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Views from the Center

CGD experts offer ideas and analysis to improve international development policy. Also check out our Global Health blog and US Development Policy blog.

 

UK Trade White Paper: A Once in a Lifetime Opportunity for Development

The UK government has made a welcome commitment to improve trade access for poor countries after Brexit. The question in the White Paper is how to do that. Brexit offers the opportunity to replace the EU’s Economic Partnership Agreements with a simpler, broader and more generous regime that encourages developing countries to export more.

German Elections: What Merkel’s "Jamaica Coalition" Might Mean for Global Development

Germans have given Chancellor Angela Merkel a fourth term as chancellor, but once again without a parliamentary majority. It seems likely that Merkel will now try to negotiate a black-green-yellow “Jamaica coalition” (referring to the parties’ colors) with the Greens and the pro-business Liberals replacing the Social Democrats as coalition partners. Despite the gain in vote for nationalists, our analysis suggests the Jamaica coalition could actually strengthen Germany’s role in accelerating global development, as well as benefitting Germany.

Trade and Commitment to Development: Which Is More Damaging to Development, Agricultural Subsidies or Trade Tariffs?

On September 5, we launched the results of the 2017 Commitment to Development Index (CDI), which scores 27 countries on how development-friendly their policies are. This year, we include two new indicators assessing how rich-country “tariffs” (taxes on imports) and “subsidies” (payments to domestic producers) inhibit development. But which is more damaging, and therefore deserves a greater weight in the Index?

Using the approach embedded in previous CDI calculations, we calculate that tariffs may be over three times as damaging as agricultural subsidies in inhibiting developing country trade. Below, we look at how tariffs and subsidy inhibit development, and assess their respective impact.

Beyond Brexit: Time for a “British Trade Promise” on Free Trade Access for Poor Countries

The UK Government has today published a white paper on its broad approach to Brexit—what ’s missing though is a commitment to developing countries on the UK’s trade policy. Having emphasised trade at the heart of its economic strategy on international development, it now needs to commit to providing “duty free quota free” access for developing countries, or risk damaging investment and trade over the next two years and beyond.