Protectionism

2020 ◽  
pp. 84-118
Author(s):  
Douglas A. Irwin
Keyword(s):  
Free Trade ◽  
Economic Loss ◽  
Trade Barriers ◽  
Trade Interventions ◽  
Downstream User ◽  
Redistribute Income

This chapter considers the flip side of the case on free trade, in which trade interventions are often misguided and costly. It analyzes tariffs and quotas on imports that inefficiently redistribute income from consumers to producers. It points out how trade barriers produce a net economic loss due to the costs of consumers exceeding the benefits to producers and reduce exports that harm downstream user industries. The chapter also addresses the question of why trade protectionism is often politically attractive. It examines situations in which protection may be justified in theory, even if governments might be ineffective in trying to take advantage of those situations.

The Australia India Proposed Free Trade Agreement and Trade in Agriculture: Opportunities and Challenges

2013 ◽  
pp. 167-197
Author(s):  
Shawkat Alam ◽  
Pundarik Mukhopadhya ◽  
Md. Rizwanul Islam
Keyword(s):  
Free Trade ◽  
Feasibility Study ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
Agricultural Trade ◽  
Domestic Demand ◽  
Trade Barriers ◽  
Export Markets ◽  
Agricultural Exports ◽  
Australian Economy

In 2007, Australia and India began a joint feasibility study to assess the prospect of an Australia-India Free Trade Agreement (FTA). Agriculture will be a crucial negotiation point in any such FTA. Agriculture is a key sector of the Australian economy, and an important and lucrative export, with more than half of the sector’s output exported. The scope of increased domestic demand in agriculture is limited for a significant segment of the sector. Therefore, sustained growth of the industry requires new export markets to be opened. This paper will analyse the prospects of boosting agricultural exports from Australia via the proposed FTA. This paper will assess the tariff and non-tariff barriers in agriculture in India and critically assess how an FTA could reduce these barriers. The benefits of increased liberalisation of agricultural trade in India will also be discussed to demonstrate the mutually beneficial opportunities that reduced trade barriers could provide.

scholarly journals World Trade Organization, Negara Berkembang dan Special and Diferrential Treatment

2015 ◽  
Vol 10 (1) ◽  
Author(s):  
Fatma Muthia Kinanti
Keyword(s):  
Developing Countries ◽  
World Trade Organization ◽  
Free Trade ◽  
World Trade ◽  
Agricultural Sector ◽  
Differential Treatment ◽  
Global Trade ◽  
Trade Barriers ◽  
Global Society ◽  
The Impact

Perdagangan bebas menjadi isu yang semakin menguat dalam pergaulan global saat ini. Berbagai perjanjian baik multilateral, regional dan bilateral yang mengatur mengenai penekanan hambatan perdagangan semakin banyak. WTO sebagai peraturan induk dan merupakan sumber hukum utama dari perdagangan bebas telah berjalan selama lebih dari satu dekade. Sejak pembentukan WTO terbukti bahwa partisipas masyarakat internasional dalam perdagangan global semakin meningkat. Namun, beberapa kritik muncul terutama dari negara berkembang yang merasa belum mendapatkan manfaat dari perdagangan bebas. Isu ini kemudian muncul dalam negosiasi WTO yang menghasilkan konsep Special and Differential Treatment (SDT) yang diadopsi dalam ketentuan-ketentuan WTO. Penelitian ini mengangkat tema besar mengenai ketentuan-ketentuan dan kerjasama WTO yang mencerminkan perdagangan bebas dan kaitannya dengan negara berkembang. Beberapa hal yang disorot adalah bagaimana pengaturan dalam WTO terkait perlakuan berbeda (Special and Differentiated Treatment) yang diberikan kepada negara-negara berkembang. Selain itu penelitian ini difokuskan juga untuk menganalisis diferensiasi antara negara-negara berkembang dalam WTO. Kemudian, analisis difokuskan terhadap peran dan dampak Doha Development dan Bali Round terkait negara berkembang terutama di sektor agrikultur dan dampak adanya diferensiasi dari negara berkembang.<br /><br />Free trade is an issue that has gained strength in today’s global society. Various multilateral treaties, regional and bilateral governing the suppression of trade barriers more. WTO as a central rule and is the main legal source of free trade has been running for more than a decade. Since the establishment of the WTO proved that the participation and the international community in global trade is increasing. However, some criticism arose primarily from developing countries that have not benefited from free trade. This issue arises in WTO negotiations that resulted in the concept of Special and Differential Treatment (SDT), which was adopted in the WTO provisions. This study raised the major themes of the provisions of the WTO and cooperation that reflects the free trade and its relation to developing countries. Some of the things highlighted was how the settings related to differential treatment in the WTO granted to developing countries. In addition, research is focused also to analyze the differentiation between developing countries in the WTO. Then, the analysis focused on the role and impact of the Doha Development Round and Bali related to developing countries, particularly in the agricultural sector and the impact of the differentiation of developing countries.<br /><br />

