Horgos receives renowned fellowship for sustainable trade policy

Horgos receives renowned fellowship for sustainable trade policy

On March 10, 2025, Prof. Dr. Daniel Horgos from BSP Business & Law School awarded the Stifterverband's CRoSS Fellowship. Horgos, who holds a professorship in economics, impressed the jury with his research project “International Trade Policy and Sustainable Development”. A total of over 80 submissions were received from professors and young scientists, but only a few were able to prevail.

With this fellowship, the Stifterverband annually honors outstanding research projects that contribute to political and social discussion. It is particularly important to promote the communication of research results to experts from politics, business and society. Horgos' work will therefore attract attention not only in scientific circles, but also among decision-makers interested in implementing sustainable development.

Research on trade policy and sustainable development

Horgos' research project analyzes the impact of international trade policy on the achievement of the UN Sustainable Development Goals (SDGs). The focus is on preferential and regional trade agreements that can promote sustainable development through targeted contract design and spillover effects. These approaches are particularly relevant at a time when trade is often discussed as a means to improve global prosperity.

The study also asks to what extent international trade policy, particularly through so-called trade clubs, can contribute to achieving these goals. In economics, free trade is viewed as beneficial to general welfare, but many countries are trapped in protectionism. Interest groups such as employers and unions influence governments to impose protectionist measures, making global trade much more difficult. This is known as the trade prisoner's dilemma, where countries often try to gain advantages through their own protectionist measures.

Protectionism and the role of the WTO

The World Trade Organization (WTO), which was founded in 1995, aims to reduce protectionist measures and prevent unequal treatment between states. According to the bpb However, the WTO faces challenges as regional free trade agreements become increasingly important and can promote discriminatory trading practices. The decline of liberal trade policies, particularly after World War I and through the Smoot-Hawley Act of 1930, has exacerbated the problem.

Within the WTO, 164 countries are members, with Afghanistan being the newest member. The principles of non-discrimination, reciprocity and transparency are central elements that should regulate international trade. However, many countries are often unable to provide the resources to actively participate in negotiations and dispute resolution processes, which can put poorer countries at a disadvantage.

In the context of international trade policy, spillover effects are also evident through regulations such as the Economic Partnership Agreements (EPAs) between the EU and 79 ACP states, which open markets for European products but are at the same time critical for the livelihoods of small farmers in developing countries. These agreements represent a fine line to navigate between fair trade practices and protectionism.

The BSP Business & Law School congratulates Daniel Horgos on this important award and wishes him much success in continuing his research project and publishing his results. Such projects not only promote science, but also contribute to the urgently needed political and social discussion in order to enable sustainable economic development.