Download or read book Foregin Owned Capitol and Endogenous Tariffs written by Marcelo Olarreaga and published by World Bank Publications. This book was released on 1999 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: The increase in investment abroad during the past two decades may help explain the simultaneous worldwide rush toward free trade. The entry of foreign capital may change the political game, increasing openness to international trade no matter what form the foreign capital takes (whether entering by acquiring equity in existing domestic firms or by bringing foreign firms into the host economy) or what its trade orientation (whether it enters the export or import-competing sector).
Download or read book Foreign Owned Capital and Endogenous Tariffs written by Marcelo Olarreaga and published by . This book was released on 2016 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: The increase in investment abroad during the past two decades may help explain the simultaneous worldwide rush toward free trade. The entry of foreign capital may change the political game, increasing openness to international trade no matter what form the foreign capital takes (whether entering by acquiring equity in existing domestic firms or by bringing foreign firms into the host economy) or what its trade orientation (whether it enters the export or import-competing sector).During the past two decades there has been an important increase in investment abroad and a worldwide rush toward free trade. Olarreaga argues that the increase in investment abroad may partially explain the worldwide rush toward free trade.In a model of endogenous determination of trade protection through lobbying - where the government is also concerned about income redistribution among owners of foreign and national factors of production - foreign capital's entry into a host country will probably reduce the endogenous level of protection.If the elasticity of substitution between labor and capital is small enough, Olarreaga shows, protection cannot increase after the entry of foreign capital, regardless of the form of investment abroad (whether through the acquisition of existing domestic firms or the entry of foreign firms) or its trade orientation (whether foreign capital enters the export or import-competing sectors).There will either be increased counter-lobbying for protection by the export sector or reduced lobbying for protection in the import-competing sector, because of the scale effect associated with an increase in the equilibrium wage.If foreign entry occurs in the import-competing sector, protection might increase because of the scale effect, but under reasonable assumptions about the value of the elasticity of substitution between labor and capital, protection will also fall.This paper - a product of Trade, Development Research Group - is part of a larger effort in the group to understand the political economy of trade protection. The author may be contacted at [email protected].
Download or read book Are Capital Goods Tariffs Different written by Sergii Meleshchuk and published by International Monetary Fund. This book was released on 2020-05-22 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper we demonstrate the importance of distinguishing capital goods tariffs from other tariffs. Using exposure to a quasi-natural experiment induced by a trade reform in Colombia, we find that firms that have been more exposed to a reduction in intermediate and consumption input or output tariffs do not significantly increase their investment rates. However, firms’ investment rate increase strongly in response to a reduction in capital goods input tariffs. Firms do not substitute capital with labor, but instead also increase employment, especially for production workers. Reduction in other tariff rates do not increase investment and employment. Our results suggest that a reduction in the relative price of capital goods can significantly boost investment and employment and does not seem to lead to a decline in the labor share.
Download or read book Import Competition and Response written by Jagdish Bhagwati and published by University of Chicago Press. This book was released on 2009-02-15 with total page 421 pages. Available in PDF, EPUB and Kindle. Book excerpt: These papers, by a number of leading international-trade theorists, present the first significant theoretical work to be done on a topic of considerable interest, import competition. Nine theoretical papers, on topics ranging from protectionist lobbying to adjustment costs, are synthesized in the editor's Introduction, which also contrasts these contributions with the traditional classroom analysis of import competition. Three major empirical studies close the volume. It will prove indispensable for anyone who wishes to think clearly about import competition and about how economies do—and should—respond to it.
Download or read book Corruption and Trade Tariffs Or a Case for Uniform Tariffs written by Roberta Gatti and published by World Bank Publications. This book was released on 1999 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: A highly diversified trade tariff menu may fuel bribe-taking behavior. Setting trade tariff rates at a uniform level limits public officials' ability to extract bribes from importers.
Download or read book Partisan Investment in the Global Economy written by Pablo M. Pinto and published by Cambridge University Press. This book was released on 2013-03-25 with total page 309 pages. Available in PDF, EPUB and Kindle. Book excerpt: Pinto develops a partisan theory of foreign direct investment (FDI) arguing that left-wing governments choose policies that allow easier entry by foreign investors more than right-wing governments, and that foreign investors prefer to invest in countries governed by the left. To reach this determination, the book derives the conditions under which investment flows should be expected to affect the relative demand for the services supplied by economic actors in host countries. Based on these expected distributive consequences, a political economy model of the regulation of FDI and changes in investment performance within countries and over time is developed. The theory is tested using both cross-national statistical analysis and two case studies exploring the development of the foreign investment regimes and their performance over the past century in Argentina and South Korea.
