Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?

In the last decade Morocco undertook substantial, if gradual, trade liberalization by reducing tariffs, reforming trade regulations and signing free and preferential trade agreements with several regions and countries, including the United States,...

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Main Authors: Cruz, Marcio, Bussolo, Maurizio
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2015
Subjects:
WTO
GDP
Online Access:http://documents.worldbank.org/curated/en/2015/04/24310279/input-tariff-reduction-impact-firms-export-presence-import-tariff-exemption-regimes-input-tariff-reduction-impact-firms
http://hdl.handle.net/10986/21845
id okr-10986-21845
recordtype oai_dc
spelling okr-10986-218452021-04-23T14:04:05Z Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes? Cruz, Marcio Bussolo, Maurizio TARIFFS PRODUCER PRICE INDEX EXPORT MARKETS TRADE EFFECT FREE TRADE AGREEMENT WORLD TRADE ORGANIZATION PRODUCTION SUNK COSTS IMPORT REGIMES TRADE POLICY REVIEW CHEMICAL MARGINAL COST INDUSTRY EXPORT PERFORMANCE IMPORT TARIFF SUPPLIER BALANCE OF PAYMENTS GROWTH VOLATILITY EXPORTS DOMESTIC MARKET EXPORTERS EXPORT PRICES TRADE ZONE INCENTIVES ECONOMIC POLICY EQUILIBRIUM DISTRIBUTION VARIABLES TRADE REFORMS SPECIAL REGIMES TRADE OPENNESS PRICE INPUTS LOBBYING PAYMENTS INPUT PRICES FREE TRADE TRENDS TRADE AGREEMENTS FREE TRADE ZONES TRADE REGULATIONS FOREIGN MARKETS CUSTOMS DUTIES PREFERENTIAL TRADE AGREEMENTS FOREIGN TRADE EQUILIBRIUM THEORY DEVELOPMENT ECONOMICS FOREIGN SUPPLIERS PRIMARY FACTORS DOMESTIC INPUTS TEXTILE INDUSTRY TARIFF REDUCTION CUSTOMS PRODUCTS SPECIALIZATION ECONOMETRICS PRODUCTIVITY FREE TRADE ZONE MARKETS WTO BALANCE OF PAYMENTS CRISES ACCESS TRADE MODELS INTERNATIONAL ECONOMICS RESEARCH IMPORTS TRADE POLICY PRODUCT TRADE AGREEMENT EXPORT MARKET TAXES EXPORT VALUE EQUILIBRIUM ANALYSIS GENERAL EQUILIBRIUM CONSUMPTION UNILATERAL TRADE ECONOMIC PERFORMANCE INTERNATIONAL TRADE VOLATILITY VALUE COMPETITIVENESS PRODUCER PRICE PRODUCTION FUNCTIONS IMPORT VALUES CUSTOMS REGULATIONS DEMAND INTERMEDIATE GOODS TRADE AREA TRADE REGIMES OPENNESS MARKET TRADE LIBERALIZATION ENDOGENOUS VARIABLES PRODUCTION FUNCTION CLOSED ECONOMY CAPITAL GOODS AVERAGE TARIFF TRADE VALUE TRADE ZONES TRADE GDP TRADE PARTNERS GOODS THEORY GENERAL EQUILIBRIUM ANALYSIS FREE ZONE INPUT TRADE ECONOMIC CRISIS PREFERENTIAL TRADE TARIFF IMPORT REGIME TRADE LIBERALIZATION PROCESS FREE TRADE AREA TRADE PARTNER WORLD TRADE UNILATERAL TRADE LIBERALIZATION DUTY DRAWBACKS MOST FAVORED NATION WHOLESALERS SUPPLIERS INTERMEDIATE INPUTS PRICE INDEX OUTCOMES IMPORT DUTIES IMPORT DUTY IMPORT VALUE TRADE REGIME EXPORT SHARE PRICES VALUE OF EXPORTS DEVELOPMENT POLICY CUSTOMS REGIME In the last decade Morocco undertook substantial, if gradual, trade liberalization by reducing tariffs, reforming trade regulations and signing free and preferential trade agreements with several regions and countries, including the United States, Turkey, the European Union and Arab countries. This paper analyzes the impact of input tariff reduction on Moroccan exporting firms through the channel of intermediate goods. Gaining access to more varied and cheaper inputs can make exporting firms more competitive, and as a result they export more. To evaluate how this policy may impact firms export performance, the paper analyzes the impact of input tariff reduction on different margins of trade with emphasis on export markets and product diversification. The identification of the effect of input tariffs on exports relies on a difference-in-difference estimator using heterogeneous access to import tariff exemption as a measure of different levels of exposure to input tariff reduction at the firm level. Overall, the analysis finds that firms that are relatively more exposed to input tariff perform better in those sectors with the largest input tariff reduction, with better access to markets, higher probability to survive when exporting new products in those sectors and higher export value growth. 