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Which import restrictions matter for trade in services ?

Author

Listed:
  • Julien Gooris
  • Cristina Mitaritonna
Abstract
This study exploits rich databases of services trade and import restrictions to estimate the effects of discrete restrictiveness levels on bilateral services flows using a gravity model, and to derive tariff equivalents in three service sectors (Other Business Services, Banking and Insurance). We preserve the discrete nature of the restrictions to import, which are provided by the World Bank - WB (see Borchert et al., 2014). For each sector-country combination, we evaluate restrictiveness using four discrete levels of restrictiveness, from totally open to closed. This approach allows us track the effect of the specific import restrictions in place. We highlight their non-linear impact on services flows showing threshold effects and the trade stimulating effect of minor import restrictions on a restriction-free environment. Finally we derive tariff equivalents directly from the impact of applied restrictions.

Suggested Citation

  • Julien Gooris & Cristina Mitaritonna, 2015. "Which import restrictions matter for trade in services ?," Working Papers 2015-33, CEPII research center.
    • Handle: RePEc:cii:cepidt:2015-33
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    Cited by:

    1. Lionel Fontagné & Cristina Mitaritonna & José E. Signoret, 2016. "Estimated Tariff Equivalents of Services NTMs," Working Papers 2016-20, CEPII research center.
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    3. Zongo, Amara, 2020. "The Impact of Services Trade Restrictiveness on Food Trade," MPRA Paper 101658, University Library of Munich, Germany.

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    More about this item

    Keywords

    services trade; regulatory protection; gravity model; ad-valorem tariff equivalents;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • L80 - Industrial Organization - - Industry Studies: Services - - - General

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