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Free trade, protection and economic development

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  • Röpke, Jochen

Abstract

Central to the following discussion is the assertion that a foreign trade policy which maximizes the static efficiency gains from trade may result in reduced dynamic or X-efficiency and thus impair a developing country’s development potential. The dominant view of the relation between international specialization and economic development is summarized. An alternative line of argument is presented in outline. Finally, the implications for development policy are sketched.

Suggested Citation

  • Röpke, Jochen, 1981. "Free trade, protection and economic development," Intereconomics – Review of European Economic Policy (1966 - 1988), ZBW - Leibniz Information Centre for Economics, vol. 16(1), pages 26-30.
    • Handle: RePEc:zbw:inteco:139721
    DOI: 10.1007/BF02924726
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    Keywords

    Development Strategy;

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