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Media type:
E-Article
Title:
Import tariffs: the neutralization of the Dutch disease argument
Contributor:
BRESSER-PEREIRA, LUIZ CARLOS
imprint:
FapUNIFESP (SciELO), 2023
Published in:Brazilian Journal of Political Economy
Language:
Not determined
DOI:
10.1590/0101-31572023-3442
ISSN:
1809-4538;
0101-3157
Origination:
Footnote:
Description:
<jats:p>ABSTRACT In economics, there is just one argument legitimising import tariffs - the infant industry argument -, but it ceases to be valid as the required learning time ends. This note offers a second argument: the neutralisation of the Dutch disease argument. If the country faces this competitive disadvantage, import tariffs and export subsidies may be a way of circumventing the problem. Many countries that industrialised were only successful because they pragmatically neutralised the disease with import tariffs.</jats:p>