Briefing Paper

Trade, Inequality and Morocco

International trade has become a pervasive feature of our lives, yet it remains controversial and resisted across the world. High and rising income inequality, which is often blamed on international trade, especially trade with China, is one reason. But the main driver of inequality is new technology, not international trade. Although trade interacts with new technology in ways that often lead to higher inequality, trade and technology also lie at the root of economic advance. So the solution is to adapt to them, not to stop them. In Morocco, improved education outcomes are very important in this regard.