and began to integrate rapidly with the world economy. With the country’s recent accession to the World Trade Organization …

This paper analyzes the effects of trade openness on budget balances by distinguishing the effects of natural openness … from those of trade-policy induced openness. Using the GMMsystem estimator, the econometric analysis focuses on 66 … developing countries during 1974-98. The results show that trade openness increases a country's exposure to external shocks …

The current round of multilateral trade negotiations-the Doha Round-presents an opportunity for countries to reap the … benefits of trade liberalization. Unfortunately, a number of misconceptions about the likely impact of trade reforms has, in …) developing countries have much to gain from their own trade liberalization; (ii) preference erosion could be significant for some …

€™ trade policies and their development strategies. However, although greater trade openness promises faster growth for poor …Efforts to liberalize world trade are increasingly focusing on strengthening the links between low-income countriesâ …

This paper investigates the impact of long-run terms-of-trade shocks. Analytically, we show that, if capital goods are … during 1965-89. Favorable terms-of-trade shocks increase investment and (especially government) consumption, but reduce …, but Dutch Disease effects are strikingly absent. Investment, consumption, and nontradable output respond more to a terms-of-trade …

developed and the developing countries. Our analysis will evaluate how the presence of terms of trade adjustment and distorted … endogenous terms of trade adjustment, there are cases in which a competitive international banking system may not revitalize … appropriate conditionality, and the presence of endogenous terms of trade adjustment puts greater weight on investment …

complicate policy implementation. Global inflation pressures, greater exchange rate volatility, and the financial stresses from …