A True Development Round? A Review of Joseph E. Stiglitz and Andrew Charlton's Fair Trade for All: How Trade Can Promote Development
Author: Lawrence, Robert Z.
Source: Journal of Economic Literature, Volume 45, Number 4, December 2007 , pp. 1001-1010(10)
Publisher: American Economic Association
Abstract:
In Fair Trade for All: How Trade Can Promote Development, Stiglitz and Charlton prescribe what a multilateral trade agreement—that promotes development and is fair for all—would include. This review appraises their prescriptions and offers some alternatives. Many of their ideas about what developed countries should do (opening markets, especially of labor intensive goods and services and cutting farm subsidies) are quite familiar and sensible. More controversially, however, they propose that all WTO members (both developed and developing) completely open their markets to all developing countries poorer and smaller than themselves. They also stress the importance of preserving domestic policy space, dropping intellectual property rules from the WTO and keeping restrictive rules off the agenda. Among its criticisms of the book, the review points out that the liberalization proposal contradicts their own arguments favoring individually tailored policies in developing countries and is likely to maximize trade diversion. In addition, their prescriptions for more policy space neglects the more desirable possibility of a WTO in which members accept differentiated commitments.Document Type: Research article
DOI: http://dx.doi.org/10.1257/002205107783216510
Publication date: 2007-12-01
- The Journal of Economic Literature (JEL) began publication in 1969 under the auspices of the American Economic Association with quarterly issues appearing in March, June, September, and December. JEL contains survey and review articles, book reviews, an annotated bibliography of newly published books, and a list of current dissertations in North American universities.
- Editorial Board
- Information for Authors
- Subscribe to this Title
- Membership Information
- Terms & Conditions
- e-Publications for AEA Members
- AEAweb
- ingentaconnect is not responsible for the content or availability of external websites
- In this: publication
- By this: publisher
- In this Subject: Economics
- By this author: Lawrence, Robert Z.

Shopping cart
Receive new issue alert