Does Trade Facilitation Matter in Bilateral Trade ?
AbstractThis paper estimates an augmented gravity model incorporating different aspects of Trade Facilitation in develop and developing countries. Trade Facilitation is defined as measures that aim at making international trade easier by eliminating administrative delays, simplifying commercial procedures, increasing transparency, security and the place of new technologies in trade. This paper provides new theoretical and empirical enhancements. On the one hand, the model is based on theoretical foundations related to monopolistic competition and border effects. The orginality of this paper is that Trade Facilitation facets are included in the model. On the other hand, the empirical achievement of the paper is that it uses different databases allowing us to take into account many features of Trade Facilitation. I use several databases coming from different sources : Doing business (World Bank) and Institutional Profiles (CEPII). My main findings show that transaction time for imports and number of documents for exports have a negative impact on trade. Our sample is split into sub-samples in order to take into account the impact of development level. It turns out that Trade Facilitation aspects have not the same impact on developed and developing countries. Finally, we conclude that some perishable (food and beverages), seasonal (wearing apparels) and high-value added products are more sensitive to import time than other products. Hard industries are rather sensitive to export documents.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by HAL in its series Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) with number halshs-00348924.
Date of creation: Nov 2008
Date of revision:
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00348924
Contact details of provider:
Web page: http://hal.archives-ouvertes.fr/
Trade facilitation; gravity models; border effects.;
Other versions of this item:
- Chahir Zaki, 2008. "Does trade facilitation matter in bilateral trade ?," Documents de travail du Centre d'Economie de la Sorbonne bla08100, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
- Chahir Zaki, 2009. "Does Trade Facilitation Matter In Bilateral Trade?," Working Papers 472, Economic Research Forum, revised Mar 2009.
- F10 - International Economics - - Trade - - - General
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
- F15 - International Economics - - Trade - - - Economic Integration
This paper has been announced in the following NEP Reports:
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Saslavsky, Daniel & Shepherd, Ben, 2012. "Facilitating international production networks : the role of trade logistics," Policy Research Working Paper Series 6224, The World Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CCSD).
If references are entirely missing, you can add them using this form.