Why Governments Tax or Subsidize Trade : Evidence from Agriculture

This paper empirically explores the political-economic determinants of why governments choose to tax or subsidize trade in agriculture. The authors use a new data set on nominal rates of assistance (NRA) across a number of commodities spanning the...

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Main Authors: Gawande, Kishore, Hoekman, Bernard
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
EGG
GDP
RYE
TAX
TEA
WTO
Online Access:http://documents.worldbank.org/curated/en/393041468152708786/Why-governments-tax-or-subsidize-trade-evidence-from-agriculture
http://hdl.handle.net/10986/28182
id okr-10986-28182
recordtype oai_dc
spelling okr-10986-281822021-04-23T14:04:45Z Why Governments Tax or Subsidize Trade : Evidence from Agriculture Gawande, Kishore Hoekman, Bernard AGRICULTURAL CONSUMPTION AGRICULTURAL ECONOMICS AGRICULTURAL EXPORTS AGRICULTURAL MARKETS AGRICULTURAL OUTPUT AGRICULTURAL POLICIES AGRICULTURAL POLICY AGRICULTURAL PRICES AGRICULTURAL PRODUCTION AGRICULTURAL PRODUCTS AGRICULTURAL SECTOR AGRICULTURE APPLES BARLEY BEEF CAPITAL INTENSITY CAPITAL STOCKS CAPITAL USE CASH CROPS COCOA COCONUT COFFEE COMMODITIES COMMODITY COMPARATIVE ADVANTAGE COMPETITIVENESS CONSUMERS COTTON CROP DEFORESTATION DEMOCRACIES DEMOCRACY DEVELOPING COUNTRIES DEVELOPING COUNTRY DOMESTIC MARKET DOMESTIC PRICE DOMESTIC PRICES ECONOMETRIC ANALYSIS ECONOMETRIC MODELS ECONOMIC DEVELOPMENT ECONOMIC REFORMS ECONOMICS LITERATURE EGG EGGS EXPORTS FARM FARM INCOMES FARMER FARMERS FARMING FOOD CROPS FOOD IMPORTS FOOD POLICY FOOD POLICY RESEARCH FOOD PRICES FOOD PRODUCTS FOOD STAPLES FRUIT FUTURE STUDIES GARLIC GDP GOVERNMENT INTERVENTIONS GRAINS GROUNDNUT HUMAN CAPITAL IMPORT QUOTAS INCOME INCOME DISTRIBUTION INDUSTRIAL COUNTRIES INDUSTRIALIZATION INEFFICIENCY INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE INTERNATIONAL TRADE JUTE LABOR FORCE LABOR MARKET LABOR PRODUCTIVITY LAND DEGRADATION LAND PRODUCTIVITY LIBERALIZATION LOW-INCOME COUNTRIES MAIZE MARGINAL COST MARKET ACCESS MEAT MEDIAN VOTERS MILK MULCH MULTILATERAL TRADE NATURAL RESOURCE NATURAL RESOURCE MANAGEMENT OILSEEDS ORANGE OUTPUT RATIO OUTPUT RATIOS OUTPUTS PALM OIL PEAS PIG MEAT PLANTING POLITICAL ECONOMY POPULATION GROWTH PORK POTATO POULTRY PRICE DISTORTIONS PRICE FLUCTUATIONS PROCESSED FOODS PRODUCE PRODUCERS PRODUCTIVITY PRODUCTIVITY OF LAND PROTECTIONISM PUBLIC POLICY RAPESEED REFORM PROGRAMS RICE RICH ONES RUBBER RURAL WORKERS RYE SESAME SHEEP MEAT SOIL FERTILITY SOYBEAN STAPLE FOODS SUBSIDIZATION SUGAR SUGAR SORGHUM SUNFLOWER SUNK COSTS TARIFF BARRIERS TAX TAX SYSTEMS TAXATION TEA TOBACCO TRADE NEGOTIATIONS TRADE POLICIES TRADE POLICY TRADE TAXES TYPES OF INSTRUMENTS URBANIZATION URUGUAY ROUND VALUE OF OUTPUT VARIABLE COSTS VEGETABLES VEGETATION WAGES WHEAT WINE WORLD DEVELOPMENT INDICATORS WORLD MARKETS WORLD TRADE WTO This paper empirically explores the political-economic determinants of why governments choose to tax or subsidize trade in agriculture. The authors use a new data set on nominal rates of assistance (NRA) across a number of commodities spanning the last five decades for 64 countries. NRAs measure the effect on domestic (relative to world) price of the quantitative and price-based instruments used to regulate agricultural markets. The data set admits consideration of both taxes and subsidies on exports and imports. The authors find that both economic and political variables play important roles in determining the within-variation in the NRA data. Based on results the authors offer a number of data-driven exploratory hypotheses that can inform future theoretical and empirical research on why governments choose to tax or subsidize agricultural products an important policy question that is also one of the least understood by scholars. 