Working Paper: CEPR ID: DP4694
Authors: Bernard Hoekman
Abstract: This Paper discusses the challenges confronting developing countries seeking to overcome discrimination in world trade rules and policies. The major sources of discrimination in both developed and developing countries in the areas of market access opportunities and WTO disciplines are briefly summarized. Some of these reflect good intentions towards developing countries, but are bad economics. Many others reflect self-interest or successful capture of policy by interest groups in either the North and/or the South. Moving forward requires less discrimination on market access, but more differentiation when it comes to ?non-core? or resource-intensive global rules.
Keywords: Economic Development; Trade Negotiations; Trade Policy; WTO
JEL Codes: F13; F35; O19
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Higher barriers to trade for developing countries (F14) | Reduced market access opportunities (F69) |
| Higher tariffs on agricultural goods and labor-intensive products (F16) | Trade performance of developing countries (F63) |
| Higher overall trade restrictiveness index (OTRI) (F14) | Limited trade potential for developing countries (F14) |
| Failure to adequately reduce trade barriers (F13) | Negative economic outcomes for developing countries (F63) |
| Reforms in market access and trade rules (F13) | Improving economic prospects of developing countries (O55) |