ANALYSIS OF TRENDS FOR AGRICULTURAL TRADE LIBERALIZATION Cover Image

Analiza tendintei de liberalizare a comertului agricol
ANALYSIS OF TRENDS FOR AGRICULTURAL TRADE LIBERALIZATION

Author(s): Cristea Boboila
Subject(s): Economy
Published by: Editura Universitaria Craiova
Keywords: international trade; agricultural subsidies; WTO; GATT; tarrification

Summary/Abstract: World Bank research has shown that agricultural subsidies of about $300 billion a year in rich countries distort world prices and undermine developing countries’ exports. Trade barriers in agriculture reduce economic efficiency and disrupt international markets at the expense of competitive suppliers. Furthermore, these policies often fail to achieve their objectives, in particular that of effectively supporting low-income farmers. OECD ministers have recognized the need for fundamental reform, but only modest progress has been made. In this paper, I shall argue that agricultural trade liberalization measures should be undertaken in order to maximize the global welfare and eliminate the current distortions in agricultural trade. These measures should include deep cuts to all tariffs as well as elimination of all trade-distorting domestic and export subsidies.

  • Issue Year: XXXVI/2008
  • Issue No: 5
  • Page Count: 6
  • Language: English
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