The main goal of this chapter is to define and measure the intensity of tariff preferences. Several definitions are feasible and have been used in the literature. Once the tariff margin is defined, it can be expressed in absolute or relative terms. These are not alternatives because they provide different information about trade policy. Nevertheless, however the tariff margin is defined and expressed, in the context of trade policy there are problems related to aggregation. Building on Anderson and Neary’s (2005) work on theoretically grounded trade policy indexes, we define an aggregate measure (Mercantilistic Trade Preference Index – MTPI) of trade preferential margins. Because it focuses on export volumes, the MTPI enables a method of aggregation that is consistent with the main objective of preferential policies. We compute sectoral MTPIs for European Union (EU) preferences granted to 167 exporters, to assess how preferential market access differs across sectors.
EU preferential margins: measurement and aggregation issues
CIPOLLINA, Maria;
2011-01-01
Abstract
The main goal of this chapter is to define and measure the intensity of tariff preferences. Several definitions are feasible and have been used in the literature. Once the tariff margin is defined, it can be expressed in absolute or relative terms. These are not alternatives because they provide different information about trade policy. Nevertheless, however the tariff margin is defined and expressed, in the context of trade policy there are problems related to aggregation. Building on Anderson and Neary’s (2005) work on theoretically grounded trade policy indexes, we define an aggregate measure (Mercantilistic Trade Preference Index – MTPI) of trade preferential margins. Because it focuses on export volumes, the MTPI enables a method of aggregation that is consistent with the main objective of preferential policies. We compute sectoral MTPIs for European Union (EU) preferences granted to 167 exporters, to assess how preferential market access differs across sectors.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
