also more common where a minority prospers greatly relative to the majority or other significant minorities (Chua 2003). Such income and wealth inequality within a country tends to be less common the more open is the economy, at least after the initial adjustments to reform (Williamson 2002).

While many of these types of empirical studies struggle to clarify the direction of causation, and so their results need to be treated with caution, the weight of evidence nonetheless lends support to the view that greater openness can contribute to lessening conflict.

# **_Education under-investment_**

Parents and governments are less likely to under-invest in education the higher their incomes, other things equal. So to the extent that trade reform raises incomes, it contributes to better educational outcomes. That is especially so for the very poorest who cannot afford even primary education: a slight increase in the cash income of poor farm families, for example following a reform-induced increase in international prices of farm products, can make it possible to pay the (often relatively high) school fees that are otherwise unaffordable.

If immigration restrictions are eased, the private incentive to invest in education in developing countries would increase even more. This offsets – at least partially but possibly more than fully – the brain drain concern often raised about emigration. It also would help to offset any reduction in the skill premium in wages in developing countries that may follow from liberalization of trade in goods.

# **_Poor governance and corruption_**

A tolerance for subsidies and trade barriers breeds rent-seeking by special interests seeking protectionist policies for their industry. If those policies include import licensing, that breeds corruption through encouraging bureaucrats responsible for allocating licences to accept bribes from would-be importers. Together those activities ensure that the welfare costs of trade barriers are higher than is typically measured, since a share of the private rents they generate is wasted in these lobbying activities. Tax-avoiding corruption is also encouraged in the case of import tariffs, for example through bribing customs officers or through smuggling. For these reasons it is not surprising that statistical analysis has found less-open economies to be more corrupt (Ades and Di Tella 1999).

# **_Malnutrition and hunger_**

Food security is always a great concern in poor countries, especially those dependent on food imports where there are fears that reducing agricultural subsidies and protectionism globally will raise the price of those imports. But food security is defined as always having access to the minimum supply of basic food necessary for survival, so enhancing food security is mainly about alleviating poverty. That suggests this issue needs to be considered from a household rather than national perspective. And the discussion above argues that poverty is more likely than not to be alleviated by cuts to trade and immigration barriers.

Hunger and under-nutrition can be eased by trade not only in goods but also in agricultural technologies, in particular newly bred varieties of staple crops. The introduction of high-yielding dwarf wheat and rice varieties during the Green 32