The Effect of Binding Commitments on Services Trade

2019 ◽  
Vol 19 (3) ◽  
pp. 365-378 ◽  
Author(s):  
Dan Ciuriak ◽  
Ali Dadkhah ◽  
Dmitry Lysenko
Keyword(s):  
Free Trade ◽  
Market Access ◽  
Free Trade Agreements ◽  
Trade Agreement ◽  
Trade Agreements ◽  
Trade Barriers ◽  
Trade Restrictions ◽  
Services Trade ◽  
The Difference ◽  
Trade Of Services

AbstractIt has long been established in theory that uncertainty impacts on firm behaviour. However, the empirical basis for quantifying the uncertainty-reducing effects of trade agreements has not been firmly established. In this paper, we develop estimates of the effect of reducing uncertainty regarding regulation of foreign services markets by making commitments that are bound under a trade agreement. Specifically, we identify the effect on services trade of services trade restrictions, as measured by the OECD's Services Trade Restrictiveness Index (STRI), and the separate effect of ‘water’ in binding commitments, as assessed by the difference between countries’ commitments under the General Agreement on Trade in Services (GATS) or free trade agreements (FTAs) and applied levels of market access, as captured by STRI scores. Using a gravity model, we find that services trade responds positively but inelastically to reductions in services trade barriers, as measured by the STRI and, in our preferred regression, the response to actual restrictions is more than twice – specifically 2.4 times – as strong as the response to comparable reductions in uncertainty, as measured by water. Moving from GATS commitments to FTA commitments leads to a 4.7% increase in services trade because of the reduction in uncertainty.

Justice and Trade

2012 ◽  
Author(s):  
Mathias Risse
Keyword(s):  
Human Rights ◽  
International Trade ◽  
Free Trade ◽  
Trade Barriers ◽  
Trade Theory ◽  
Principles Of Justice ◽  
Gains And Losses

This chapter examines what justice requires for international trade. It considers two problems: first, what follows about trade from the human rights–oriented principles already discussed, and second, whether any new and distinct principles of justice arise out of the fact that we live in a world of multiple states where there is trade across borders. Trade theory supports free trade: barriers like tariffs and quotas obstruct mutually beneficial transactions. Countries should undo them, even unilaterally. The chapter first asks whether there are any independent principles of justice having to do with the distribution of gains and losses from trade, both among and within states. It then explores the question of subsidies and what arguments are available in support of those who ask their government for subsidies. It also explains how talk about justice maps into talk about fairness.

scholarly journals Capital Abundance and Its Consequences for Trade Policy

2019 ◽  
Vol 54 (5) ◽  
pp. 275-279 ◽  
Author(s):  
Carl Christian von Weizsäcker
Keyword(s):  
Nash Equilibrium ◽  
Trade Policy ◽  
Free Trade ◽  
Trade Barriers

Abstract Protectionist moves may be countered by reference to the conundrum of capital scarcity. In a world in which unilateral imposition of trade barriers are a looming possibility, capital scarcity may nevertheless imply that free trade is a kind of Nash equilibrium.

scholarly journals Women at the Frontline of COVID-19: Can Gender Mainstreaming in Free Trade Agreements Help?

2020 ◽  
Vol 23 (3) ◽  
pp. 563-582
Author(s):  
Amrita Bahri*
Keyword(s):  
Free Trade ◽  
Free Trade Agreements ◽  
Economic Loss ◽  
Trade Agreements ◽  
Social Consequences ◽  
Gender Mainstreaming ◽  
Gender Inequalities ◽  
Trade Restrictions ◽  
Global Recession ◽  
Women's Participation

ABSTRACT Health pandemics affect women and men differently, and they can make the existing gender inequalities much worse. COVID-19 is one such pandemic, which can have substantial gendered implications both during and in the post-pandemic world. Its economic and social consequences could deepen the existing gender inequalities and roll back the limited gains made in respect of women empowerment in the past few decades. The impending global recession, multiple trade restrictions, economic lockdown, and social distancing measures can expose vulnerabilities in social, political, and economic systems, which, in turn, could have a profound impact on women’s participation in trade and commerce. The article outlines five main reasons that explain why this health pandemic has put women employees, entrepreneurs, and consumers at the frontline of the struggle. It then explores how free trade agreements can contribute in repairing the harm in the post-pandemic world. In doing so, the author sheds light on various ways in which the existing trade agreements embrace gender equality considerations and how they can be better prepared to help minimize the pandemic-inflicted economic loss to women.

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