G2TT
来源类型Discussion paper
规范类型论文
来源IDDP9529
DP9529 Cooperation in WTO's Tariff Waters
Marcelo Olarreaga; Alessandro Nicita; Peri Silva
发表日期2013-06-30
出版年2013
语种英语
摘要A rationale for cooperation in trade negotiations is the internalization of terms-of-trade externalities. With the help of a simple theoretical framework we show that the textbook prediction that non-cooperative tariffs are positively correlated to the importer's market power is reversed when tariffs are set cooperatively. We use this prediction to identify the extent of cooperation re ected in WTO members' tariffs. Because many members of the WTO apply tariffs well below the negotiated tariff bounds, creating what is known as tariff water, there is also room for WTO members to set non-cooperative tariffs. As expected, we found that in the absence of tariff water, WTO tariffs are set cooperatively. Interestingly, non-cooperative tariff setting is only observed in the presence of sufficiently large amounts of tariff water, suggesting that cooperation in the WTO goes well beyond negotiated tariff bounds. We also found evidence that cooperation within WTO tariff waters can be explained by the fear of retaliation from trading partners with market power and tariff water in their schedules.
主题International Trade and Regional Economics
关键词Export supply elasticities Tariff water Wto cooperation
URLhttps://cepr.org/publications/dp9529
来源智库Centre for Economic Policy Research (United Kingdom)
资源类型智库出版物
条目标识符http://119.78.100.153/handle/2XGU8XDN/538365
推荐引用方式
GB/T 7714
Marcelo Olarreaga,Alessandro Nicita,Peri Silva. DP9529 Cooperation in WTO's Tariff Waters. 2013.
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