| Today, trade policy is at the forefront of the development agenda, and it is a critical element of any strategy to fight poverty. This renewed interest in trade liberalization does not come from dogma but instead is based on a careful assessment of development experience over the last 50 years.
Developing countries that increased their integration into the world economy over the past two decades achieved higher growth in incomes, longer life expectancy, and better schooling. These countries,home to some 3 billion people, enjoyed an average 5 percent growth rate in income per capita in the 1990s compared to 2 percent in rich countries. A common thread exists among these developing countries that have been successful at generating greater growth and at lifting people out of poverty.
They opened up their economies as part of a broader development strategy that builds on two pillars: improving the investment climate for the private sector to generate jobs and empowering poor people, so they can participate in growth. |
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