Trade barriers and trade flows across countries and industries

Jong-Wha Lee and Phillip Swagel

No 476, International Finance Discussion Papers from Board of Governors of the Federal Reserve System (U.S.)

Abstract: We use disaggregated data on trade flows, production, and trade barriers for 41 countries in 1988 to examine the political and economic determinants of non-tariff barriers, as well as the impact of protection (both tariff and non-tariff) on trade flows. We use an econometric framework that allows for the simultaneous detennination of trade barriers and trade flows. Our results are consistent with political-economy theories of the determinants of protection: even after accounting for industry-specific factors, nations tend to protect industries that are weak, in decline, and threatened by import competition. Countries also give more protection to large industries; these might be thought of as politically important. Nations use tariffs, non-tariff barriers, and exchange rate controls as complementary instruments of protection.

Keywords: International; trade (search for similar items in EconPapers)
Date: 1994
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (33)

Downloads: (external link)
http://www.federalreserve.gov/pubs/ifdp/1994/476/default.htm (text/html)
http://www.federalreserve.gov/pubs/ifdp/1994/476/ifdp476.pdf (application/pdf)

Related works:
Journal Article: Trade Barriers And Trade Flows Across Countries And Industries (2000)
Working Paper: Trade Barriers and Trade Flows across Countries and Industries (1994)
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:fip:fedgif:476

Access Statistics for this paper

More papers in International Finance Discussion Papers from Board of Governors of the Federal Reserve System (U.S.) Contact information at EDIRC.
Bibliographic data for series maintained by Ryan Wolfslayer ; Keisha Fournillier ().