2017-09-07T18:17:55Z 2017-09-07T18:17:55Z 2009-05 Working Paper http://documents.worldbank.org/curated/en/393041468152708786/Why-governments-tax-or-subsidize-trade-evidence-from-agriculture http://hdl.handle.net/10986/28182 English en_US Agricultural Distortions Working Paper;85 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research :: Working Paper Publications & Research
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 AGRICULTURAL CONSUMPTION
AGRICULTURAL ECONOMICS
AGRICULTURAL EXPORTS
AGRICULTURAL MARKETS
AGRICULTURAL OUTPUT
AGRICULTURAL POLICIES
AGRICULTURAL POLICY
AGRICULTURAL PRICES
AGRICULTURAL PRODUCTION
AGRICULTURAL PRODUCTS
AGRICULTURAL SECTOR
AGRICULTURE
APPLES
BARLEY
BEEF
CAPITAL INTENSITY
CAPITAL STOCKS
CAPITAL USE
CASH CROPS
COCOA
COCONUT
COFFEE
COMMODITIES
COMMODITY
COMPARATIVE ADVANTAGE
COMPETITIVENESS
CONSUMERS
COTTON
CROP
DEFORESTATION
DEMOCRACIES
DEMOCRACY
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DOMESTIC MARKET
DOMESTIC PRICE
DOMESTIC PRICES
ECONOMETRIC ANALYSIS
ECONOMETRIC MODELS
ECONOMIC DEVELOPMENT
ECONOMIC REFORMS
ECONOMICS LITERATURE
EGG
EGGS
EXPORTS
FARM
FARM INCOMES
FARMER
FARMERS
FARMING
FOOD CROPS
FOOD IMPORTS
FOOD POLICY
FOOD POLICY RESEARCH
FOOD PRICES
FOOD PRODUCTS
FOOD STAPLES
FRUIT
FUTURE STUDIES
GARLIC
GDP
GOVERNMENT INTERVENTIONS
GRAINS
GROUNDNUT
HUMAN CAPITAL
IMPORT QUOTAS
INCOME
INCOME DISTRIBUTION
INDUSTRIAL COUNTRIES
INDUSTRIALIZATION
INEFFICIENCY
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
INTERNATIONAL TRADE
JUTE
LABOR FORCE
LABOR MARKET
LABOR PRODUCTIVITY
LAND DEGRADATION
LAND PRODUCTIVITY
LIBERALIZATION
LOW-INCOME COUNTRIES
MAIZE
MARGINAL COST
MARKET ACCESS
MEAT
MEDIAN VOTERS
MILK
MULCH
MULTILATERAL TRADE
NATURAL RESOURCE
NATURAL RESOURCE MANAGEMENT
OILSEEDS
ORANGE
OUTPUT RATIO
OUTPUT RATIOS
OUTPUTS
PALM OIL
PEAS
PIG MEAT
PLANTING
POLITICAL ECONOMY
POPULATION GROWTH
PORK
POTATO
POULTRY
PRICE DISTORTIONS
PRICE FLUCTUATIONS
PROCESSED FOODS
PRODUCE
PRODUCERS
PRODUCTIVITY
PRODUCTIVITY OF LAND
PROTECTIONISM
PUBLIC POLICY
RAPESEED
REFORM PROGRAMS
RICE
RICH ONES
RUBBER
RURAL WORKERS
RYE
SESAME
SHEEP MEAT
SOIL FERTILITY
SOYBEAN
STAPLE FOODS
SUBSIDIZATION
SUGAR
SUGAR SORGHUM
SUNFLOWER
SUNK COSTS
TARIFF BARRIERS
TAX
TAX SYSTEMS
TAXATION
TEA
TOBACCO
TRADE NEGOTIATIONS
TRADE POLICIES
TRADE POLICY
TRADE TAXES
TYPES OF INSTRUMENTS
URBANIZATION
URUGUAY ROUND
VALUE OF OUTPUT
VARIABLE COSTS
VEGETABLES
VEGETATION
WAGES
WHEAT
WINE
WORLD DEVELOPMENT INDICATORS
WORLD MARKETS
WORLD TRADE
WTO
spellingShingle AGRICULTURAL CONSUMPTION
AGRICULTURAL ECONOMICS
AGRICULTURAL EXPORTS
AGRICULTURAL MARKETS
AGRICULTURAL OUTPUT
AGRICULTURAL POLICIES
AGRICULTURAL POLICY
AGRICULTURAL PRICES
AGRICULTURAL PRODUCTION
AGRICULTURAL PRODUCTS
AGRICULTURAL SECTOR
AGRICULTURE
APPLES
BARLEY
BEEF
CAPITAL INTENSITY
CAPITAL STOCKS
CAPITAL USE
CASH CROPS
COCOA
COCONUT
COFFEE
COMMODITIES
COMMODITY
COMPARATIVE ADVANTAGE
COMPETITIVENESS
CONSUMERS
COTTON
CROP
DEFORESTATION
DEMOCRACIES
DEMOCRACY
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DOMESTIC MARKET
