Hidden Protectionism? Evidence from Non-Tariff Barriers to Trade in the United States

42 Pages Posted: 16 Jan 2015

See all articles by Robert Grundke

Robert Grundke

Ludwig Maximilian University of Munich (LMU)

Christoph Moser

ETH Zurich - KOF Swiss Economic Institute

Multiple version iconThere are 2 versions of this paper

Date Written: December 30, 2014

Abstract

Are product standards protectionism in disguise? This paper estimates the costs of non-compliance with U.S. product standards, using a new database on U.S. import refusals from 2002 to 2012. We find that import refusals significantly decrease exports to the United States. This trade reducing effect is driven by developing countries and by refusals without any product sample analysis, in particular during the Subprime Crisis and its aftermath. This empirical result is consistent with (but does not prove) the existence of counter-cyclical, hidden protectionism due to non-tariff barriers to trade in the United States.

Keywords: hidden protectionism, international trade, developing countries, import refusals, regulatory costs, disaggregated, United States

JEL Classification: F130, F140, O240, F630

Suggested Citation

Grundke, Robert and Moser, Christoph, Hidden Protectionism? Evidence from Non-Tariff Barriers to Trade in the United States (December 30, 2014). CESifo Working Paper Series No. 5142. Available at SSRN: https://ssrn.com/abstract=2550145

Robert Grundke

Ludwig Maximilian University of Munich (LMU) ( email )

Geschwister-Scholl-Platz 1
Munich, Bavaria 80539
Germany

Christoph Moser (Contact Author)

ETH Zurich - KOF Swiss Economic Institute ( email )

Zurich
Switzerland

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