Good Sense on Trade and Development
More good sense on trade and development from Frederik Erixon, Timbre (Sweden) and Razeen Sally (London School of Economics) in ‘Why Oxfam is Wrong’:
“Of course, trade liberalisation on its own is no panacea. To fully capture productivity gains, external liberalisation must be part of broader market- based reforms and be buttressed by market-supporting institutional reforms -- as Adam Smith and David Hume pointed out more than two centuries ago. But the central point remains that more prosperous developing countries are those that have liberalised external trade and foreign direct investment (FDI) massively as part of a general move towards a market economy -- none more so than China and Vietnam. So much for the utterly misleading view that high protection in China and Vietnam has not deterred fast growth and has even contributed to it.”
Read the full article in Mail&Guardian online (‘Africa’s first online newspaper). at:
http://www.mg.co.za/articlePage.aspx?articleid=265820&area=/insight/insight__comment_and_analysis/
“Of course, trade liberalisation on its own is no panacea. To fully capture productivity gains, external liberalisation must be part of broader market- based reforms and be buttressed by market-supporting institutional reforms -- as Adam Smith and David Hume pointed out more than two centuries ago. But the central point remains that more prosperous developing countries are those that have liberalised external trade and foreign direct investment (FDI) massively as part of a general move towards a market economy -- none more so than China and Vietnam. So much for the utterly misleading view that high protection in China and Vietnam has not deterred fast growth and has even contributed to it.”
Read the full article in Mail&Guardian online (‘Africa’s first online newspaper). at:
http://www.mg.co.za/articlePage.aspx?articleid=265820&area=/insight/insight__comment_and_analysis/
posted by Gavin Kennedy at 9:21 PM
3 Comments:
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