Klaus Wälde (Directorate-General for Economic and Financial Affairs) and Christina Wood (The World Bank)
Drawing policy conclusions from these general findings for a particular country is difficult not only because of the contradictory results but also because of potential second best world effects and the implied endogeneity of trade policy. Policy recommendations for a specific country require a careful analysis of market and institutional arrangements and can not be based on the existing cross-country literature.
(European Economy. Economic Papers. 204. May 2004.
Brussels. 19pp. Tab. Free.)