Economic research and trade policy analysis

There is widespread evidence that countries use trade policy to protect their workers. Sector-level tariffs typically correlate positively with sector wages and employment. This chapter examines the mirror question of how tariffs of other countries of the world affect industry wages at home. To answer this question, we rely on an industry-level analysis of wages in a sample of developing and developed countries spanning from 1976 to 2004. The effect of trade Read More

Globalization and the opening of markets in developing economies to trade is believed to have affected informal employment in these countries. This chapter summarizes the theoretical arguments for such a link and presents the relevant empirical evidence. In particular, it asks the questions: What roles do trade reforms and trade expansion play in explaining changes in the share of informal employment? How does trade opening affect the relative wage of Read More

Trade liberalization policies affect the domestic economy through their impact on prices of goods and services. Consequently, these policies also can affect average productivity and lead to industrial restructuring. The main goal of this research is to estimate the distributional effects of trade policy at the micro level using household survey data, and to determine whether trade liberalization affected different groups of poor people differently. To our knowl Read More

The general-purpose nature of information technology (IT) means that its widespread use in other economic sectors helps induce organizational and technological innovation throughout the economy. Innovation in IT itself has a magnified effect on economic productivity.

The World Trade Report 2006 begins with a short summary of salient trends in international trade based on the Secretariat’s earlier Report issued in April. We also provide brief analytical commentaries on certain topical trade issues, which this year cover recent trends in trade in textiles and clothing, an examination of the evolution of international royalty and fee payments, developments in the trade of least-developed countries, and an analysis of the effects Read More

Trade has improved the living standards of billions of individuals, many of whom are women. Ample empirical evidence shows that trade has led to higher productivity, greater competition, lower prices, higher incomes, and improved welfare. As the COVID-19 pandemic has revealed, however, trade can be seriously disrupted. There is a risk that some of the economic gains women have reaped through trade could be reversed by the COVID-19 crisis. Read More