Journal of Economic Perspectives: Vol. 13 No. 4 (Fall 1999)


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Are Preferential Trading Arrangements Trade-Liberalizing or Protectionist?

Article Citation

Krueger, AnneO. 1999. "Are Preferential Trading Arrangements Trade-Liberalizing or Protectionist?" Journal of Economic Perspectives, 13(4): 105-124.

DOI: 10.1257/jep.13.4.105


Preferential trade arrangements, and especially free trade agreements, have mushroomed in importance in the 1990s. This has revived research on the effects of these arrangements, both on the welfare of the member countries and those excluded, and on the momentum for further liberalization of the open multilateral trading system. This paper reviews the analyses and evidence to date as to these effects, showing that analytically anything can happen and that, to date, there has been insufficient experience to draw conclusions from empirical evidence.

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Krueger, Anne O. (Ctr for Research on Econ Development & Policy Reform, Stanford U)

JEL Classifications

F13: Trade Policy; International Trade Organizations


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