Trade openness and policy tools: A vulnerability approach for the Italian regions

A. Federici

Research output: Contribution to conferencePaper

Abstract

This paper analyses the phenomenon of macro vulnerability linked to trade openness, underlining the role of policy tools in reducing exposure to external shocks. Vulnerability as a method of analysis does not override traditional approaches, offering instead a new lens to examine the dynamics of development. Vulnerability can be defined as the continuous forward looking state of expected outcomes: while well being and poverty are ex post outcomes, vulnerability is an ex ante condition that could potentially lead to a negative outcome. The main result of the empirical analysis is that the regions of the South of Italy have experienced a worsening of their macroeconomic well being. This has to be related to the limited ability to cope with higher degrees of uncertainty as well as poor use of adequate policy tools that are able to mitigate the repercussions of trade shocks on the domestic economy. This output implies the need to adopt new, specific and forward looking macroeconomic policies able both to support the process of trade liberalization and to limit risk exposure and enhance the response capabilities of the population.
Original languageEnglish
DOIs
Publication statusPublished - 2008
Externally publishedYes
Event6th International Conference on Computer Simulation Risk Analysis and Hazard Mitigation, Risk Analysis 2008 - , Greece
Duration: 1 Jan 2008 → …

Conference

Conference6th International Conference on Computer Simulation Risk Analysis and Hazard Mitigation, Risk Analysis 2008
CountryGreece
Period1/1/08 → …

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All Science Journal Classification (ASJC) codes

  • Management Information Systems
  • Computer Science(all)

Cite this

Federici, A. (2008). Trade openness and policy tools: A vulnerability approach for the Italian regions. Paper presented at 6th International Conference on Computer Simulation Risk Analysis and Hazard Mitigation, Risk Analysis 2008, Greece. https://doi.org/10.2495/RISK080311