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The last two decades have witnessed a shift in the focus of international trade research from trade policy to other forms of trade frictions (e.g., transportation, information and communication costs). Implicit in this development is the widespread view that trade policy no longer matters. We...
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analyze the short-run impact of this return to protectionism on the U.S. economy. Import and retaliatory tariffs caused large … GDP. We embed the estimated trade elasticities in a general-equilibrium model of the U.S. economy. After accounting for …
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This paper uses regression analysis to study the causes and impacts of the Export Enhancement Program for wheat. We find that the overwhelming causes of the EEP, faltering export markets and swelling government stocks are primarily attributable to the overvaluation of the dollar in the 1980s,...
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We investigate the effects of the drastic tariff reductions of the 1980s and 1990s in Colombia on the wage distribution. We identify three main channels through which the wage distribution was affected: increasing returns to college education, changes in industry wages that hurt sectors with...
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the analysis is on relative wages, defined as industry wage premiums relative to the economy-wide average wage. Using the … economy factors as determinants of protection. Further issues concerning the effects of trade liberalization, such as the … relevance of time-variant political economy factors, the importance of employment guarantees, liberalization induced …
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A prominent model in the recent political-economy literature on trade policy is Grossman and Helpman's (1994 …
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