Inderscience Publishers

Trade liberalisation in T&C: an overview of the welfare effects

- By: ,

Courtesy of Courtesy of Inderscience Publishers

The objective of this paper is to examine the effects that trade liberalisation in Textiles and Clothing (T&C) had on the welfare of European producers of cotton-yarn. We employ multi-market theory and a single-market approach to examine the price-induced welfare effects in four major European T&C producing countries namely, Greece, Portugal, Spain and Turkey. Results show that the liberalisation of trade had a substantial negative impact on producers' welfare in all four countries. Welfare and sensitivity analysis suggests that, while cotton-yarn price-decreases and labour-cost increases are expected to further dampen producers' welfare, the adoption of new technologies can substantially assist the competitiveness of European products in the world markets.

Customer comments

No comments were found for Trade liberalisation in T&C: an overview of the welfare effects. Be the first to comment!