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Measuring Protection: Mission Impossible?

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  • Salvatici, Luca
  • Cipollina, Maria

Abstract

In the international trade literature there seems to be some confusion between "openness" and "protection" measures. The aim of this paper is to bring together the "state of the art" in quantifying trade policy measures, so we focus on the extent of the protection granted by policies rather than on the degree of openness of the economy. Given the huge size of literature dealing with these issues, we limit our review as follows. On the one hand, we focus on trade policies implemented at the border: accordingly, we do not consider all the other possible public interventions influencing trade flows. On the other hand, we take into account only indexes explicitly adopting a metric expressed in a "scalar aggregate" (tariff- and quota-equivalent measures, or an index in a closed interval). We distinguish between indexes that aggregate across products (same barrier for more products) and indexes that aggregate across instruments (more barriers for the same product). Finally, in order to classify the large number of indexes covered in our review, we propose a typology based on three categories: incidence, outcome and equivalence.

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Paper provided by TRADEAG - Agricultural Trade Agreements in its series Working Papers with number 18876.

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Date of creation: 2006
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Handle: RePEc:ags:tragwp:18876

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Web page: http://tradeag.vitamib.com/

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Keywords: Protection; Tariff and Non-Tariff barriers; Tariff and Non-Tariff measures.; International Relations/Trade; F13; F19;

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Cited by:
  1. Listorti, Giulia & Tonini, Axel & Kempen, Makus & Adenauer, Marcel, 2013. "How to Implement WTO Scenarios in Simulation Models: Linking the TRIMAG Tariff Aggregation Tool to Capri," 135th Seminar, August 28-30, 2013, Belgrade, Serbia 160388, European Association of Agricultural Economists.
  2. Alessandro Antimiani & Piero Conforti & Luca Salvatici, 2008. "Measuring Restrictiveness of Bilateral Trade Policies: A Comparison between Developed and Developing Countries," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 144(2), pages 207-224, July.
  3. Francesco Aiello & Federica Demaria, 2010. "Do Trade Preferential Agreements Enhance The Exports Of Developing Countries? Evidence From The Eu Gsp," Working Papers 201002, Università della Calabria, Dipartimento di Economia, Statistica e Finanza (Ex Dipartimento di Economia e Statistica).
  4. Jayasinghe, Sampath J.D.Y. & Beghin, John C. & Moschini, GianCarlo, 2010. "Determinants of World Demand for U.S. Corn Seeds: The Role of Trade Costs," Staff General Research Papers 13018, Iowa State University, Department of Economics.
  5. Ferreira-Lopes, Alexandra & Sousa, Cândida & Carvalho, Helena & Crespo, Nuno, 2013. "Trade Protectionism and Intra-industry Trade: A USA - EU Comparison," MPRA Paper 49482, University Library of Munich, Germany.
  6. Benjamin Bridgman, 2013. "Market entry and trade weighted import costs," Canadian Journal of Economics, Canadian Economics Association, vol. 46(3), pages 982-1013, August.
  7. Diakantoni, Antonia & Escaith, Hubert, 2012. "Reassessing effective protection rates in a trade in tasks perspective: Evolution of trade policy in "Factory Asia"," MPRA Paper 41723, University Library of Munich, Germany.
  8. Disdier, Anne-Celia & Fontagne, Lionel & Mimouni, Mondher, 2007. "The Impact of Regulations on Agricultural Trade: Evidence from SPS and TBT Agreements," Working Papers 18869, TRADEAG - Agricultural Trade Agreements.
  9. Chau, Nancy H. & Färe, Rolf, 2011. "Shadow pricing market access: A trade benefit function approach," Journal of Economic Theory, Elsevier, vol. 146(4), pages 1631-1663, July.
  10. Emlinger, Charlotte & Chevassus-Lozza, Emmanuelle & Jacquet, Florence, 2010. "Fruit and vegetable access to EU markets: Dissecting tariffs faced by Mediterranean countries," Food Policy, Elsevier, vol. 35(6), pages 599-611, December.
  11. Cardamone, Paola & Scoppola, Margherita, 2012. "Trade costs and the pattern of Foreign Direct Investment: evidence from five EU countries," Congress Papers 123993, Italian Association of Agricultural and Applied Economics (AIEAA).
  12. Rickard, Bradley J. & Lei, Lei, 2010. "How important are sanitary and phytosanitary barriers in international markets for fresh fruit?," Working Papers 126974, Cornell University, Department of Applied Economics and Management.
  13. Murat Genç & David Law, 2014. "A Gravity Model of Barriers to Trade in New Zealand," Treasury Working Paper Series 14/05, New Zealand Treasury.

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