The Value of Deep Trade Agreements in the Presence of Pricing-to-Market

The Value of Deep Trade Agreements in the Presence of Pricing-to-Market

Do preferential trade agreements (PTAs) lead to greater market integration, more intense competition and less market power for firms? This paper integrates the detailed data on 257 preferential trade agreements from the World Bank's Deep Trade...

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Bibliographic Details
Main Authors: Crowley, Meredith A, Han, Lu, Prayer, Thomas
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2021
Subjects:
DEEP TRADE AGREEMENT
GRAVITY MODEL
MARKUP ELASTICITY
TRADE ELASTICITY
RULES OF ORIGIN
COMPETITION POLICY
MUTUAL RECOGNITION
FIRM LEVEL DATA
Online Access:http://documents.worldbank.org/curated/en/106381616683931781/The-Value-of-Deep-Trade-Agreements-in-the-Presence-of-Pricing-to-Market
http://hdl.handle.net/10986/35351
id okr-10986-35351
recordtype oai_dc
spelling okr-10986-353512022-09-20T00:10:06Z The Value of Deep Trade Agreements in the Presence of Pricing-to-Market Crowley, Meredith A Han, Lu Prayer, Thomas DEEP TRADE AGREEMENT GRAVITY MODEL MARKUP ELASTICITY TRADE ELASTICITY RULES OF ORIGIN COMPETITION POLICY MUTUAL RECOGNITION FIRM LEVEL DATA Do preferential trade agreements (PTAs) lead to greater market integration, more intense competition and less market power for firms? This paper integrates the detailed data on 257 preferential trade agreements from the World Bank's Deep Trade Agreements (DTA) database with administrative customs datasets of product-level exports by firms from thirteen developing and emerging countries to estimate the responsiveness of firm-level exports, export prices, and destination-specific markups to trade and domestic policy commitments enshrined in deep trade agreements. The findings suggest that both the direct and indirect effects of deep trade agreement provisions on export sales are quantitatively significant. Perhaps more interestingly, the finding of a suggestive evidence of a pro-competitive effect of PTAs. 2021-04-02T13:30:50Z 2021-04-02T13:30:50Z 2021-03 Working Paper http://documents.worldbank.org/curated/en/106381616683931781/The-Value-of-Deep-Trade-Agreements-in-the-Presence-of-Pricing-to-Market http://hdl.handle.net/10986/35351 English Policy Research Working Paper;No. 9600 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
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic DEEP TRADE AGREEMENT
GRAVITY MODEL
MARKUP ELASTICITY
TRADE ELASTICITY
RULES OF ORIGIN
COMPETITION POLICY
MUTUAL RECOGNITION
FIRM LEVEL DATA
spellingShingle DEEP TRADE AGREEMENT
GRAVITY MODEL
MARKUP ELASTICITY
TRADE ELASTICITY
RULES OF ORIGIN
COMPETITION POLICY
MUTUAL RECOGNITION
FIRM LEVEL DATA
Crowley, Meredith A
Han, Lu
Prayer, Thomas
The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
relation Policy Research Working Paper;No. 9600
description Do preferential trade agreements (PTAs) lead to greater market integration, more intense competition and less market power for firms? This paper integrates the detailed data on 257 preferential trade agreements from the World Bank's Deep Trade Agreements (DTA) database with administrative customs datasets of product-level exports by firms from thirteen developing and emerging countries to estimate the responsiveness of firm-level exports, export prices, and destination-specific markups to trade and domestic policy commitments enshrined in deep trade agreements. The findings suggest that both the direct and indirect effects of deep trade agreement provisions on export sales are quantitatively significant. Perhaps more interestingly, the finding of a suggestive evidence of a pro-competitive effect of PTAs.
format Working Paper
author Crowley, Meredith A
Han, Lu
Prayer, Thomas
author_facet Crowley, Meredith A
Han, Lu
Prayer, Thomas
author_sort Crowley, Meredith A
title The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
title_short The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
title_full The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
title_fullStr The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
title_full_unstemmed The Value of Deep Trade Agreements in the Presence of Pricing-to-Market
title_sort value of deep trade agreements in the presence of pricing-to-market
publisher World Bank, Washington, DC
publishDate 2021
url http://documents.worldbank.org/curated/en/106381616683931781/The-Value-of-Deep-Trade-Agreements-in-the-Presence-of-Pricing-to-Market
http://hdl.handle.net/10986/35351
_version_ 1764482852397776896

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