This presentation was commissioned by the Trade and Integration Network of the Regional Policy Dialogue for the 5th Hemispheric Meeting celebrated on August 14th and 15th, 2003. This presentation discusses trade taxes as an important source of revenue in developing countries. The relationship...

This note discusses trade liberalization and trade taxes. The main issue should not be the reduction of trade taxes but of total tax revenue. By potentially changing the structure of the economy, trade liberalization will affect not just tax revenue but also the role of the state in the economy...