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Quality-Adjusted Handicraft Estimates of NTM Price Gaps

Michele Breaux, Yasnanhia Cabral, Michael J. Ferrantino and José E. Signoret

No 332378, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

Abstract: The NTM analysis in this paper estimates supplier-specific price gaps for a number of countries in a way that allows for both quality differences in exported products and the possibility that the NTMs may have a greater or lesser impact on prices for imports from different sources. The estimation procedure uses bilateral trade statistics and compares the destination market’s import prices (c.i.f. unit values) by supplier with the various suppliers’ export prices (f.o.b. unit values) to the world. These supplier-specific gaps can then be aggregated into price gaps for each good, by using quantities imported by supplier as weights. The results reveal new information about the variation in restrictiveness of NTMs across countries, products, and policies.

Keywords: Demand and Price Analysis; International Relations/Trade (search for similar items in EconPapers)
Pages: 4
Date: 2013
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