The World Economy: Global Trade Policy 2012

The World Economy: Global Trade Policy 2012 is the nineteenth in an annual series in which leading economists provide a concise and accessible evaluation of major developments in trade and trade policy. Each annual volume examines key issues pertinent to the multilateral trading system, as well as regional trade arrangements and policy developments at the national level. Each volume also provides assessments of the World Trade Organization′s recent Trade Policy Reviews . The 2012 issue analyses global trade policy in areas such as Australia and Sri Lanka, and includes special sections on both China and Malaysia. This book is a vital resource for researchers, analysts and policy–advisors interested in trade policy and other open economy issues.

Notes on Contributors vi TRADE POLICY REVIEWS 1 Australian Trade Policy Strategy Contradictions SHIRO ARMSTRONG 1 2 Trade Policy Review for China: Continuing Globalisation Amidst the World Financial Crisis SHUJIE YAO AND CHANG LIU 13 3 Sri Lanka’s Trade Policy: Reverting to Dirigisme? PREMA–CHANDRA ATHUKORALA 31 SPECIAL FEATURE ON MALAYSIA 4 Malaysia: A Success Story Stuck in the Middle? HAL HILL, THAM S. YEAN AND RAGAYAH H. M. ZIN 57 CURRENT ISSUES IN CHINA 5 Zhu Rongji Might Be Right: Understanding the Mechanism of Fast Economic Development in China  JUN ZHANG 83 6 China and the World Trading System AADITYA MATTOO AND ARVIND SUBRAMANIAN 103 7 Chinese Networks and Tariff Evasion LORENZO ROTUNNO AND PIERRE–LOUIS VÉZINA 143 8 Trading Partners, Traded Products and Firm Performances of China’s Exporter–Importers: Does Processing Trade Make a Difference? ZHENG WANG AND ZHIHONG YU 165 Index 195

David Greenaway is Vice–Chancellor of the University of Nottingham, where he is also Professor of Economics and Research Fellow in the Leverhulme Centre for Research on Globalisation and Economic Policy .’