Revenue Tariff Reform

J. Peter Neary and James Anderson

No 688, Economics Series Working Papers from University of Oxford, Department of Economics

Abstract: What kind of tariff reform is likely to raise welfare in situations where tariff revenue is important? Uncertainty about specification and risk from imprecise parameter estimates of any particular specification reduce the credibility of simulation estimates. A promising alternative is to develop rules which are robust with respect to such uncertainty. We present sufficient conditions for a class of linear rule that guarantee welfare-improving tariff reform. The rules span cones of welfare-improving tariff reforms consisting of convex combinations of (i) trade-weighted-average-tariff-preserving dispersion cuts; and (ii) uniform tariff cuts that preserve domestic relative prices among tariff-ridden goods.

Keywords: Trade policy reform; Generalized mean and variance of tariffs; Tariff revenue; Piecemeal policy reform (search for similar items in EconPapers)
JEL-codes: F13 H21 (search for similar items in EconPapers)
Date: 2013-12-13
New Economics Papers: this item is included in nep-int and nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ora.ox.ac.uk/objects/uuid:ca8f47b7-9b9f-433c-bacf-1cba9da09d65 (text/html)

Related works:
Working Paper: Revenue Tariff Reform (2014)
Working Paper: Revenue Tariff Reform (2013)
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:oxf:wpaper:688

Access Statistics for this paper

More papers in Economics Series Working Papers from University of Oxford, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Anne Pouliquen ( this e-mail address is bad, please contact ).