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To: TimSkalaBim

http://internationalecon.com/Trade/Tch20/T20-3.php


23 posted on 02/09/2010 10:45:45 AM PST by Woebama (Never, never, never quit)
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To: Woebama
Thanks for the link. Elsewhere in the source you provide is a note on the effect of government regulations and impediments to trade flows. The point is that tariffs alone don't capture the state of protectionism in an economy. I would argue the US economy was far freer in the 1800s (even with higher tariffs) than it is now, and that economic freedom is a key ingredient in whether we or any other nation is on the rise or in decline.

[T]ariffs are not the only trade policy used by countries. Countries also implement quotas, import licenses, voluntary export restraints, export taxes, export subsidies, government procurement policies, domestic content rules, and much more. In addition, there are a variety of domestic regulations which, for large economies at least, can and do have an impact on trade flows. None of these regulations, restrictions or impediments to trade, affecting both imports and exports, would be captured using any of the average tariff measures. Nevertheless these non-tariff barriers can have a much greater effect upon trade flows than tariffs themselves.

24 posted on 02/09/2010 11:29:58 AM PST by TimSkalaBim
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