Political Pressure and the U.S. Generalized System of Preferences
AbstractThe U.S. Generalized System of Preferences (GSP) provides preferential tariff treatment to imports from developing countries. This paper examines the political and economic criteria that determine which products are eligible for GSP treatment. Particular attention is paid to the role that domestic industries play in determining eligibility. The study finds that active opposition by domestic industries substantially reduces the probability that eligibility is granted. Because domestic opposition is more likely when expected increases in imports are large, this opposition limits the benefits provided by the U.S. GSP.
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Bibliographic InfoArticle provided by Eastern Economic Association in its journal Eastern Economic Journal.
Volume (Year): 22 (1996)
Issue (Month): 1 (Winter)
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Developing Countries; Import; Tariff;
Find related papers by JEL classification:
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- O19 - Economic Development, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
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- Manchin, Miriam, 2005. "Preference utilization and tariff reduction in European Union imports from African, Caribbean, and Pacific countries," Policy Research Working Paper Series 3688, The World Bank.
- Ozden, Caglar & Reinhardt, Eric, 2005.
"The perversity of preferences: GSP and developing country trade policies, 1976-2000,"
Journal of Development Economics,
Elsevier, vol. 78(1), pages 1-21, October.
- Ozden, Caglar & Reinhardt, Eric, 2003. "The perversity of preferences : GSP and developing country trade policies, 1976 - 2000," Policy Research Working Paper Series 2955, The World Bank.
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