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As well as the important benefits associated with trade liberalisation – such as increased national income, increased efficiency in resources allocation, the spread of more efficient and environmentally friendly technologies, there are also significant negative social and environmental impacts. Trade expansion can exacerbate problems of commodity dependence, resource depletion and environmental degradation. And the benefits of increased national income do not always accrue to the poorest sections of society. The global trend towards trade liberalisation places pressure on developing countries to liberalise their economies. Thus, identifying linkages between trade liberalisation and sustainable development is a high priority. But these linkages are complex as there are various levels of trade liberalisation: from unilateral liberalisation to bilateral, regional and multilateral trade agreements. The impacts can be different between regions and countries. Trade liberalisation is longer just about tariff reduction, but involves such issues as investment, intellectual property rights, environmental and labour rules, and competition policy, whose impacts on sustainability need to be fully understood. ObjectivesWe are exploring the linkages between trade liberalisation and sustainable development with a special focus on poverty reduction. The aim of this initiative is to achieve:
Partners and DonorsRoyal Danish Ministry of Foreign Affairs (Danida) Further informationTo find out more about this initiative please contact: Copyright © 2005 International Institute for Environment and Development. |
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