Trade and economic effects of responses to the economic crisis
Series: OECD trade policy studies
Publisher: OECD
Published: 2010
Place of publication: [Paris]
Language: eng
Number of pages: 126
ISBN-13: 9789264088443
Subjects: Economic policy; Financial crises; Economic aspects
Other titles: OECD iLibrary.
Description: The dramatic collapse in world trade in 2009 is, this report shows, mainly due to: the drop in demand for highly traded products; the drying up of trade finance; and the vertically integrated nature of global supply chains. Contrary to expectations, protectionist measures were relatively muted and did not play a significant part. In fact, because of their sheer size, stimulus measures may have had more impact on trade than direct trade policy measures Nevertheless, dollar for dollar, direct trade restricting measures have the most strongly negative impacts on growth and employment: a one dollar increase in tariff revenues results in a USD 2.16 drop in world exports and a USD 0.73 drop in world income. The analyses presented here suggest that exit strategies from measures to deal with the crisis will be most effective in boosting growth and jobs if they first roll back measures that discriminate between domestic and foreign firms and those that target specific sectors. General demand stimulus measures and active labor market policies are preferable under current conditions.--Publisher's description.
Notes: "22 2010 01 1 P".

Includes bibliographical references.

Issued also online.
Table of contents: title: Summary, conclusions and recommendations; title: Explaining the 2008-09 "trade collapse"; title: Policy responses to the economic crisis; title: The trade economic effects of crisis response measures.