Agreements in Restraint of Trade

On Subsidies in Trade Agreements∗

The role of production subsidies in trade agreements has long been neglected by trade economists. To fill this gap, Bagwell and Staiger (2006) analyze this issue and show that, quite generally, the sole variable efficient trade agreements need to address is market access and that, moreover, the de facto prohibition of subsidies by prevailing WTO legislation is inefficient. The present paper sho...

Reciprocity in Free Trade Agreements

We use detailed trade, tariff, and income data for countries involved in 91 trade agreements negotiated since 1980 to test for reciprocity in free trade agreements. The results offer strong evidence of reciprocity in North-North and South-South free trade agreements, but there is little empirical support for reciprocity in North-South trade agreements. In particular, after controlling for other...

Preferential Trade Agreements

Trade Agreements and Direct-to-Consumer Advertising of Pharmaceuticals

There is growing international concern about the risks posed by direct-to-consumer advertising (DTCA) of prescription pharmaceuticals, including via the internet. Recent trade agreements negotiated by the United States, however, incorporate provisions that may constrain national regulation of DTCA. Some provisions explicitly mention DTCA; others enable foreign investors to seek compensation if ...

Regional Trade Agreements: Effects on Trade

positive or negative effects on trade depending on their design and implementation. Analysis in this chapter confirms that gains from a preferential trade agreement cannot be taken for granted; moreover, even in agreements with positive impacts on average incomes, not all members are assured of increases. The interesting policy question then is not whether RTAs are categorically good or bad, bu...