Regulatory barriers to trade in services: A new database and composite indices

Sebastian Benz, Janos Ferencz and Hildegunn Nordås

The World Economy, 2020, vol. 43, issue 11, 2860-2879

Abstract: This paper presents new data on services trade regulation for 46 countries in 22 services sectors over 6 years (2014–2019). The data consist of qualitative information which is scored and weighted to produce composite indices. They cover market access and national treatment restrictions with respect to all GATS modes of supply, but also behind the border domestic regulation such as licensing, non‐transparent regulatory procedures and competition policy. The database is updated annually. The trade restrictiveness indices (STRIs) are significantly correlated with services trade flows, but also with the performance of the sectors subject to the restrictions including logistics performance indicators, interest spreads, density of ATMs and secure servers, broadband penetration and outcomes such as legal rights and the time to resolve insolvency.

Date: 2020
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