Abstract

http://ssrn.com/abstract=1973862
 


 



Trade Policy Versus Trade Facilitation: An Application Using 'Good Old' OLS


Laura Marquez-Ramos


affiliation not provided to SSRN

Inmaculada Martinez-Zarzoso


Jaume I University - Department of Economics; University of Goettingen (Gottingen) - Ibero American Institute for Economic Research; University of Goettingen (Gottingen) - School of Law, Economics, Social Sciences

Celestino Suárez-Burguet


affiliation not provided to SSRN

2011

Economics Discussion Paper No. 2011-38

Abstract:     
Trade policy barriers are only one element of overall trade costs. Among these, and due to the decrease in the influence of tariff barriers on trade over time, institutional barriers might increase in relative importance and become a key obstacle to the movements of goods across countries. This paper quantifies and compares the impact that a number of trade facilitation and trade policy barriers have on bilateral trade flows. A theoretically justified gravity model of trade is estimated by using the methodology proposed in Baier and Bergstrand (2009) for a cross-section of countries in the year 2000. Results indicate that institutional trade barriers have a greater impact on trade flows than tariff barriers. According to these findings, trade policy negotiation efforts should focus on facilitating trade processes and should be at the forefront of multilateral negotiations.

Number of Pages in PDF File: 34

Keywords: Tariff barriers, trade facilitation, sectoral trade

JEL Classification: F14

working papers series


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Date posted: December 17, 2011  

Suggested Citation

Marquez-Ramos, Laura and Martinez-Zarzoso, Inmaculada and Suárez-Burguet, Celestino, Trade Policy Versus Trade Facilitation: An Application Using 'Good Old' OLS (2011). Economics Discussion Paper No. 2011-38. Available at SSRN: http://ssrn.com/abstract=1973862 or http://dx.doi.org/10.2139/ssrn.1973862

Contact Information

Laura Marquez-Ramos (Contact Author)
affiliation not provided to SSRN
No Address Available
Inmaculada Martinez-Zarzoso
Jaume I University - Department of Economics ( email )
Campus del Riu Sec.
E-12071 Castellon
Spain
University of Goettingen (Gottingen) - Ibero American Institute for Economic Research ( email )
Platz der Goettinger sieben 3
Goettingen, 37075
Germany
University of Goettingen (Gottingen) - School of Law, Economics, Social Sciences ( email )
Germany
Celestino Suárez-Burguet
affiliation not provided to SSRN
No Address Available
Feedback to SSRN


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