Trade treaties and deglobalization
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[1] East Stroudsburg University
East Stroudsburg University
Borough of East Stroudsburg, Estados Unidos
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- Localización: Applied econometrics and international development, ISSN 1578-4487, Vol. 17, Nº. 1, 2017, págs. 71-88
- Idioma: inglés
- Enlaces
- Dialnet Métricas: 1 Cita
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Resumen
The central issue in this paper is whether technological innovation and international trade can spur economic growth and sustainable development within a structured environment of trade agreements. By analyzing historical precedents and data on trade imbalances, innovation, dynamic comparative advantage, weighted exchange rates, poverty, and wages, the evidence suggests that freer international trade very often has a greater potential for increasing welfare and sustainable development, although a few exceptions hold when free trade implies unfair trade, diminution of industrial production per head and strong trade deficits. Implicitly, exports must be strongly encouraged when wages are stagnant, poverty is substantial, production costs are low, and disposable income is insufficient to substantially absorb domestic production. On the other hand, trade imports have positive effects on domestic market when they increase production, productivity and income per head
