augmented Heckscher-Ohlin Model’, Economic Record, vol. 70, pp. 36–43.CrossRefGoogle Scholar
  8. Connolly, M. and Devereux, J. (1992), ‘Commercial Policy, the Terms of Trade and Real Exchange Rates’, Oxford Economic Papers, vol. 44, pp. 507–12.Google Scholar
  9. Dabee, B. and Milner, C.R. (1995), ‘Evaluating Trade Liberalisation in Mauritius’, mimeo, University of Nottingham.Google Scholar
  10. Diaz, D.B. (1980), The Effects of Commercial Policy in El Salvador: An Estimate of The True Tariffand True Subsidy, PhD thesis (Geneva: Institute Universitaire des Hautes Etudes Internationales).Google Scholar
  11. Dixit, A.K. and Norman, V. (1980), Theory of International Trade (Cambridge: Cambridge University Press).CrossRefGoogle Scholar
  12. Dornbusch, R. (1974), ‘Tariffs and Nontraded Goods’, Journal of International Economics, vol. 4, pp. 177–85.CrossRefGoogle Scholar
  13. Edwards, S. and van Wijnbergen, S. (1987), Tariffs, the Real Exchange Rate and the Terms of Trade: On Two Popular Propositions in International Trade, Oxford Economic Papers, vol. 39, pp. 458–64.Google Scholar
  14. Fendt, R. (1981), ‘Brazilian Trade Liberalization: A Reassessment’, in L.A. Sjaastad, ed., The Free Trade Movement in Latin America (London: Macmillan Press for the Trade Policy Research Centre).Google Scholar
  15. Garcia, J.G. (1981), The Effects of Exchange Rates and Commercial Policy on Agricultural Incentives in Colombia: 1953–1978, Research Report 24 (Washington DC: International Food Policy Research Institute).Google Scholar
  16. Greenaway, D. (1989), ‘Commercial Policy and Policy Conflict: An Evaluation of the Incidence of Protection in a Non-industrialised Economy’, Manchester School, vol. 57, pp. 125–41.CrossRefGoogle Scholar
  17. Greenaway, D. and Milner, C.R. (1986), ‘Estimating the Shifting of Protection across Sectors: An Application to Mauritius’, Industry and Development, vol. 16, pp. 1–23.Google Scholar
  18. Greenaway, D. and Milner, C.R. (1987), ‘True Protection Concepts and their Use in Evaluating Commercial Policy in Developing Countries’, Journal of Development Studies, vol. 23, pp. 200–19.CrossRefGoogle Scholar
  19. Greenaway, D. and Milner, C.R. (1988), ‘Intra-industry Trade and the Shifting of Protection across Sectors’, European Economic Review, vol. 32, pp. 927–45.CrossRefGoogle Scholar
  20. Greenaway, D. and Nam, C.H. (1988), ‘Industrialisation and Macroeconomic Performance in Developing Countries, under Alternative Liberalisation Scenarios’, Kyklos, vol. 41, pp. 419–45.CrossRefGoogle Scholar
  21. Kim, J.D. (1991), The Incidence of Protection: The Case of Korea, mimeo (The University of Chicago).Google Scholar
  22. Liang, N. (1992), ‘Beyond Import Substitution and Export Promotion: A New Typology of Trade Strategies’, Journal of Development Studies, vol. 28, pp. 447–72.CrossRefGoogle Scholar
  23. Maxwell Stamp (1993), Study of the Effectiveness of Policies, Facilities and Incentives for Investment Promotion in Uganda (London: Maxwell Stamp).Google Scholar
  24. Milner, C.R. (1990), ‘Identifying and Quantifying Anti-Export Bias: The Case of Cameroon’, Weltwirtschaftliches Archiv, vol. 126, no. 1, pp. 142–55.CrossRefGoogle Scholar
  25. Milner, C.R. (1994a), ‘Trade Strategy and Revealed Trade Bias: An Evaluation for a Small Industrializing Economy’, World Development, vol. 22, pp. 587–99.CrossRefGoogle Scholar
  26. Milner, C.R. (1994b), ‘The Impact of Southern Regional Trading Arrangements on Trade Regime Bias: Some Evidence for CARICOM’, Journal of Economic Integration, vol. 9, pp. 327–45.CrossRefGoogle Scholar
  27. Oyejide, T.A. (1986), The Effects of Trade and Exchange Rate Policies on Agriculture in Nigeria, Research Report 55 (Washington DC: International Food Policy Research Institute).Google Scholar
  28. Singer, H.W. (1988), ‘The World Development Report 1987 on the Blessings of Outward Orientation: A Necessary Correction’, Journal of Development Studies, vol. 24, pp. 232–6.CrossRefGoogle Scholar
  29. Sjaastad, L. (1980a), ‘Commercial Policy, “True” Tariffs and Relative Prices’, in J. Black and B. Hindley, eds, Current Issues in Commercial Policy and Diplomacy (London: Macmillan).Google Scholar
  30. Sjaastad, L. (1980b), Commercial Policy Reform in Argentina: Implications and Consequences, mimeo (CEMA).Google Scholar
  31. Sjaastad, L. (1980c), The Incidence of a Uniform Tariff in Uruguay, mimeo (The University of Chicago).Google Scholar
  32. Sjaastad, L. (1984), ‘Commercial Policy for Panama in the 1980s’, in M.J. Boskin, ed., Modern Developments in Public Finance: Essays in Honor of Arnold Harberger (Oxford: Basil Blackwell).Google Scholar
  33. Sjaastad, L. and Clements, K. (1981), ‘The Incidence of Protection: Theory and Measurement’, mimeo, University of Chicago.Google Scholar
  34. Tshibaka, T.B. (1986), The Effects of Trade and Exchange Rate Policies on Agriculture in Zaire, Research Report 56 (Washington DC: International Food Policy Research Institute).Google Scholar
  35. World Bank (1987), World Development Report, 1987 (Washington, DC).Google Scholar

Copyright information

© V. N. Balasubramanyam and D. Greenaway 1996

Authors and Affiliations

  • Chris Milner
  • Andrew McKay

There are no affiliations available

Personalised recommendations