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A New Approach to Evaluating Trade Policy
Boston College.
University College Dublin.
1991 (English)Report (Other academic)
Abstract [en]

This paper introduces a new measure, the Trade Restrictiveness Index, which measures the restrictiveness of a system of trade protection. The index is a general equilibrium application of the distance function and answers the question: "What uniform set of trade restrictions is equivalent (in welfare terms) to the initial protective structure?" The index is applicable to both tariffs and quotas and allows international and intertemporal comparisons. The index is operational and we provide an empirical example to illustrate its applicability and to show its superiority over commonly used measures.

Place, publisher, year, edition, pages
Stockholm: IIES , 1991. , 35 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University, ISSN 0347-8769 ; 510
National Category
URN: urn:nbn:se:su:diva-41822OAI: diva2:337831
Published in connection with a visit at the IIES.Available from: 2010-08-09 Created: 2010-08-09 Last updated: 2010-08-09

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