ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles By Trade

Geopolitics Drives the New US Economic and Industrial Strategy

The “New Washington Consensus” is not really new as the greatly magnified role and influence of the huge transnational corporations, especially the military–industrial complex that drives both the economics and foreign policy of the United States, remains untouched. Further, there is no consensus on its anti-China thrust either as the majority of countries searching for strategic autonomy, including many of the US’s own allies, would not risk breaking economic relations with China.

Trade Reforms, Technology Import, and Firm Productivity in the Indian Manufacturing Sector

The paper is an attempt to examine the impact of technology import on the productivity of Indian manufacturing firms during 1995–2016. The empirics are based on an unbalanced sample of 4,616 firms, which is further segregated into four use-based categories of production. This analysis tends to support the predictions of new trade and growth theories that international trade provides opportunities for dynamic productivity gains.

A Re-examination of Gold Flows in India during the Inter-war Years

Having been an importer of gold through the 19th and early 20th centuries, for the first time in its recorded colonial history, India witnessed massive gold exports to the tune of over `3.5 billion in the latter half of the inter-war years. Gaps in the recording of trade statistics during the period coupled with an inadequate understanding of the colonial economy have led to wrongly accounting for these exports as commodity gold exports. A reclassification of India’s gold flows during the inter-war years shows that India’s gold exports, which rightfully belonged in the capital account, were an outcome of a distress-driven sale of assets by the Indian peasantry in the 1930s and aided Britain’s recovery from the depression.

Export Performance of South Asia

South Asia’s trade structure, trade potential, supply capacity, and global market access from 1991 to 2017 are examined through empirical research using trade indexes and gravity econometric estimation. The results broadly reflect a stagnant position of South Asia in the merchandised trade structure. South Asian economies have a comparative advantage in some sectors, which are common for them, and these became their competitive export domain. Depending on their relationship, rivalry may be beneficial. India has the highest export diversification, among other criteria, and must refocus on economic integration. The export potential exists while market access and supply capacity remain intact. As South Asia is a high-consumption economy, domestic issues should be handled tactfully and regional integration must be emphasised.

A Quantitative Assessment of the EU–India Free Trade Agreement

With EU–India clinching a post-Brexit trade negotiation, the present paper proposes to examine whether the free trade agreement between the two regions would increase production efficiency and thereby social welfare. Using the partial equilibrium model, the study reveals that the EU–India FTA yields less positive trade and welfare gains in India after Brexit specifically, for consumer, industrial, and capital goods, whereas it would still be in India’s interest towards the specific benign impact of an FTA in raw materials, intermediate goods, and agricultural goods. From the policy perspective, India is not well-served by its pursuit of protectionist agenda and instead should push for trade liberalisation as a better path for the global trading system.

Trade Measures Enacted by Countries Due to the COVID-19 Pandemic

This article tries to analyse the non-tariff measures enacted by countries during the COVID-19 pandemic from the lens of trade protectionism. It further suggests ways for reforming the World Trade Organization rules and highlights the importance of eliminating trade barriers for effectively combating the pandemic.