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Contribution to Book
The theory of trade policy and reform
Palgrave handbook of international trade
  • Rodney Falvey, Bond University
  • Udo Kreickemeier
Date of this Version
Document Type
Book Chapter
Publication Details

Citation only.

Falvey, R., & Kreickemeier, U. (2011). The theory of trade policy and reform. In D. Bernhofen, R. Falvey, D. Greenaway & U. Kreickemeier (Eds.), Palgrave handbook of international trade (pp. 265-294).

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2011 HERDC submission. FoR code: 140210

© Copyright Rod Falvey & Udo Kreickemeier, 2011

Extract:Historically, trade taxes have been an important source of government revenue in subsistence-oriented economies with large informal sectors. As countries developed and economic activity became more market-oriented, governments sourced revenue frorn broader, more efficient tax bases. But trade taxes remained, with protection of domestic import-competing activity, rather than revenue, becoming their primary motivation. This shift of motivation also facilitated the substitution of alternative policies, quantitative restrictions for example, which would limit import competition without necessarily generating revenue.
Citation Information
Rodney Falvey and Udo Kreickemeier. "The theory of trade policy and reform" 1stUnited KingdomPalgrave handbook of international trade (2011) p. 265 - 294
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