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Explaining National Border Effects in the Quad Food Trade AgEcon
Olper, Alessandro; Raimondi, Valentina.
Starting from a theoretically consistent gravity model, this paper first provides estimates of bilateral 'border effects' in food trade among Quad countries (Canada, USA, Japan and EU) at the ISIC 4-digit level. Then, it investigates the underlying reasons of border effect, assessing the role played by policy barriers (tariffs and non-tariff barriers) with respect to barriers unrelated to trade policy, such as information related costs and cultural proximity. In contrast with several previous findings, we show that policy barriers are part of the story in explaining the strong trade reduction effect induced by national borders, and this is especially true when we control for the endogeneity of trade policy to imports, as suggested by political economy...
Tipo: Conference Paper or Presentation Palavras-chave: Border effect; Food trade; Market access; Gravity; QUAD countries; International Relations/Trade; F13; F14; Q17.
Ano: 2006 URL: http://purl.umn.edu/25467
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Market Access Asymmetry in Food Trade among Quad Countries AgEcon
Olper, Alessandro; Raimondi, Valentina.
This paper uses a gravity-like structure derived from a monopolistic competition model to measure market access among Canada, USA, Japan and EU – Quad countries – over the 1996-2001 period. We explore the overall asymmetry and 18 food industrial-level asymmetries of bilateral trade openness. Using actual bilateral estimates of tariffs and nontariff barriers, we investigate their role in explaining the trade reduction effect of national borders. A representative estimate of market access shows that higher asymmetries exist in USA, Canada and EU trade with Japan. Quite surprisingly, the last country is always more open than the reverse. Finally, we found that tariffs and NTBs explain a significant part of the border effects and that the NTB role is often...
Tipo: Conference Paper or Presentation Palavras-chave: Market access; Food trade; Asymmetry; Gravity; QUAD countries; International Relations/Trade; F13; F14; Q17.
Ano: 2005 URL: http://purl.umn.edu/24596
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