Trade and Industrial Policy in Developing Countries: A by David Greenaway

By David Greenaway

Combines alternate coverage conception with methods of measuring the consequences of coverage interventions, and identifies the most strengths and weaknesses of alternative financial ways to degree the constitution of the prices of creation. The booklet deals empirical proof and a evaluate of case research experience.

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Extra resources for Trade and Industrial Policy in Developing Countries: A Manual of Policy Analysis

Example text

As indicated above, many market imperfections have been alleged but we will consider briefly the most influential (in the context of structuralism), namely terms of trade decline, export instability, pervasive infant 46 Trade and Development industries and a maldistribution of the gains from trade. In terms of explaining the revealed preference of so many developing countries for inward orientation, these are the most important. Terms of trade decline The allegation that developing countries are faced with a secular tendency towards declining terms of trade can be traced back to the influential contributions of Singer (1950) and Prebisch (1950)- hence the nomenclature 'the Singer - Prebisch thesis'.

In terms of explaining the revealed preference of so many developing countries for inward orientation, these are the most important. Terms of trade decline The allegation that developing countries are faced with a secular tendency towards declining terms of trade can be traced back to the influential contributions of Singer (1950) and Prebisch (1950)- hence the nomenclature 'the Singer - Prebisch thesis'. The argument is grounded in a simple 2 x 2 x 2 north-south model of the world economy. Southern developing countries are labour abundant, primary products are labour intensive, thus southern countries specialise in and export primary products.

As indicated above, many market imperfections have been alleged but we will consider briefly the most influential (in the context of structuralism), namely terms of trade decline, export instability, pervasive infant 46 Trade and Development industries and a maldistribution of the gains from trade. In terms of explaining the revealed preference of so many developing countries for inward orientation, these are the most important. Terms of trade decline The allegation that developing countries are faced with a secular tendency towards declining terms of trade can be traced back to the influential contributions of Singer (1950) and Prebisch (1950)- hence the nomenclature 'the Singer - Prebisch thesis'.

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