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On Uniform Import Tariffs in Developing Countries

Sebastian Edwards

No 3347, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The purpose of this paper is to theoretically assess, from a welfare perspective, the desirability of uniform import tariffs. Since the eruption of the debt crisis, many proposals for structural reforms in the developing countries have contemplated a trade liberalization process that would create a low and uniform tariff structure. In this paper I review the literature on the subject and construct a general equilibrium model to evaluate the consequences of alternative structural adjustment policies. Throughout the analysis it is assumed that labor markets and nontradables markets are subject to some distortions.

Date: 1990-05
Note: ITI IFM
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