IDEAS home Printed from https://ideas.repec.org/p/wbk/wbrwps/2182.html
   My bibliography  Save this paper

The integration of transition economies into the world trading system

Author

Listed:
  • Michalopoulos, Constantine

Abstract

The author analyzes current trade policies and challenges faced by the transition economies - especially countries in the former soviet Union - as they are integrated into the world trading system. With few exceptions, transition economies in Central and Eastern Europe, including the Baltics, have been well integrated into the multilateral trading system. Their trade regimes differ - and the main challenges they face involve their integration into the European Union. Integration into the multilateral trading system, including progress toward membership in the World Trade Organization (WTO), varies significantly among the other countries of the former Soviet Union. Armenia, Georgia, the Kyrgyz Republic, and Moldova have adopted relatively liberal trade regimes and are either already members of the WTO or are close to it. These four countries need to strengthen the capacity of broad market-based (especially trade-related) institutions, including customs, the financial sector, and institutions to facilitate trade. The momentum for market and trade reform appearsto have stalled in some of the larger countries of the former Soviet Union: Kazakhstan, Russia, and Ukraine. Their trade regimes are not especially restrictive, but weak operations in fundamental market institutions inhibit their effective integration into the world trading system. These problems, together with persistent protective pressures, inhibit progress and accession to the WTO. The remaining countries in Central Asia, as well as Belarus, have far to go in introducing market-oriented reforms and institutions, and the kind of trade liberalization needed for integration into international trade. The countries of the former Soviet Union must make most of the reform and adjustment effort, but WTO members must make changes as well - especially the United States and the European Union. Both need to review their policies toward non-market economies on antidumping practices and (in the European Union) on safeguards. Countries where market decisions prevail should not be subjected to non-transparent and arbitrary procedures. In particular, countries that have been judged to be"market"economies in the process of gaining access to the WTO should be excluded from procedures applied for antidumping and safeguard measures in non-market economies.

Suggested Citation

  • Michalopoulos, Constantine, 1999. "The integration of transition economies into the world trading system," Policy Research Working Paper Series 2182, The World Bank.
    • Handle: RePEc:wbk:wbrwps:2182
    as

