REGULATIONS: TRADE POLICIES & PATTERNS OF PROTECTION
Industrialization with a protectionist orientation & gradually moved to free trade.
Efficiency: generate benefits of international competition through mixed trade regimes:
granted exporters duty-free imports of capital & intermediate goods while protecting consumer goods.
export prices set in international markets below MC/AC, profits in protected domestic market offset export losses.
nominal tariff rates are lower in HPAEs than other DCs.