This paper investigates how exports respond to trade protection by studying the U.S.-China trade war in 2018. Using monthly customs data in China from January 2017 to May 2019, we find that the launch of the trade war against Chinese exports by the U.S., on average, reduces Chinese total exports...

The purpose of this paper is to assess how restrictions on capital mobility affect adjustment to a tariff liberalization policy. This is done by comparing the adlustment process under free and restricted convertibility of foreign assets in a regime where the commercial exchange rate is pegged....

One of the side effects of the COVID-19 crisis is the resurgence of export restrictions. Many States worldwide adopted temporary restrictions on exports of certain medical goods and some foodstuffs to mitigate actual or potential shortages of critical supplies. 98 States out of 130 adopted...

I study the role of foreign currency risk in affecting export behavior. The dominantrole of the United States Dollar in the international payments system exposes manyemerging market firms to exchange rate risk in international trade due to unexpectedmovements in prices paid in local currency. In...

Illegal or unwanted waste disposal methods such as dumping and export are prevalent in practice. To minimize the negative impact of these methods, policymakers have implemented laws and regulations designed to combat them. Even so, violations are rampant as a high degree of heterogeneity between...

Despite an enormous literature that has analyzed the comparative experiences of Latin America and Asia in post-World War II trade policy, almost no attention has been paid to the comparative experience prior to the wars. Even a cursory look at the best available empirical evidence reveals...

This paper designs a reciprocal dumping model to address the control of industrial pollution between two trading partners. Firms generate transboundary pollution from production and environmental taxes represent the pollution control instrument. We ask whether environmental taxes implemented in...

The typical economic model implicitly assumes that the set of goods in an economy never changes. As a result, the predicted efficiency loss from a tariff is small, on the order of the square of the tariff rate. If we loosen this assumption and assume that international trade can bring new goods...

We use the World Input-Output Database (WIOD) combined with regional sectoral employment data to estimate the potential regional employment effects of interna‑tional trade barriers. We study the case of a no-deal Brexit in which imports to the United Kingdom (UK) from the European Union (EU)...

Export trade provided for under tariff rate quotas (TRQs) is an important contributor to improving South Africa's export access to European markets. The performance of exporter-administered TRQs has not received much research attention in the context of the below par market access utilisation of...

The People's Republic of China (PRC) has become an important importer for many countries. This paper investigates how turbulence in the PRC can spill over to trading partners through the trade channel. Exports from several East and Southeast Asian countries to the PRC exceed 10% of their GDPs....

We study global trade responses to the US-China trade war. We estimate the tariff impacts on product-level exports to the US, China, and rest of world. On average, countries decreased exports to China and increased exports to the US and rest of world. Most countries export products that...

Bilateral trade balances often play an important role inthe international trade policy debate. Disturbingly, several studies argue that the gravity model of trade fails when confronted with bilateral trade balances data, dubbing this "The Mystery of the Excess Trade Balances". Capitalizing on...

This study provides a decomposition of the WTO Global Trade Costs Index into five policy-relevant components: transport and travel costs; information and transaction costs; ICT connectedness; trade policy and regulatorydifferences; and governance quality. The WTO Global Trade CostsIndex is based...

Import regulations are globally the most prevalent form of intervention in international trade. The regulations should, under rules of the WTO, protect consumers and the environment but can be used to protect producers. We investigate the ambiguity of intent. We set out a model that when applied...

This paper deals with the effect of trade restrictions on competition in oligopolistic markets. Quantitative restrictions, such as VER's (Voluntary Export Restrictions) are shown to affect the extent to which foreign firms can compete in the domestic market, and hence to raise the equilibrium...

At present, the World Trade Organisation's multilateral trading system faces the acute challenge of adapting to the digital and commercial economies' rapid evolution. The recent regional trade agreements embody the corresponding achievements of the Comprehensive and Progressive Agreement for...

This paper uses a new database to establish a key finding: high tariffs were associated with fast growth before World War II, while associated with slow growth thereafter. The paper offers some explanations for the sign switch by controlling for novel measures of the changing world economic...

The gravity model has been widely used to infer substantial trade flow effects of institutions such as customs unions and exchange rate mechanisms. McCallum [1995] found that the US-Canada border led to trade between provinces that is a factor 22 (2,200%) times trade between states and...

and non-discrimination, the two principles that are the pillars of the multi- lateral trading system as embodied in GATT and its successor, the WTO. We show that GATT's principle of reciprocity serves to neutralize the world-price effects of a country's trade policy decisions, and hence can...

In their striving toward development, a number of less developed countries have espoused bilateral trade as yet another policy instrument allowing them to increase their acquisition of foreign resources. This has been particularly true of the trade of India, Pakistan, and Egypt, on which some...

The importance of courts is shrinking. This is largely due to global dejudicialization: the process of outsourcing disputes to private dispute resolution. In the last several decades, along with the triumph of neoliberalism, privatization of the resolution of disputes has become the gospel of...

We use disaggregated data on trade flows, production, and trade barriers for 41 countries in 1988 to examine the political and economic determinants of non-tariff barriers, as well as the impact of protection (both tariff and non-tariff) on trade flows. We use an econometric framework that...

National governments have incentives to intervene in international markets, particularly in encouraging export cartels and in imposing tariffs on imports from imperfectly competitive foreign firms. Although the optimal response to foreign monopoly is usually a tariff, a specific subsidy will be...

In this paper we quantify the potential revenue available to the U.S. from auctioning import quotas, and the resulting drop in foreign producer surplus relative to free trade. Previous estimates of auction revenue are in the range of $3 7-5.15 billion for 1986 or 1987. Using simulation results...

The European Community's economic integration by 1992 is predicted to have large economic benefits. According to traditional trade theory, the gains will come only with permanent resource migration and significant factor price changes (since in principle all trade barriers have already been...

Rolf J. Langhammer, Institut für Weltwirtschaft, Kiel, sieht als Ziel ein auf Güter und ihre mit ihnen verbundenen Dienstleistungen beschränktes Abkommen. Die EU sollte den Briten etwas entgegenkommen, denn jedes Abkommen sei besser als der No-Deal. Nach den Berechnungen von Lisandra Flach,...

Preventing trade wars is a key function of the WTO rule-based system. But as the United States and China waged the largest trade war in history, the WTO sat on the sidelines, unable to do anything to stop the fight. Why has the system failed so spectacularly? In a search for answers, this...

This paper describes the Services Trade Policy Database, a joint initiative by the World Bank and the World Trade Organization Secretariat, which builds on a database developed by the World Bank nearly 10 years ago and draws on a recent Organisation for Economic Co-operation and Development...

The establishment and maintenance of an effective strategic trade control (STC) system is an often overlooked and undervalued element in the broader context of international WMD nonproliferation law. However its importance at the practical level in the effort to regulate the spread and use of...