DOMESTIC PRICE
DOMESTIC PRICES
ECONOMETRIC ANALYSIS
ECONOMETRIC MODELS
ECONOMIC DEVELOPMENT
ECONOMIC REFORMS
ECONOMICS LITERATURE
EGG
EGGS
EXPORTS
FARM
FARM INCOMES
FARMER
FARMERS
FARMING
FOOD CROPS
FOOD IMPORTS
FOOD POLICY
FOOD POLICY RESEARCH
FOOD PRICES
FOOD PRODUCTS
FOOD STAPLES
FRUIT
FUTURE STUDIES
GARLIC
GDP
GOVERNMENT INTERVENTIONS
GRAINS
GROUNDNUT
HUMAN CAPITAL
IMPORT QUOTAS
INCOME
INCOME DISTRIBUTION
INDUSTRIAL COUNTRIES
INDUSTRIALIZATION
INEFFICIENCY
INTERNATIONAL FOOD POLICY RESEARCH INSTITUTE
INTERNATIONAL TRADE
JUTE
LABOR FORCE
LABOR MARKET
LABOR PRODUCTIVITY
LAND DEGRADATION
LAND PRODUCTIVITY
LIBERALIZATION
LOW-INCOME COUNTRIES
MAIZE
MARGINAL COST
MARKET ACCESS
MEAT
MEDIAN VOTERS
MILK
MULCH
MULTILATERAL TRADE
NATURAL RESOURCE
NATURAL RESOURCE MANAGEMENT
OILSEEDS
ORANGE
OUTPUT RATIO
OUTPUT RATIOS
OUTPUTS
PALM OIL
PEAS
PIG MEAT
PLANTING
POLITICAL ECONOMY
POPULATION GROWTH
PORK
POTATO
POULTRY
PRICE DISTORTIONS
PRICE FLUCTUATIONS
PROCESSED FOODS
PRODUCE
PRODUCERS
PRODUCTIVITY
PRODUCTIVITY OF LAND
PROTECTIONISM
PUBLIC POLICY
RAPESEED
REFORM PROGRAMS
RICE
RICH ONES
RUBBER
RURAL WORKERS
RYE
SESAME
SHEEP MEAT
SOIL FERTILITY
SOYBEAN
STAPLE FOODS
SUBSIDIZATION
SUGAR
SUGAR SORGHUM
SUNFLOWER
SUNK COSTS
TARIFF BARRIERS
TAX
TAX SYSTEMS
TAXATION
TEA
TOBACCO
TRADE NEGOTIATIONS
TRADE POLICIES
TRADE POLICY
TRADE TAXES
TYPES OF INSTRUMENTS
URBANIZATION
URUGUAY ROUND
VALUE OF OUTPUT
VARIABLE COSTS
VEGETABLES
VEGETATION
WAGES
WHEAT
WINE
WORLD DEVELOPMENT INDICATORS
WORLD MARKETS
WORLD TRADE
WTO
Gawande, Kishore
Hoekman, Bernard
Why Governments Tax or Subsidize Trade : Evidence from Agriculture
relation Agricultural Distortions Working Paper;85
description This paper empirically explores the political-economic determinants of why governments choose to tax or subsidize trade in agriculture. The authors use a new data set on nominal rates of assistance (NRA) across a number of commodities spanning the last five decades for 64 countries. NRAs measure the effect on domestic (relative to world) price of the quantitative and price-based instruments used to regulate agricultural markets. The data set admits consideration of both taxes and subsidies on exports and imports. The authors find that both economic and political variables play important roles in determining the within-variation in the NRA data. Based on results the authors offer a number of data-driven exploratory hypotheses that can inform future theoretical and empirical research on why governments choose to tax or subsidize agricultural products an important policy question that is also one of the least understood by scholars.
format Working Paper
author Gawande, Kishore
Hoekman, Bernard
author_facet Gawande, Kishore
Hoekman, Bernard
author_sort Gawande, Kishore
title Why Governments Tax or Subsidize Trade : Evidence from Agriculture
title_short Why Governments Tax or Subsidize Trade : Evidence from Agriculture
title_full Why Governments Tax or Subsidize Trade : Evidence from Agriculture
title_fullStr Why Governments Tax or Subsidize Trade : Evidence from Agriculture
title_full_unstemmed Why Governments Tax or Subsidize Trade : Evidence from Agriculture
title_sort why governments tax or subsidize trade : evidence from agriculture
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/393041468152708786/Why-governments-tax-or-subsidize-trade-evidence-from-agriculture
http://hdl.handle.net/10986/28182
_version_ 1764465466833633280