Publication: Dominican Republic : Review of Trade and Labor Competitiveness
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2005-03
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2012-06-20
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This report addresses a range of themes related to trade and competitiveness in the Dominican Republic. The analysis examines past trade performance and the many factors contributing thereto, and the policy environment in which these trade outcomes occurred. It also looks forward to imminent changes in trade policy and their potential impact. The conclusions drawn from this work have important policy implications that could be useful to policymakers in the Dominican Republic as well as development practitioners in general. One of the key messages emerging from the analysis is that changes in the external trade environment will necessitate a shift in the way the Dominican economy operates in order to remain competitive. The immediate effect of trade liberalization will be reduced protection and therefore greater competition for Dominican producers, which will in turn create pressure for raising productivity and increase demand for a more skilled work force. The resulting reduction in tariff revenue will be offset in part by trade creation, and the economy will experience a certain degree of turnover due to shifting factor allocations and churning in terms of firm start-ups and exits, and job creation and destruction, as producers transition to the new trade environment.
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“World Bank. 2005. Dominican Republic : Review of Trade and Labor Competitiveness. © World Bank. http://hdl.handle.net/10986/8531 License: CC BY 3.0 IGO.”
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