    Download full text from publisher

    File URL: http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/1999/10/07/000094946_99092312090524/Rendered/PDF/multi_page.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Brenton, Paul & Gros, Daniel, 1997. "Trade Reorientation and Recovery in Transition Economies," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 13(2), pages 65-76, Summer.
    2. Bartlomiej Kaminski, 1998. "Poland's transition from the perspective of performance in EU markets," Post-Communist Economies, Taylor & Francis Journals, vol. 10(2), pages 217-239.
    3. Zdenek Drabek, 1996. "The Stability of Trade Policy in the Countries in Transition and their Integration into the Multilateral Trading System," The World Economy, Wiley Blackwell, vol. 19(6), pages 721-745, November.
    4. Drabek, Zdenek & Brada, Josef C., 1998. "Exchange Rate Regimes and the Stability of Trade Policy in Transition Economies," Journal of Comparative Economics, Elsevier, vol. 26(4), pages 642-668, December.
    5. Biessen, Guido, 1991. "Is the impact of central planning on the level of foreign trade really negative?," Journal of Comparative Economics, Elsevier, vol. 15(1), pages 22-44, March.
    6. Michalopoulos, Constantine, 1998. "WTO accession for countries in transition," Policy Research Working Paper Series 1934, The World Bank.
    7. Havrylyshyn, Oleh & Pritchett, Lant, 1991. "European trade patterns after the transition," Policy Research Working Paper Series 748, The World Bank.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Clarete, Ramon & Edmonds, Christopher & Wallack, Jessica Seddon, 2003. "Asian regionalism and its effects on trade in the 1980s and 1990s," Journal of Asian Economics, Elsevier, vol. 14(1), pages 91-129, February.
    2. Richard Pomfret, 2003. "Trade and Exchange Rate Policies in Formerly Centrally Planned Economies," The World Economy, Wiley Blackwell, vol. 26(4), pages 585-612, April.
    3. Eromenko, Igor & Mankovska, Nadiya & Dean, James W, 2003. "Will WTO membership really improve market access for Ukrainian exports?," MPRA Paper 67481, University Library of Munich, Germany.
    4. Oksana Harbuzyuk & Stefan Lutz, 2008. "Analyzing trade opening in Ukraine: effects of a customs union with the EU," Economic Change and Restructuring, Springer, vol. 41(3), pages 221-238, September.
    5. Paul G. Hare, 2000. "Trade Policy during the Transition. Lessons from the 1990s," CERT Discussion Papers 0006, Centre for Economic Reform and Transformation, Heriot Watt University.
    6. Kaminski, Bartlomiej, 1999. "The EU factor in the trade policies of Central European countries," Policy Research Working Paper Series 2239, The World Bank.
    7. Isayenko Oleksiy & Shcherbakov Oleksandr, 2003. "The causes of increase in antidumping against transition economies," EERC Working Paper Series 00-466e, EERC Research Network, Russia and CIS.
    8. Richard Pomfret, 2000. "Regional Trade Arrangements and Economies in Transition: The Central Asian Countries," School of Economics and Public Policy Working Papers 2000-09, University of Adelaide, School of Economics and Public Policy.
    9. Mr. Marco Pani & Mr. Etibar Jafarov & Mr. Clinton R. Shiells, 2005. "Is Russia Still Driving Regional Economic Growth?," IMF Working Papers 2005/192, International Monetary Fund.
    10. N. Nuruzzaman & Ajai Gaur & Rakesh B. Sambharya, 2022. "WTO accession and firm exports in developing economies," Journal of International Business Policy, Palgrave Macmillan, vol. 5(4), pages 444-466, December.
    11. Selim Inançli & Mustafa Akal, 2013. "Export and Import Products Groups’ Shares of Turkey with Cee Countries After Theirs Accessions to Eu and Before," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 3(11), pages 1419-1438, November.
    12. Martin, Will, 2001. "Trade policy reform in the East Asian transition economies," Policy Research Working Paper Series 2535, The World Bank.
    13. Kaminski, Bartlomiej, 2001. "How accession to the European Union has affected external trade and foreign direct investment in Central European economies," Policy Research Working Paper Series 2578, The World Bank.
    14. World Bank, 2003. "Nepal : Trade and Competitiveness Study," World Bank Publications - Reports 14417, The World Bank Group.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jaleel Ahmad & Jing Yang, 1998. "Trade Liberalization in Eastern European Countries and the Prospects of their Integration into the World Trading System," CESifo Working Paper Series 164, CESifo.
    2. Jan Winiecki, 2000. "Successes of trade reorientation and expansion in post-communist transition: an enterprise-level approach," Banca Nazionale del Lavoro Quarterly Review, Banca Nazionale del Lavoro, vol. 53(213), pages 187-223.
    3. Kaminski, Bartlomiej, 1999. "The EU factor in the trade policies of Central European countries," Policy Research Working Paper Series 2239, The World Bank.
    4. Jan Winiecki, 2000. "Successes of trade reorientation and expansion in post-communist transition: an enterprise-level approach," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 53(213), pages 187-223.
    5. Richard Pomfret, 2003. "Trade and Exchange Rate Policies in Formerly Centrally Planned Economies," The World Economy, Wiley Blackwell, vol. 26(4), pages 585-612, April.
    6. repec:lic:licosd:10501 is not listed on IDEAS
    7. Arjan Lejour & Vladimir Solanic & Paul Tang, 2009. "EU Accession and Income Growth: An Empirical Approach," Transition Studies Review, Springer;Central Eastern European University Network (CEEUN), vol. 16(1), pages 127-144, May.
    8. Jeffrey A. Frankel and Shang-Jin Wei., 1995. "European Integration and the Regionalization of World Trade and Currencies: The Economics and the Politics," Center for International and Development Economics Research (CIDER) Working Papers C95-053, University of California at Berkeley.
    9. Carstensen, Kai & Toubal, Farid, 2004. "Foreign direct investment in Central and Eastern European countries: a dynamic panel analysis," Journal of Comparative Economics, Elsevier, vol. 32(1), pages 3-22, March.
    10. Jeffrey A. Frankel & Shang-Jin Wei, 1993. "Emerging Currency Blocs," NBER Working Papers 4335, National Bureau of Economic Research, Inc.
    11. repec:zbw:bofitp:2003_008 is not listed on IDEAS
    12. Éltető, Andrea, 1999. "A külföldi működőtőke hatása a külkereskedelemre négy kis közép-európai országban [The impact of foreign direct capital investment on foreign trade in four small Central-European countries]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(1), pages 66-80.
    13. Paul Brenton & Francesca Di Mauro & Matthias Lücke, 2014. "Economic Integration and FDI: An Empirical Analysis off Foreign Investment in the EU and in Central and Eastern Europe," World Scientific Book Chapters, in: INTERNATIONAL TRADE, DISTRIBUTION AND DEVELOPMENT Empirical Studies of Trade Policies, chapter 7, pages 125-151, World Scientific Publishing Co. Pte. Ltd..
    14. Kemme, David M. & Roy, Saktinil, 2006. "Real exchange rate misalignment: Prelude to crisis?," Economic Systems, Elsevier, vol. 30(3), pages 207-230, October.
    15. Bennett, John & Estrin, Saul & Hare, Paul, 1999. "Output and Exports in Transition Economies: A Labor Management Model," Journal of Comparative Economics, Elsevier, vol. 27(2), pages 295-317, June.
    16. Luka, Oksana & Levkovych, Inna, 2004. "Intra-industry trade in agricultural and food products: the case of Ukraine," IAMO Discussion Papers 78, Leibniz Institute of Agricultural Development in Transition Economies (IAMO).
    17. Paul G. Hare, 2000. "Trade Policy during the Transition. Lessons from the 1990s," CERT Discussion Papers 0006, Centre for Economic Reform and Transformation, Heriot Watt University.
    18. Dibooglu, Selahattin & Kutan, Ali M., 2001. "Sources of Real Exchange Rate Fluctuations in Transition Economies: The Case of Poland and Hungary," Journal of Comparative Economics, Elsevier, vol. 29(2), pages 257-275, June.
    19. Di Mauro, Francesca, 2000. "Economic Integration Between The Eu And The Ceecs: A Sectoral Study," ERSA conference papers ersa00p358, European Regional Science Association.
    20. Alfred Steinherr, 1995. "The Pivotal Role of the European Union for Central and Eastern Europe," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 131(III), pages 303-327, September.
    21. Jeffrey A. Frankel & Ernesto Stein & Shang-Jin Wei, 1998. "Continental Trading Blocs: Are They Natural or Supernatural?," NBER Chapters, in: The Regionalization of the World Economy, pages 91-120, National Bureau of Economic Research, Inc.
    22. Langhammer, Rolf J., 1992. "EC integration widening towards Eastern Europe: Reconciling the political and economic rationale of supporting the transformation process," Kiel Working Papers 524, Kiel Institute for the World Economy (IfW Kiel).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:2182. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Roula I. Yazigi (email available below). General contact details of provider: https://edirc.repec.org/data/dvewbus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.