TY - JOUR

T1 - Effects of Bilateralism and the MFN Clause on International Trade

T2 - Evidence for the Cobden-Chevalier Network, 1860-1875

AU - Lampe, Markus

PY - 2009

Y1 - 2009

N2 - This study contributes to a revised picture of nineteenth-century bilateralism. Employing a new disaggregated data set, it argues that bilateral treaties did not implement general free trade, but instead reduced tariffs unevenly through commodity-specific preferences, especially favoring manufactured goods. Gravity model estimates show that specific liberalizations increased exports of corresponding items, but not overall trade. Exporters from countries whose governments used bilateralism strategically to bring down partner tariffs benefitted most. Hence, the network in form and outcome is more properly identified with reciprocal liberalization practiced by the French than with British free-trade ideology.

AB - This study contributes to a revised picture of nineteenth-century bilateralism. Employing a new disaggregated data set, it argues that bilateral treaties did not implement general free trade, but instead reduced tariffs unevenly through commodity-specific preferences, especially favoring manufactured goods. Gravity model estimates show that specific liberalizations increased exports of corresponding items, but not overall trade. Exporters from countries whose governments used bilateralism strategically to bring down partner tariffs benefitted most. Hence, the network in form and outcome is more properly identified with reciprocal liberalization practiced by the French than with British free-trade ideology.

U2 - 10.1017/S0022050709001363

DO - 10.1017/S0022050709001363

M3 - Journal article

VL - 69

SP - 1012

EP - 1040

JO - Journal of Economic History

JF - Journal of Economic History

SN - 0022-0507

IS - 4

ER -