Market Structure and Market Access
AbstractWe examine the interaction between goods trade and market power in domestic trade and distribution sectors. Theory suggests a set of linkages between service-sector competition and goods trade supported by econometrics involving imports of 22 OECD countries vis-à-vis 69 exporters. Competition in services affects the volume of goods trade while the market structure of the domestic service sector becomes increasingly important as tariffs are reduced. Empirically, lack of service competition apparently matters most for exporters in smaller, poorer countries. By ignoring the structure of the domestic services sector, we may be seriously overestimating the market-access benefits of tariff reductions.
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Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2239.
Date of creation: 2008
Date of revision:
import volumes; distribution section; market access; services; trade liberalisation; GATS; gravity model;
Other versions of this item:
- Joseph F. Francois & Ian Wooton, 2007. "Market structure and market access," Economics working papers 2007-06, Department of Economics, Johannes Kepler University Linz, Austria.
- Francois, Joseph & Wooton, Ian, 2007. "Market structure and market access," Policy Research Working Paper Series 4151, The World Bank.
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
- F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
- L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
- L80 - Industrial Organization - - Industry Studies: Services - - - General
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