Trade liberalisation affects growth in a number of ways. It gives producers access to bigger markets and allows them to increase the scale of their production. It gives consumers access to a wider range of goods at lower prices. It helps knowledge to circulate and encourages finance to seek new outlets. Trade policy also has an effect on growth by influencing the extent to which opportunities are seized. But trade liberalisation and good policy require a number of other conditions to be met to have the greatest impact, such as good infrastructures and a skilled labour force.
They say that if you ask any two economists what they think about something, you’re bound to get at least three opinions. ...