Trade Diversion under Selective Preferential Market Access
The European Community (EC) operates a multi-layered GSP scheme in which different groups of developing countries are granted varying degrees of market access. This paper analyzes the question of trade diversion among different categories of beneficiary countries ensuing from the selectivity of pref...
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okr-10986-54352021-04-23T14:02:22Z Trade Diversion under Selective Preferential Market Access Borchert, Ingo Trade Policy International Trade Organizations F130 Country and Industry Studies of Trade F140 Economic Integration F150 The European Community (EC) operates a multi-layered GSP scheme in which different groups of developing countries are granted varying degrees of market access. This paper analyzes the question of trade diversion among different categories of beneficiary countries ensuing from the selectivity of preferential market access. Evidence from a disaggregated panel data analysis reveals sizable intra-developing country trade diversion. The losses for relatively disadvantaged countries in terms of forgone trade volume are estimated to range between about 2% to 20% of their total trade with the EC. The distortions are driven by highly substitutable, mostly labour-intensive commodities. 2012-03-30T07:32:49Z 2012-03-30T07:32:49Z 2009 Journal Article Canadian Journal of Economics 00084085 http://hdl.handle.net/10986/5435 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article |
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Digital Repository |
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Foreign Institution |
institution |
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World Bank Open Knowledge Repository |
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World Bank |
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EN |
topic |
Trade Policy International Trade Organizations F130 Country and Industry Studies of Trade F140 Economic Integration F150 |
spellingShingle |
Trade Policy International Trade Organizations F130 Country and Industry Studies of Trade F140 Economic Integration F150 Borchert, Ingo Trade Diversion under Selective Preferential Market Access |
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http://creativecommons.org/licenses/by-nc-nd/3.0/igo |
description |
The European Community (EC) operates a multi-layered GSP scheme in which different groups of developing countries are granted varying degrees of market access. This paper analyzes the question of trade diversion among different categories of beneficiary countries ensuing from the selectivity of preferential market access. Evidence from a disaggregated panel data analysis reveals sizable intra-developing country trade diversion. The losses for relatively disadvantaged countries in terms of forgone trade volume are estimated to range between about 2% to 20% of their total trade with the EC. The distortions are driven by highly substitutable, mostly labour-intensive commodities. |
format |
Journal Article |
author |
Borchert, Ingo |
author_facet |
Borchert, Ingo |
author_sort |
Borchert, Ingo |
title |
Trade Diversion under Selective Preferential Market Access |
title_short |
Trade Diversion under Selective Preferential Market Access |
title_full |
Trade Diversion under Selective Preferential Market Access |
title_fullStr |
Trade Diversion under Selective Preferential Market Access |
title_full_unstemmed |
Trade Diversion under Selective Preferential Market Access |
title_sort |
trade diversion under selective preferential market access |
publishDate |
2012 |
url |
http://hdl.handle.net/10986/5435 |
_version_ |
1764395043415654400 |