LIBERALIZATION POLICIES AND THEIR IMPACT ON ECONOMIC GROWTH IN DEVELOPING COUNTRIES

This study provides a comprehensive analysis of the relationship between trade liberalization policies and economic growth in developing countries. It begins by establishing the importance of international trade as a driver of development and the emergence of liberalization as a key strategy promoted by global institutions. The core problem identified is the mixed and often contradictory impact of these policies on developing economies, which face unique structural challenges like weak infrastructure, dependency on primary commodities, and vulnerable nascent industries.The theoretical framework delves into the concepts of trade liberalization its historical context, reasons (e.g., debt crises, structural adjustment programs), and forms (unilateral, bilateral, regional, multilateral) and economic growth its definitions, types (quantitative/qualitative, extensive/intensive), and classical theories (Smith, Ricardo). A significant portion is dedicated to analyzing the specific experience of developing countries with liberalization, highlighting both potential benefits (FDI, technology transfer, market access) and significant risks (de-industrialization, job losses, adjustment costs).