Unrestricted trade stimulates economic growth and bridges socio-economic gaps existing in differentcountries of the world. Pakistan has adopted trade liberalization policies since the late 1980s with the same expectations. This study has empiricallyanalyzed how trade liberalization has affected...

One of the more celebrated propositions found in international trade is the case that trade liberalization is associated with declining prices, so that protectionism is inflationary. In line with this view, Romer (1993) postulates the hypothesis that inflation is lower in small and open...