PROJECT SUMMARY; EXCHANGE CONTROL, LIBERALIZATION AND DEVELOPMENT

INVESTIGATORS FROM NBER WILL CONDUCT RESEARCH ON THE NATURE & EFFECTS OF RESTRICTIONIST TRADE REGIMES (RTR) TO DETERMINE THE POLITICAL * ECONOMIC FACTORS FAVORING ADOPTION & INCREASE OF RESTRICTIVE TRADE & EXCHANGE CONTROLS OR WHICH INHIBIT & DECREASE USE OF THESE CONTROLS. STUDIES WILL ALSO BE MADE OF THE EFFECTS OF RESTRICTIONIST POLICIES ON LONG-TERM CONTROLS & OF RESOURCE ALLOCATION, INCOME DISTRIBUTION & ECONOMIC GROWTH ON RTR. AN ACCURATE MEASURE OF THE DIFFERENT CONTROL SYSTEMS" RESTRICTIVENESS WILL BE DETERMINED & USED TO ESTABLISH THE LEVEL AT WHICH CONTROL RETARDS ECONOMIC GROWTH. RESEARCH WILL BE PERFORMED ON FACTORS AFFECTING THE OUTCOME OF ATTEMPTS TO ESTABLISH & OPERATE LIBERALIZED TRADE REGIMES(LTR). SUCH INFORMATION WILL BE USEFUL IN DETERMINING WHICH REGIMES CAN BE LIBERALIZED. RESEARCHERS WILL ALSO SEEK TO DETERMINE WHICH FACTORS & ACTIONS ARE NECESSARY TO OPTIMIZE RAPID ECONOMIC DEVELOPMENT IN LTR & HOW THESE FACTORS CAN BE MEASURED TO IDENTIFY THEIR IMPACT. IT IS ANTICIPATED THAT THIS PROCESS WILL MOVE ANALYSES OF TRADE & PAYMENTS POLICIES AWAY FROM THE REALM OF CASUAL EMPIRICISM,IMPLICIT THEORIZING & INSTITUTIONAL INVESTIGATIONS,TOWARD A MORE SCIENTIFIC FRAMEWORK WHEREIN THE LESSONS DRAWN FROM THE EXPERIENCES OF SOME COUNTRIES CAN BE MEANINGFULLY APPLIED TO NEW SITUATIONS AS THEY ARISE. THROUGHOUT THESE STUDIES.INTER-COUNTRY COMPARABILITY WILL BE STRESSED & INDIVIDUAL STUDIES WILL BE USED TO FIND GENERALLI APPLICABLE ANSWERS TO WHICH REGIME WORKS BEST IN A GIVEN ENVIRONMENT & SET OF CIRCUMSTANCES. BENEFICIARIES WILL BE THOSE COUNTRIES WHO WILL BE ABLE TO USE THE ANTICIPATED RESEARCH FINDINGS TO IMPROVE DEVELOPMENT OF THEIR RESPECTIVE COUNTRIES. TO ASSIST NBER IN THESE STUDIES,UP TO 12 ECONOMISTS WILL PARTICIPATE,CONTRIBUTING THEIR EXPERTISE ON A COUNTRY THEY ARE FAMILIAR WITH. COUNTIRES WILL POSSIBLY INCLUDE COLOMBIA,CHILE,BRAZIL,PERU,GHANA,NIGERIA,TURKEY,EGYPT,ISRAEL,INDIA,PA KISTAN,SOUTH KOREA,THAILAND,PHILIPPINES,CEYLON,INDONESIA.