2015-05-04T16:19:57Z 2015-05-04T16:19:57Z 2015-04 Working Paper http://documents.worldbank.org/curated/en/2015/04/24310279/input-tariff-reduction-impact-firms-export-presence-import-tariff-exemption-regimes-input-tariff-reduction-impact-firms http://hdl.handle.net/10986/21845 English en_US Policy Research Working Paper;No. 7231 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Middle East and North Africa Morocco
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic TARIFFS
PRODUCER PRICE INDEX
EXPORT MARKETS
TRADE EFFECT
FREE TRADE AGREEMENT
WORLD TRADE ORGANIZATION
PRODUCTION
SUNK COSTS
IMPORT REGIMES
TRADE POLICY REVIEW
CHEMICAL
MARGINAL COST
INDUSTRY
EXPORT PERFORMANCE
IMPORT TARIFF
SUPPLIER
BALANCE OF PAYMENTS
GROWTH VOLATILITY
EXPORTS
DOMESTIC MARKET
EXPORTERS
EXPORT PRICES
TRADE ZONE
INCENTIVES
ECONOMIC POLICY
EQUILIBRIUM
DISTRIBUTION
VARIABLES
TRADE REFORMS
SPECIAL REGIMES
TRADE OPENNESS
PRICE
INPUTS
LOBBYING
PAYMENTS
INPUT PRICES
FREE TRADE
TRENDS
TRADE AGREEMENTS
FREE TRADE ZONES
TRADE REGULATIONS
FOREIGN MARKETS
CUSTOMS DUTIES
PREFERENTIAL TRADE AGREEMENTS
FOREIGN TRADE
EQUILIBRIUM THEORY
DEVELOPMENT ECONOMICS
FOREIGN SUPPLIERS
PRIMARY FACTORS
DOMESTIC INPUTS
TEXTILE INDUSTRY
TARIFF REDUCTION
CUSTOMS
PRODUCTS
SPECIALIZATION
ECONOMETRICS
PRODUCTIVITY
FREE TRADE ZONE
MARKETS
WTO
BALANCE OF PAYMENTS CRISES
ACCESS
TRADE MODELS
INTERNATIONAL ECONOMICS
RESEARCH
IMPORTS
TRADE POLICY
PRODUCT
TRADE AGREEMENT
EXPORT MARKET
TAXES
EXPORT VALUE
EQUILIBRIUM ANALYSIS
GENERAL EQUILIBRIUM
CONSUMPTION
UNILATERAL TRADE
ECONOMIC PERFORMANCE
INTERNATIONAL TRADE
VOLATILITY
VALUE
COMPETITIVENESS
PRODUCER PRICE
PRODUCTION FUNCTIONS
IMPORT VALUES
CUSTOMS REGULATIONS
DEMAND
INTERMEDIATE GOODS
TRADE AREA
TRADE REGIMES
OPENNESS
MARKET
TRADE LIBERALIZATION
ENDOGENOUS VARIABLES
PRODUCTION FUNCTION
CLOSED ECONOMY
CAPITAL GOODS
AVERAGE TARIFF
TRADE VALUE
TRADE ZONES
TRADE
GDP
TRADE PARTNERS
GOODS
THEORY
GENERAL EQUILIBRIUM ANALYSIS
FREE ZONE
INPUT TRADE
ECONOMIC CRISIS
PREFERENTIAL TRADE
TARIFF
IMPORT REGIME
TRADE LIBERALIZATION PROCESS
FREE TRADE AREA
TRADE PARTNER
WORLD TRADE
UNILATERAL TRADE LIBERALIZATION
DUTY DRAWBACKS
MOST FAVORED NATION
WHOLESALERS
SUPPLIERS
INTERMEDIATE INPUTS
PRICE INDEX
OUTCOMES
IMPORT DUTIES
IMPORT DUTY
IMPORT VALUE
TRADE REGIME
EXPORT SHARE
PRICES
VALUE OF EXPORTS
DEVELOPMENT POLICY
CUSTOMS REGIME
spellingShingle TARIFFS
PRODUCER PRICE INDEX
EXPORT MARKETS
TRADE EFFECT
FREE TRADE AGREEMENT
WORLD TRADE ORGANIZATION
PRODUCTION
SUNK COSTS
IMPORT REGIMES
TRADE POLICY REVIEW
CHEMICAL
MARGINAL COST
INDUSTRY
EXPORT PERFORMANCE
IMPORT TARIFF
SUPPLIER
BALANCE OF PAYMENTS
GROWTH VOLATILITY
EXPORTS
DOMESTIC MARKET
EXPORTERS
EXPORT PRICES
TRADE ZONE
INCENTIVES
ECONOMIC POLICY
EQUILIBRIUM
DISTRIBUTION
VARIABLES
TRADE REFORMS
SPECIAL REGIMES
TRADE OPENNESS
PRICE
INPUTS
LOBBYING
PAYMENTS
INPUT PRICES
FREE TRADE
TRENDS
TRADE AGREEMENTS
FREE TRADE ZONES
TRADE REGULATIONS
FOREIGN MARKETS
CUSTOMS DUTIES
PREFERENTIAL TRADE AGREEMENTS
FOREIGN TRADE
EQUILIBRIUM THEORY
DEVELOPMENT ECONOMICS
FOREIGN SUPPLIERS
PRIMARY FACTORS
DOMESTIC INPUTS
