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Effective Rates of Assistance for Norwegian Industries

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  • Holmoy, Erling
  • Haegeland, Torbjorn

Abstract

The authors measure the effective assistance to twenty-four Norwegian private industries in 1989 and 1991 from government budgetary subsidies, indirect commodity taxes, import protection through nominal tariffs and nontariff barriers, and electricity market distortions. The assistance effects are measured by the change in the net-of-tax value added price due to a removal of the policy measures considered. Most industries were effectively assisted but the effective assistance differs widely between industries, indicating the overall distortive effect on the industry structure. Agriculture, Food Processing, and Manufacture of Beverages and Tobacco stand out as the most assisted industries. Budgetary subsidies and nontariff barriers had the strongest effective assistance effect. Copyright 1999 by The International Association for Research in Income and Wealth.

Suggested Citation

  • Holmoy, Erling & Haegeland, Torbjorn, 1999. "Effective Rates of Assistance for Norwegian Industries," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 45(1), pages 99-116, March.
  • Handle: RePEc:bla:revinw:v:45:y:1999:i:1:p:99-116
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    Cited by:

    1. Faehn, Taran & Grunfeld, Leo A., 1999. "Recent Leaps Towards Free Trade: The Impact on Norwegian Industry and Trade Patterns," Journal of Policy Modeling, Elsevier, vol. 21(6), pages 715-745, November.
    2. Sverre Grepperud, 1997. "Soil Depletion Choices under Production and Price Uncertainty," Discussion Papers 186, Statistics Norway, Research Department.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • L71 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Mining, Extraction, and Refining: Hydrocarbon Fuels

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