THE EXTENT OF TRADE LIBERALISATION IN THE 1990S: REVISITED*

Logan Rangasamy · Chris Harmse

29 citations0/0 files storedSouth African Journal of Economics

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Global trade and economics Economic Theory and Policy Economic, financial, and policy analysis

Abstract

In a recent article in this journal, Fedderke and Vaze (2001:436-473) \nundertook an analysis of the extent and effects of trade liberalisation in South \nAfrica during the 1990s. The study (hereafter referred to as the FV study) \nquantifies the extent of trade (tariff) liberalisation in SA using a measure of \nthe effective protection rate (ERF). Based on their ERP calculations the FV \nstudy finds that "more of South Africa's output is protected by tariffs in 1998 \nthan in 1988", and hence deduces from this that, "the much-hyped liberalization of the South African economy has not been fully realized" (Fedderke and Vaze, 2001:447). The purpose of this paper is to ascertain if \nthis is indeed the case and if new evidence exists that gives more complete answers. \nThe first part of the paper provides a brief overview of some theoretical \nconsiderations relating to the measurement of ERP and its use as an indicator \nof the extent of trade liberalisation. The second part documents the tariff \nliberalisation undertaken by South Africa during the 1990s. ERP calculations \nare undertaken in part three and these are compared to those in the FV study. \nSome conclusions are drawn in the last section.

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References

1936The Symmetry between Import and Export Taxes 1966The Structure of a Tariff System and the Effective Protective Rate 1983Lectures on international trade 2000Tariffs and Growth in the Late 19th Century 2000International Economics:2001THE NATURE OF SOUTH AFRICA'S TRADE PATTERNS BY ECONOMIC SECTOR, AND THE EXTENT OF TRADE LIBERALIZATION DURING THE COURSE OF THE 1990′s 1977The Theory of Effective Protection in General Equilibrium: Effective-Rate Analogues of Nominal Rates 1995Opening America's Market: U.S. Foreign Trade Policy since 1776

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2004RESPONSE TO RANGASAMY AND HARMSE: TRADE LIBERALISATION IN THE 1990S 2007Poverty and Inequality Impacts of Trade Policy Reforms in South Africa 2007Theoretical Approaches to the Analysis of Trade and Poverty and a Review of Related Literature on South Africa

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