This paper has analyzed implications of the U.K, French and German voluntary export restraints (VERs) negotiated with Japanese carmakers. The paper shows how VERs do not protect domestic industries and probably end up costing consumers more. First, most EC countries followed suit after the...

In a series of recent papers, Neary and others have established the importance of trade in factor services, especially capital, in determining the welfare effects of import restrictions by tariffs, QRs, and VERs. In the absence of induced terms-of-trade changes and rental rate effects, Neary...

It is generally agreed that the arrangements that have regulated trade in textiles and clothing have slowed the natural shift in comparative advantage from industrial countries to developing countries. But there is quite a bit of disagreement about how restrictive the Multi-Fibre Agreements...

After lying dormant for two decades, regional integration is on the rise. Recent initiatives suggest that the world trading system may be moving toward three trading blocs clustered around Japan, the European Community, and the United States. Some view this development as a move toward a less...

After four decades as prime examples of inward-looking trade policies and import-substituting industrialization, several Latin American countries undertook comprehensive trade liberalization and macroeconomic adjustment in the 1980s. The authors contend that the experiences in those countries...

This paper sets out to test the robustness of Balassa's recommendation of neutral incentives to domestic and export sales in a setting where some sectors have domestic market power. This paper shows analytically that the welfare effects of trade policy are more complex than they are in a setting...

Drawing on evidence about industrial organization and market structure, the authors develop a computable general equilibrium model in selected industrial sectors with increasing returns to scale. They use this model to estimate the welfare gains Korea would realize from abolishing the import...

In recent years, two classes of computable general equilibrium (CGE) trade models have been used to investigate external sector policies: single country and and multicountry trade models. The authors examine the treatment of exports and imports in recent single country CGE models of small...

Non-tariff barriers (NTBs) present a growing threat to a liberal world-trading system and slow the reallocation of production of mature industries from developed to developing countries. Among NTBs, voluntary export restraints (VERs) are proliferating and constitute a major element of the"new...

This paper deals with the problems of partial equlibrium analysis by presenting estimates from a static ten sector computable general equilibrium (CGE) model of the U.S. economy calibrated to the year 1984. Following the introduction, the paper is organized as follows. Section 2 outlines the...