EconPapers    
Economics at your fingertips  
 

Preference Erosion and Multilateral Trade Liberalization

Joseph Francois, Bernard Hoekman () and Miriam Manchin ()

No 5153, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Because of concern that OECD tariff reductions will translate into worsening export performance for the least developed countries, trade preferences have proven a stumbling block to developing country support for multilateral liberalization. We examine the actual scope for preference erosion, including an econometric assessment of the actual utilization, and also the scope for erosion estimated by modeling full elimination of OECD tariffs and hence full MFN liberalization-based preference erosion. Preferences are underutilized due to administrative burden — estimated to be at least 4% on average — reducing the magnitude of erosion costs significantly. For those products where preferences are used (are of value), the primary negative impact follows from erosion of EU preferences. This suggests the erosion problem is primarily bilateral rather than a WTO-based concern.

Keywords: development; Doha Round; GSP; preference erosion; trade; WTO (search for similar items in EconPapers)
JEL-codes: F13 (search for similar items in EconPapers)
Date: 2005-07
New Economics Papers: this item is included in nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (29) Track citations by RSS feed

Downloads: (external link)
http://www.cepr.org/active/publications/discussion_papers/dp.php?dpno=5153 (application/pdf)
CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

Related works:
Journal Article: Preference Erosion and Multilateral Trade Liberalization (2006)
Working Paper: Preference Erosion and Multilateral Trade Liberalization (2005) Downloads
Working Paper: Preference Erosion and Multilateral Trade Liberalization (2005) Downloads
Working Paper: Preference erosion and multilateral trade liberalization (2005) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cpr:ceprdp:5153

Ordering information: This working paper can be ordered from
http://www.cepr.org/ ... ers/dp.php?dpno=5153

Access Statistics for this paper

More papers in CEPR Discussion Papers from C.E.P.R. Discussion Papers Centre for Economic Policy Research, 33 Great Sutton Street, London EC1V 0DX.
Bibliographic data for series maintained by ().

 
Page updated 2021-01-22
Handle: RePEc:cpr:ceprdp:5153