The empirics of trade and growth: where are the policy recommendations?

Klaus Wälde () and Christina Wood
Authors registered in the RePEc Author Service: Klaus Wälde

International Economics and Economic Policy, 2004, vol. 1, issue 2, 275-292

Abstract: Existing literature repeatedly documented a strong correlation between trade and growth. It has also shown a causal effect of imports (though not necessarily exports) on growth in simultaneous equation models but to a lesser extent in Granger-causality tests. Export and import taxes have sometimes been found to negatively affect growth. Drawing policy conclusions from these general findings for a particular country is difficult not only because of the contradictory results but also because of potential second best world effects and the implied endogeneity of trade policy. Policy recommendations for a specific country require a careful analysis of market and institutional arrangements and can not be based on the existing cross-country literature. Copyright Springer-Verlag Berlin Heidelberg 2004

Keywords: Theoretical and Empirical Trade and Growth Studies; Policy Recommendations; F13 Commercial Policy; Protection; Promotion; Trade Negotiations; O1 Economic Development (search for similar items in EconPapers)
Date: 2004
References: Add references at CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
http://hdl.handle.net/10.1007/s10368-004-0016-7 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: The Empirics of Trade and Growth: Where are the Policy Recommendations ? (2004)
Working Paper: The empirics of trade and growth: where are the policy recommendations? (2004)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:iecepo:v:1:y:2004:i:2:p:275-292

Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/10368/PS2

DOI: 10.1007/s10368-004-0016-7

Access Statistics for this article

International Economics and Economic Policy is currently edited by Paul J.J. Welfens, Holger C. Wolf, Christian Pierdzioch and Christian Richter

More articles in International Economics and Economic Policy from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().