Download or read book The Effect of the United States Granting Most Favored Nation Status to Vietnam written by Emiko Fukase and published by World Bank Publications. This book was released on 1999 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: If the United States grants Vietnam most favored nation status, both countries would benefit. Vietnamese exports to the United States would more than double, and Vietnam would gain substantial welfare benefits from improved market access and increased availability of imports. For the United States, lowering the current high tariff against Vietnam would improve welfare by reducing costly diversion away from Vietnamese products.
Download or read book The Slippery Slope written by Francisco H. G. Ferreira and published by World Bank Publications. This book was released on with total page 78 pages. Available in PDF, EPUB and Kindle. Book excerpt: During the turbulent years 1976-96, aggregate data for Brazil appear to show only small changes in mean income, inequality, and incidence of poverty -- suggesting little change in the distribution of income. But a small group of urban households -- excluded from formal labor markets and safety nets -- was trapped in indigence. Based on welfare measured in terms of income alone, the poorest part of urban Brazil has experienced two lost decades.
Download or read book Trade Policy and Market Access Issues for Developing Countries written by Constantine Michalopoulos and published by World Bank Publications. This book was released on 1999 with total page 92 pages. Available in PDF, EPUB and Kindle. Book excerpt: An analysis of developing countries' current trade policies and market access problems is used as a basis for recommending positions for these countries in the new round of multilateral negotiations under the World Trade Organization.
Download or read book Journal of Institutional and Theoretical Economics written by and published by . This book was released on 2008 with total page 442 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Labor Market Integration in the Presence of Social Capital written by Maurice W. Schiff and published by World Bank Publications. This book was released on 1999 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: Social capital raises productivity and falls with labor mobility. Because labor mobility generates a negative externality, integration of labor markets results in too much mobility, too low a level of social capital, and an ambiguous effect on welfare. Trade liberalization is superior to labor market integration because it reduces mobility and the negative externality associated with it.
Download or read book Fiscal Solvency and Sustainability in Economic Management written by Hinh T. Dinh and published by World Bank Publications. This book was released on 1999 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: In a financially integrated world, it is misleading to assess fiscal performance separate from other aspects of economic development. The framework proposed here can help assess fiscal performance over time and across countries and point to a pace of fiscal adjustment consistent with a country's economic and social objectives.
Download or read book Competition Policy Developing Countries and the WTO written by Bernard M. Hoekman and published by World Bank Publications. This book was released on 1999 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: Developing countries have a great interest in pursuing active domestic competition policy but should do so independent of the World Trade Organization -- which they should use to improve market access through further reduction in direct barriers to trade in goods and services.
Download or read book Handbook of Commercial Policy written by and published by Elsevier. This book was released on 2016-12-01 with total page 870 pages. Available in PDF, EPUB and Kindle. Book excerpt: Handbook of Commercial Policy explores three main topics that permeate the study of commercial policy. The first section presents a broad set of basic empirical facts regarding the pattern and evolution of commercial policy, with the second section investigating the crosscutting legal issues relating to the purpose and design of agreements. Final sections cover key issues of commercial policy in the modern global economy. Every chapter in the book provides coverage from the perspectives of multilateral, and where appropriate, preferential trade agreements. While most other volumes are policy-oriented, this comprehensive guide explores the ways that intellectual thinking and rigor organize research, further making frontier-level synthesis and current theoretical, and empirical, research accessible to all. - Covers the research areas that are critical for understanding how the world of commercial policy has changed, especially over the last 20 years - Presents the way in which research on the topic has evolved - Scrutinizes the economic modeling of bargaining and legal issues - Useful for examining the theory and empirics of commercial policy
Download or read book Is African Manufacturing Skill constrained written by Howard Pack and published by World Bank Publications. This book was released on 1999 with total page 26 pages. Available in PDF, EPUB and Kindle. Book excerpt: Continued efforts to develop high-level industrial skills in Sub-Saharan African countries may be wasteful without a more competitive environment in the industrial sector. But lack of such skills may limit the benefits to the industrial sector from future liberalization. As a result, the supply response to improved incentives may be weak.
Download or read book Who Avoids and who Escapes from Poverty During the Transition written by W?odzimierz Okrasa and published by World Bank Publications. This book was released on 1999 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt: There is a tendency toward chronic, long-term poverty in Poland. Most at risk: larger households, farm households, and households dependent on social welfare. Least at risk: households of employees or the self-employed, educated households, households headed by pensioners, households that are part of kinship networks, and households with liquid assets, durables, or access to financial resources. Among those who missed out on the benefits of the first phase of economic prosperity, children are overrepresented.
Download or read book Border Border Wide and Far how We Wonder what You are written by David C. Parsley and published by World Bank Publications. This book was released on 1999 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: Crossing national borders, adds significantly to price dispersion. This study of prices in Japan and the United States finds that a susbstantial part of that border effect is attributable to distance, shipping costs, exchange rates, and relative variability in wages.
