Do tariffs matter for the extensive margin of international trade? An empirical analysis

Debaere, Peter; Mostashari, Shalah

doi:10.1016/j.jinteco.2010.03.005

Cited by 125 publications

(122 citation statements)

References 18 publications

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“…Finally, to control for the possibility of tari¤s being endogenous, we use as instruments the lagged value of tari¤s and the three-year lagged moving average mean of the value of trade and the production of the country of origin of the trade ‡ow. The underlying intuition is that stronger import competition from a country is more like to trigger protection (see Debaere and Mostashari, 2010;Olivero and Yotov, 2012). 10 …”

Section: Estimation Strategy: Addressing the Initial Condition Problemmentioning

confidence: 99%

Analyzing Trade Liberalization Effect in the Egg Sector Using a Dynamic Gravity Model

2012

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Abstract:This study analyzes the effects of different liberalization scenarios in the international trade of eggs and egg products. We use a dynamic gravity model that takes into account the observed persistence of trading partners. The estimated parameters of the gravity model serve to quantify the impact of various liberalization scenarios on the probability of importing (extensive margin) and on trade volumes (intensive margin). The results indicate that even in the context of aggressive trade liberalization, trade gains at the extensive margin will be modest. Gains at the intensive margin of trade are present even in the context of partial liberalization -Doha type -of trade.Keywords: Eggs and eggs products, Persistence in trade, Trade liberalization, Gravity model, Random-effects dynamic Probit, Autoregressive panel Résumé:Cette étude analyse les impacts de différents scénarios de libéralisation du commerce international des oeufs, des ovoproduits et des produits à base d'oeufs. Nous utilisons un modèle de gravité dynamique prenant en compte l'effet de persistance des partenaires commerciaux. Les paramètres estimés du modèle de gravité sont utilisés afin de quantifier l'impact des scénarios de libéralisation sur la probabilité d'exporter (marge extensive) et sur l'intensité des volumes commerciaux (marge intensive). Les résultats montrent que les gains sur la probabilité d'exporter sont modestes et cela quel que soit l'ampleur de la libéralisation des échanges. Par contre la libéralisation des échanges se traduit par une augmentation des volumes exportés aussi bien dans le cas du scénario de libéralisation partielle -type Doha -que dans celui d'une libéralisation agressive des échanges.

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Section: Estimation Strategy: Addressing the Initial Condition Problemmentioning

confidence: 99%

Analyzing Trade Liberalization Effect in the Egg Sector Using a Dynamic Gravity Model

2012

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“…Following Debaere and Mostashari (2005), trade policy will be proxied by two variables, the tariff and the (inverse) preference margin faced by the country in the United States market, both measured in terms of ad-valorem equivalents. Formally:…”

Section: Empirical Strategymentioning

confidence: 99%

“…The total effect of the tariff faced by a country, holding constant all other countries' tariffs, will be then given by the sum of the estimated coefficients on these two variables (see Debaere and Mostashari, 2005).…”

Section: Empirical Strategymentioning

confidence: 99%

“…Using the same raw data, Debaere and Mostashari (2005) estimate cross-sectional probit models pooling all countries and products where the dependent variable is a binary indicator taking the value of one if the United States import a given 10-digit HS level product from a particular country in a one-to three-years period (1999)(2000)(2001) and the explanatory variables are the same indicator at the beginning of the sample period (1989)(1990)(1991) to account for the influence of fixed costs related to exporting, the change in the tariff faced by the country at the product level, the change in its preference margin, country fixed effects, and industry fixed effects.…”

mentioning

confidence: 99%

“…The empirical analysis has, however, some weaknesses, which justify a cautious attitude when 10 These sectors are agriculture, textiles and garments, wood and paper, petroleum and plastics, mining and basic metals, machinery and transports, and electronics. 11 Debaere and Mostashari (2005) also derive their estimation equation from a three-country Ricardian model. interpreting results.…”

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confidence: 99%

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte.

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The Trade Effects of the US Tariffs on China (2018–2019): Evidence from Dual Margins Perspective

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Lai

2022

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Do tariffs matter for the extensive margin of international trade? An empirical analysis

Cited by 125 publications

References 18 publications

Analyzing Trade Liberalization Effect in the Egg Sector Using a Dynamic Gravity Model

Analyzing Trade Liberalization Effect in the Egg Sector Using a Dynamic Gravity Model

Trade Policy and Export Diversification: What Should Colombia Expect from the FTA with the United States?

The Trade Effects of the US Tariffs on China (2018–2019): Evidence from Dual Margins Perspective

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