Export enhancement, WTO rules and financial crises
International Journal of Business and Social Science
Centre for Promoting Ideas
Financial Crisis, export assistance, WTO, China
This paper reassesses the current WTO rules on export assistances in light of the global financial crisis. Our empirical analysis shows that export enhancing measures had positive effects on household consumption, implying that such measures were necessary to prevent the domestic economy from falling into deeper recession wrought by the financial crisis. The domestic economy is in a dilemma during a financial crisis because, on the one hand, it must rescue the economy, but on the other, it must not hurt the other exporters. In view of this polemic, this paper points out that the current law is inadequate in that it fails to take into account important and highly relevant economic issues pertaining to the current global financial crisis.
Copyright © Centre for Promoting Ideas, USA
Voon, J. P., & Voon, J. K. (2011). Export enhancement, WTO rules and financial crises. International Journal of Business and Social Science, 2(6), 62-71.