This paper argues that trade liberalization has a potentially significant impact on financial leverage. We compare the predictions of the trade-off model of capital structure with the pecking order model. In the first case, we suggest that trade liberalization affects the trade-off between the tax advantages of debt and expected bankruptcy costs. This implies that a reduction in domestic tariff...

Small and medium-sized enterprises (SMEs) play a very important role in enhancing economic development in Laos. However, SMEs in Laos are small and lack competitiveness. The inflow of foreign direct investment (FDI) and trade liberalization in Laos bring opportunities and challenges for SMEs in Laos. Moreover, issues of SMEs and assessment of SMEs promotion policy are not well understood for la...

The link between trade liberalization and poverty reduction has played a crucial role on economic policy in developing and least developed countries, particularly in sub-Saharan Africa. Academic research shows a remarkable lack of consensus and no clear effects in the direction of these linkages. This study presents an overview of the impact of trade liberalization on poverty in Sub-Saharan Afr...

The World Trade Organisation (WTO) which became operational on 1 January 1995 is the successor to the General Agreement on Tariffs and Trade (GATT). The WTO provides the legal framework for world trade, and it has been given extensive regulatory and supervisory powers. Whereas the GATT was solely concerned with trade liberalization based on tariff concessions, the WTO’s approach embraces discus...