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GTAP Resource #3383

"Assessing the Impact of Non-Tariff Barriers during the Global Crisis: The Experience in Argentina, Ecuador and Venezuelans"
by Durán Lima, José Elías, Carlos De Miguel, Mauricio Pereira and Gonzalo Veliz

The Global Financial Crisis deveined on governments taking special measures to protect the competitiveness of their local industries, productive sectors and clusters. Among them there are Non-Tariffs-Barriers (antidumping, quotas, minimum prices and licenses are considered in this paper), whose real impact over the economy is unknown and especially difficult to assess because of the nature of such measures.

In this scenario, we propose a methodology to assess the impact of these policies, by the generation of a tariff-like proxy that is used to shock the normal reported tariff rates. This is constructed directly from data on affected tariff lines, imports, and price and quantity variations during the crisis. This information is included in the GTAP version 7 to quantify, through the GTAP model, the effect over different macroeconomic variables, such as exports, imports and GDP, among others. The quantification comes from the variation between the base scenario and this that includes the real tariff proxy.

The cases of Argentina, Ecuador and The Bolivarian Republic of Venezuela are particularly interesting, because these economies imposed the largest number of NTB in all Latin America and the Caribbean. Results shed light over the real impact that this measures generate in relation to what is theoretically expected.

From this study, policies are proposed to be implemented, in order to afford this type of barriers, from the point of view of the policy makers in the imposing countries. Also, better alternatives are considered to be implemented, reducing the noise over other key macroeconomic variables.

Resource Details (Export Citation) GTAP Keywords
Category: 2010 Conference Paper
Status: Published
By/In: Presented at the 13th Annual Conference on Global Economic Analysis, Penang, Malaysia
Date: 2010
Created: Durán Lima, J. (4/15/2010)
Updated: Veliz, G. (6/4/2010)
Visits: 3,236
- The GTAP Data Base and extensions
- South America
- Central America

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