Autore
Belloc, MariannaTitolo
Protection for Sale in the EUPeriodico
Università degli Studi di Roma "La Sapienza" - Dipartimento di Economia Pubblica. Working PaperAnno:
2007 - Volume:
7 - Fascicolo:
100 - Pagina iniziale:
1 - Pagina finale:
30This paper presents estimation of the Grossman-Helpman (1994) model for the EU.
We try to address a number of pitfalls that surround the previous empirical literature.
First, we suggest a new identification strategy that enables to single out politically organized sectors with specific regard to trade policy. Second, we utilize two alternative measures of trade protection (ad-valorem equivalent of non-tariff barriers and overall restrictiveness) and adopt industrial and trade data at a high level of disaggregation. Finally, we directly obtain the structural coefficients of the model by estimating a nonlinear
simultaneous equations system that is tightly linked to theory. We find that the
theoretical model is broadly consistent with data and conclusions turn out internally
coherent.
SICI: 1974-2940(2007)7:100<1:PFSITE>2.0.ZU;2-B
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