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Trade Policy in Developing Countries. Developing Countries According to the IMF (” Graduated ” economies in red). Tariff Rates in Developing Countries. Source: World Bank. The Asian Takeoff. Source: Total Economy Database. Asia’s Surging Trade. Export Processing Zones.
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Developing CountriesAccording to the IMF (”Graduated” economies in red)
Tariff Rates in Developing Countries Source: World Bank.
The Asian Takeoff Source: Total Economy Database.
The EPZ model is a very popular form of industrial policy The number of EPZs keeps growing Morethanhalf of the world’scountrieshavethem There are around 3,000 - 5,000 EPZs in the world today
Douglas Zhihua Zeng, “How Do Special Economic Zones and Industrial Clusters Drive China’s Rapid Development?,” Policy Research Working Paper 5583, the World Bank.
Simple EPZ model • A country: Solid boundary of import tariffs
FDI IMPORTS EXPORTS LABOR INTERMEDIARIES UTILITIES
DOMESTIC FIRMS WAGES MULTINATIONALS FOREIGN EXCHANGE
DOMESTIC FIRMS KNOW-HOW NETWORKS MULTINATIONALS