TEXTILE INDUSTRY
TARIFF REDUCTION
CUSTOMS
PRODUCTS
SPECIALIZATION
ECONOMETRICS
PRODUCTIVITY
FREE TRADE ZONE
MARKETS
WTO
BALANCE OF PAYMENTS CRISES
ACCESS
TRADE MODELS
INTERNATIONAL ECONOMICS
RESEARCH
IMPORTS
TRADE POLICY
PRODUCT
TRADE AGREEMENT
EXPORT MARKET
TAXES
EXPORT VALUE
EQUILIBRIUM ANALYSIS
GENERAL EQUILIBRIUM
CONSUMPTION
UNILATERAL TRADE
ECONOMIC PERFORMANCE
INTERNATIONAL TRADE
VOLATILITY
VALUE
COMPETITIVENESS
PRODUCER PRICE
PRODUCTION FUNCTIONS
IMPORT VALUES
CUSTOMS REGULATIONS
DEMAND
INTERMEDIATE GOODS
TRADE AREA
TRADE REGIMES
OPENNESS
MARKET
TRADE LIBERALIZATION
ENDOGENOUS VARIABLES
PRODUCTION FUNCTION
CLOSED ECONOMY
CAPITAL GOODS
AVERAGE TARIFF
TRADE VALUE
TRADE ZONES
TRADE
GDP
TRADE PARTNERS
GOODS
THEORY
GENERAL EQUILIBRIUM ANALYSIS
FREE ZONE
INPUT TRADE
ECONOMIC CRISIS
PREFERENTIAL TRADE
TARIFF
IMPORT REGIME
TRADE LIBERALIZATION PROCESS
FREE TRADE AREA
TRADE PARTNER
WORLD TRADE
UNILATERAL TRADE LIBERALIZATION
DUTY DRAWBACKS
MOST FAVORED NATION
WHOLESALERS
SUPPLIERS
INTERMEDIATE INPUTS
PRICE INDEX
OUTCOMES
IMPORT DUTIES
IMPORT DUTY
IMPORT VALUE
TRADE REGIME
EXPORT SHARE
PRICES
VALUE OF EXPORTS
DEVELOPMENT POLICY
CUSTOMS REGIME
Cruz, Marcio
Bussolo, Maurizio
Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
geographic_facet Middle East and North Africa
Morocco
relation Policy Research Working Paper;No. 7231
description In the last decade Morocco undertook substantial, if gradual, trade liberalization by reducing tariffs, reforming trade regulations and signing free and preferential trade agreements with several regions and countries, including the United States, Turkey, the European Union and Arab countries. This paper analyzes the impact of input tariff reduction on Moroccan exporting firms through the channel of intermediate goods. Gaining access to more varied and cheaper inputs can make exporting firms more competitive, and as a result they export more. To evaluate how this policy may impact firms export performance, the paper analyzes the impact of input tariff reduction on different margins of trade with emphasis on export markets and product diversification. The identification of the effect of input tariffs on exports relies on a difference-in-difference estimator using heterogeneous access to import tariff exemption as a measure of different levels of exposure to input tariff reduction at the firm level. Overall, the analysis finds that firms that are relatively more exposed to input tariff perform better in those sectors with the largest input tariff reduction, with better access to markets, higher probability to survive when exporting new products in those sectors and higher export value growth.
format Working Paper
author Cruz, Marcio
Bussolo, Maurizio
author_facet Cruz, Marcio
Bussolo, Maurizio
author_sort Cruz, Marcio
title Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
title_short Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
title_full Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
title_fullStr Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
title_full_unstemmed Does Input Tariff Reduction Impact Firms Exports in the Presence of Import Tariff Exemption Regimes?
title_sort does input tariff reduction impact firms exports in the presence of import tariff exemption regimes?
publisher World Bank, Washington, DC
publishDate 2015
url http://documents.worldbank.org/curated/en/2015/04/24310279/input-tariff-reduction-impact-firms-export-presence-import-tariff-exemption-regimes-input-tariff-reduction-impact-firms
http://hdl.handle.net/10986/21845
_version_ 1764449417503440896