TY - BOOK ID - 136142296 TI - Aid for Trade, Infrastructure, and the Growth Effects of Trade Reform : Issues and Implications for Caribbean Countries PY - 2010 PB - Washington, D.C., The World Bank, DB - UniCat KW - Balance of payments KW - Capital formation KW - Debt KW - Debt Markets KW - Distorted incentives KW - Domestic products KW - Economic growth KW - Economic Theory & Research KW - Emerging Markets KW - Empirical evidence KW - Environment KW - Environmental Economics & Policies KW - Expenditures KW - Externalities KW - Finance and Financial Sector Development KW - Free Trade KW - Intermediate goods KW - International Economics and Trade KW - Labor force KW - Labor markets KW - Macroeconomics and Economic Growth KW - Private Sector Development KW - Production costs KW - Property rights KW - Public goods KW - Quotas KW - Tax revenue KW - Trade taxes KW - Unemployment KW - Welfare gains UR - https://www.unicat.be/uniCat?func=search&query=sysid:136142296 AB - This paper examines how aid-for-trade programs can help to magnify the growth benefits that developing countries can reap from trade reform and global integration, with a special emphasis on the Caribbean region. The first part discusses various rationales for trade-related aid, viewed both as a compensatory scheme (aimed at cushioning the impact of revenue cuts and adjustment costs) and a promotion scheme (aimed at alleviating supply-side constraints). In the latter case, particular attention is paid to the role of infrastructure as a constraining factor on trade expansion. The second part discusses the relevance of aid-for-trade arguments for Caribbean countries and identifies a number of specific issues for the region. The third part illustrates the potential growth effects of aid-for-trade programs with simulation results for the Dominican Republic - a country where infrastructure indicators remain relatively weak. The results illustrate the potentially large growth benefits that a temporary and well-targeted aid-for-trade program can provide to countries of the region. ER -