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Trade Policy and Economic Welfare$
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W. Max. Corden

Print publication date: 1997

Print ISBN-13: 9780198775348

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0198775342.001.0001

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Some Dynamic Aspects of Trade Policy

Some Dynamic Aspects of Trade Policy

Chapter:
(p.181) 10 Some Dynamic Aspects of Trade Policy
Source:
Trade Policy and Economic Welfare
Author(s):

W. Max Corden (Contributor Webpage)

Publisher:
Oxford University Press
DOI:10.1093/0198775342.003.0010

Various dynamic effects of trade policies operate when there is anticipation of price changes, fluctuations in export earnings, and when trade affects knowledge. It is possible that reducing trade will reduce a nation's risks (though the effect could also go the other way). The question discussed is then whether trade‐reducing policies that would shift resources out of the more risky activities are justified.

Keywords:   export earnings, knowledge, price change, risk, trade policy

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