The Direction of Trade Policy

This book examines the movement of trade policy between the opposite directions of protectionism and liberalization. It identifies two broad currents in trade policy in the second half of the post war era: the first, the increasing protectionism of the industrial countries. This is particularly evident in the US in the 1980s, indicated by the growth of quantitative and discriminatory restraints, the comeback of unilateralism and regionalism, and the disarray of the GATT system. The second current reflects the recent movement of many developing countries towards more liberal trade policies following the failures of import substitution, the success of the East Asian countries, and, ironically, pressure from the industrial countries.