Bridges Weekly Trade News DigestVolume 8Number 41 • 1st December 2004

Resources


ECONOMIC AND POLICY ASPECTS OF AGRICULTURAL SUBSIDIES. By Timothy Wise (Global Development and Environment Institute, Tufts University, 2004). This paper examines the economic and policy aspects of agricultural subsidies. It focuses on the most widely used measure of agricultural support, the OECD’s Producer Support Estimate. The paper identifies several important flaws in its application and interpretation as a reliable subsidy measure. A review of economic models of subsidy reduction and trade liberalisation finds that they are unlikely to raise producer prices to a sufficient degree to bring relief from alleged agricultural dumping to Southern farmers. The paper concludes that subsidy reduction is not likely to reduce economic pressures on Mexican maize producers from below-cost US exports, nor are such measures likely to improve the economic prospects for similar small-scale farmers growing food primarily for subsistence and the internal market. Instead, the author argues, policy reforms should focus on ending agricultural dumping, reducing global commodity overproduction in key crops, and reducing the market power of agribusiness conglomerates. The report is available here.

INCORPORATING RESOURCE IMPACT INTO FISHERIES SUBSIDIES DISCIPLINES: ISSUES AND OPTIONS. By the United Nations Environment Programme (2004). This discussion paper considers the potential implications of an international reform of subsidies. With the aim of stimulating dialogue, it offers one view of several possible options for incorporating the impact on resources into existing and new WTO disciplines on fisheries subsidies. The report is available here.

POVERTY REDUCTION AND HUMAN DEVELOPMENT IN AFRICA. By Ben C. Arimah, the Journal of Human Development 5 (3, 2004): 399-415. This paper uses cross-national data to investigate the extent to which the adoption of human development strategies has resulted in a reduction of poverty in Africa. Inter-country variations in income and human poverty reinforce the established patterns of well being within the continent, as countries in Northern and Southern Africa have the lowest levels of poverty. The empirical analysis reveals that inter- country differences in poverty levels can be accounted for by variables indicative of the different facets of human development. These include public expenditure on education, primary school enrolment, female educational enrolment, expenditure on health, and good governance. Other significant variables apart from those pertaining to human development are economic growth, high external debt, the prevalence of HIV/AIDS and the geographical disadvantage of being a landlocked country. The paper also shows that foreign aid has had a limited effect on poverty reduction in Africa. To access the paper visit here.

GLOBALISATION AND SECURING RIGHTS FOR WOMEN INFORMAL WORKERS IN ASIA. By Jeemol Unni, The Journal of Human Development, 5 (3, 2004): 335-354. The major paradigms of the development discourse have recently incorporated the language of rights. To move from the rhetoric of human rights to concretely elaborate the content of rights for informal workers, particularly women, in Asia is the purpose of this paper. Using a rights-based approach to development, the paper takes up the issue of gender-enabling worker rights in the context of developing economies that are increasingly open to external influences. The claim of women and informal workers for a voice in the macro policy decisions through representation at the local, national and international levels is at the heart of the rights-based approach. To access the report visit here.