Preference Erosion and Multilateral Trade Liberalization

B-Tier
Journal: World Bank Economic Review
Year: 2006
Volume: 20
Issue: 2
Pages: 197-216

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Because of concern that tariff reductions in Organisation for Economic Co-operation and Development (<EM t="s">oecd</EM>) countries will translate into worsening export performance for the least developed countries, the erosion of trade preferences may become a stumbling block for multilateral trade liberalization. An econometric analysis of actual preference use shows that preferences are underused because of administrative burdens--estimated to be equivalent to an average of 4 percent of the value of goods traded. To quantify the maximum scope for preference erosion, the compliance cost estimates are used in a model-based assessment of the impact of full elimination of <EM t="s">oecd</EM> tariffs. Taking into account administrative costs eliminates erosion costs in the aggregate and greatly reduces the losses for countries most affected by preference erosion. Copyright 2006, Oxford University Press.

Technical Details

RePEc Handle
repec:oup:wbecrv:v:20:y:2006:i:2:p:197-216
Journal Field
Development
Author Count
3
Added to Database
2026-01-25