Policy and Trade

  • R. Shone
Part of the Macmillan Studies in Economics book series (MSE)


The history of trade readily reveals that it has rarely ever been free from government policy. Even when one country may have pursued a laissez-faire policy, this has not been so of its trading partners. A government, therefore, is interested in knowing how it can affect a country’s trade and what its effect is upon a trading relationship when it carries out either a foreign policy or a domestic policy which has ramifications in the external sector. Under this heading we shall discuss tariffs and exchange restrictions, but with particular attention to tariff policy in a number of its facets.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. 1.
    H. G. Johnson, ‘Comparative Costs and Commercial Policy’, Pakistan Economic Journal, VIII (1958) 29-43.Google Scholar
  2. 2.
    A geometrical derivation can be found in C. P. Kindleberger, International Economics, 4th ed. (Irwin, Homewood, Ill., 1968) appendix c.Google Scholar
  3. 1.
    J. Viner, The Customs Union Issue (Carnegie Endowment for International Peace, New York, 1950).Google Scholar
  4. 1.
    J. E. Meade, The Theory of Customs Unions (North-Holland, Amsterdam, 1956).Google Scholar
  5. 2.
    The terms of trade effect is explicitly taken into account in the offer-curve treatment of customs union theory, a treatment considered particularly by J. Vanek, International Trade: Theory and Economic Policy (Irwin, Homewood, Ill., 1962) pp. 346-59.Google Scholar
  6. 1A.
    very interesting discussion of this will be found in H. G. Johnson, Economic Policies Towards Less Developed Countries (Allen & Unwin, 1967) pp. 170-81.Google Scholar

Copyright information

© R. Shone 1972

Authors and Affiliations

  • R. Shone
    • 1
  1. 1.University of SheffieldUK

Personalised recommendations