Do unilateral trade preferences help export diversification? An investigation of the impact of European unilateral trade preferences on the extensive and intensive margin of trade
We analyze the impact of the EU unilateral trade preferences on both the intensive and the extensive margin of trade. Using a tobit and probit estimation we find that the impact of unilateral trade preferences on both margins is strictly linked to the sector under analysis and to the type of preferences a country benefits from. In particular, we find an anti-diversification effect along with a concentration of exports in agricultural products in the case of more stable preferential schemes, as represented by the African Caribbean and Pacific trade preferences. We also confirm that the Generalized System of Preferences (GSP) for least developing countries did not change the beneficiaries' export pattern, while the traditional GSP and the regime to combat drug production tend to promote diversification of exports.
|Date of creation:||Jul 2007|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: ++41 22 731 17 30
Fax: ++41 22 738 43 06
Web page: http://www.graduateinstitute.ch/economics
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Baldwin, Richard & Forslid, Rikard, 2004.
"Trade Liberalization with Heterogenous Firms,"
CEPR Discussion Papers
4635, C.E.P.R. Discussion Papers.
- Baldwin, Richard & Di Nino, Virginia, 2006.
"Euros and Zeros: The Common Currency Effect on Trade in New Goods,"
CEPR Discussion Papers
5973, C.E.P.R. Discussion Papers.
- Richard E. Baldwin & Virginia Di Nino, 2006. "Euros and Zeros: The Common Currency Effect on Trade in New Goods," NBER Working Papers 12673, National Bureau of Economic Research, Inc.
- Richard Baldwin Virginia Di Nino, 2006. "Euros and zeros: The common currency effect on trade in new goods," IHEID Working Papers 21-2006, Economics Section, The Graduate Institute of International Studies, revised 31 Oct 2006.
- Denis Medvedev, 2010.
"Preferential trade agreements and their role in world trade,"
Review of World Economics (Weltwirtschaftliches Archiv),
Springer, vol. 146(2), pages 199-222, June.
- Medvedev, Denis, 2006. "Preferential trade agreements and their role in world trade," Policy Research Working Paper Series 4038, The World Bank.
- Hoekman, Bernard & Ozden, Caglar, 2005. "Trade preferences and differential treatment of developing countries : a selective survey," Policy Research Working Paper Series 3566, The World Bank.
- Shang-Jin Wei & Arvind Subramanian, 2003.
"The WTO Promotes Trade, Strongly But Unevenly,"
IMF Working Papers
03/185, International Monetary Fund.
- Arvind Subramanian & Shang-Jin Wei, 2003. "The WTO Promotes Trade, Strongly But Unevenly," NBER Working Papers 10024, National Bureau of Economic Research, Inc.
- Subramanian, Arvind & Wei, Shang-Jin, 2005. "The WTO Promotes Trade, Strongly But Unevenly," CEPR Discussion Papers 5122, C.E.P.R. Discussion Papers.
- Andrew K. Rose, 2002.
"Do We Really KNow that the WTO Increases Trade?,"
182002, Hong Kong Institute for Monetary Research.
- Alberto Amurgo Pacheco, 2006. "Preferential Trade Liberalization and the Range of Exported Products: The Case of the Euro-Mediterranean FTA," IHEID Working Papers 18-2006, Economics Section, The Graduate Institute of International Studies.
- Elhanan Helpman & Marc J. Melitz & Stephen R. Yeaple, 2004.
"Export Versus FDI with Heterogeneous Firms,"
American Economic Review,
American Economic Association, vol. 94(1), pages 300-316, March.
- Hoekman, Bernard, 2004. "Dismantling Discrimination Against Developing Countries: Access, Rules and Differential Treatment," CEPR Discussion Papers 4694, C.E.P.R. Discussion Papers.
- Persson, Maria & Wilhelmsson, Fredrik, 2006. "Assessing the Effects of EU Trade Preferences for Developing Countries," Working Papers 2006:4, Lund University, Department of Economics, revised 26 Jun 2006.
- 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.
- repec:rus:hseeco:123558 is not listed on IDEAS
- Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2006. "Trading Partners and Trading Volumes," DEGIT Conference Papers c011_022, DEGIT, Dynamics, Economic Growth, and International Trade.
- Brenton, Paul, 2003. "Integrating the least developed countries into the world trading system : the current impact of EU preferences under everything but arms," Policy Research Working Paper Series 3018, The World Bank.
- Fabien Candau & Sébastien Jean, 2005.
"What Are EU Trade Preferences Worth for Sub-Saharan Africa and Other Developing Countries?,"
2005-19, CEPII research center.
- Candau, Fabien & Jean, Sebastien, 2005. "What Are EU Trade Preferences Worth for Sub-Saharan Africa and Other Developing Countries?," Working Papers 18863, TRADEAG - Agricultural Trade Agreements.
- Ronna Cong, 2001. "Marginal effects of the tobit model," Stata Technical Bulletin, StataCorp LP, vol. 10(56).
When requesting a correction, please mention this item's handle: RePEc:gii:giihei:heiwp17-2007. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Maria Sokolova)
If references are entirely missing, you can add them using this form.