Trade and Uneven Development

International trade has historically been a force for development and poverty reduction. But trade is increasingly viewed as contributing to inequality and risk. It is also seen as depleting natural resources and a growing threat to the environment. Finally, there is a growing belief that trade is a zero-sum game and not a mutually beneficial process. As a result, protectionism is on the rise and policy makers are increasingly resorting to unilateral solutions, internationally and domestically, often at odds with the lessons from economics research. Given the depth of global interdependence, and the fact that many countries are also still pursuing liberalizing policies in parallel to restrictive ones, the outcomes for development are difficult to predict.

To discuss the role of international trade on development outcomes and their sustainability and inclusivity, the World Bank Development Economics Department and the editorial team from the Journal of International Economics hosted a research conference in Washington, DC on September 12-13, 2024.