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Advanced tariff aggregation in global trade models: dismantling tariffs on the Swiss beef market

Mihaly Himics, Giulia Listorti and Axel Tonini

No 261284, 2017 International Congress, August 28-September 1, 2017, Parma, Italy from European Association of Agricultural Economists

Abstract: Two tariff aggregation extensions to global trade models are proposed, taking advantage of international trade data at the tariff line level. The proposed methods correct for typical biases in tariff aggregation. Firstly, they take into account the substitution effects in an optimal consumption bundle at the tariff line level. Secondly, they also deal with the “water” in tariffs, i.e. the imperfect transmission of tariff cuts to domestic prices. Finally, they model Tariff Rate Quotas explicitly. The aggregators are tested for Swiss tariff dismantling scenarios towards imported EU beef products, after implementing them in a partial equilibrium model of the agricultural sector.

Keywords: Agricultural; and; Food; Policy (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int
Date: 2017-08-28
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