Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA
The effective market access granted to textiles and apparel under the North American Free Trade Agreement (NAFTA) is estimated, taking into account the presence of rules of origin. First, estimates are provided of the effect of tariff preferences c...
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| Format: | Journal Article |
| Language: | English en_US |
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Published by Oxford University Press on behalf of the World Bank
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2005/09/17752524/market-access-welfare-under-free-trade-agreements-textiles-under-nafta http://hdl.handle.net/10986/16473 |
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okr-10986-16473 |
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oai_dc |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
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World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING APPAREL APPAREL EXPORTS APPAREL GOODS APPAREL INDUSTRY APPAREL PRODUCERS APPAREL PRODUCTS APPAREL SECTOR APPAREL TARIFF AVERAGE PRICE AVERAGE TARIFF BENEFITS OF TRADE BILATERAL CUMULATION BORDER PRICE BRAND BRANDS BUDGETING CAPTIVE MARKET COMMERCE COMPETITION FRAMEWORK COMPLIANCE COSTS CONSTANT ELASTICITY OF SUBSTITUTION CONSTANT ELASTICITY OF TRANSFORMATION CONSUMER PRICE CONSUMER PRICES CONSUMERS CUSTOMS CUSTOMS OFFICIALS CUSTOMS PROCEDURES DEMAND CURVE DEVELOPED COUNTRIES DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT POLICY DOMESTIC DEMAND DOMESTIC SALES DUMMY VARIABLES ECONOMETRIC ESTIMATES ECONOMIC POLICY ECONOMIC RESEARCH ECONOMIES OF SCALE ELASTICITY OF DEMAND ELASTICITY OF SUBSTITUTION ELASTICITY OF SUPPLY EQUILIBRIUM EXCHANGE RATE EXCHANGE RATES EXPORT PRICES EXPORT SALES EXPORT SUBSIDIES EXPORTERS EXPORTS FINAL GOODS FINISHED PRODUCTS FOREIGN GOODS FOREIGN PRODUCER FREE TRADE FREE TRADE AGREEMENT FREE TRADE AGREEMENTS FREE TRADE AREAS FUNCTIONAL FORMS GOVERNMENT REVENUE IMPERFECT COMPETITION IMPORT VALUES INCOME EFFECTS INPUT PRICES INTERMEDIATE GOODS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL ECONOMICS INTERNATIONAL TRADE INTERNATIONAL TRADE COMMISSION MARGINAL UTILITY MARKET ACCESS MARKET POWER MONOPOLISTIC COMPETITION MOST FAVORED NATION MULTILATERAL TRADE MULTILATERAL TRADE LIBERALIZATION MULTILATERAL TRADE ~ LIBERALIZATION OPPORTUNITY COSTS PERFECT COMPETITION PERFECT SUBSTITUTES POLITICAL ECONOMY PREFERENTIAL ACCESS PREFERENTIAL AGREEMENTS PREFERENTIAL MARGINS PREFERENTIAL MARKET ACCESS PREFERENTIAL RATES PREFERENTIAL REGIME PREFERENTIAL RULES PREFERENTIAL RULES OF ORIGIN PREFERENTIAL TARIFFS PREFERENTIAL TRADE PREFERENTIAL TRADE AGREEMENTS PREFERENTIAL TRADE ARRANGEMENTS PRICE COMPETITION PRICE ELASTICITY PRICE INCREASE PRICE MARGIN PRODUCER PRICE PRODUCER PRICES PRODUCT DIFFERENTIATION PRODUCTION COSTS PROTECTIONIST PROTECTIONIST DEVICES QUANTITATIVE RESTRICTIONS QUOTAS RATE OF TARIFF PREFERENCE REGIONAL INTEGRATION REGIONAL TRADE REGIONAL TRADE AGREEMENTS REGIONAL VALUE CONTENT RULES OF ORIGIN SAFEGUARD CLAUSE SALE SALES SIMULATION TECHNIQUES SOURCING SPECIALIZATION SPREAD STATISTICAL ANALYSIS SUBSTITUTE SUPPLIERS SUPPLY CURVE SUPPLY ELASTICITY SURPLUS TARIFF CHANGES TARIFF CLASSIFICATION TARIFF DATA TARIFF LINE TARIFF LINES TARIFF PREFERENCES TARIFF RATES TARIFF REDUCTION TARIFF REDUCTIONS TARIFF REVENUE TEXTILE IMPORTS TRADE AGREEMENT TRADE CLASSIFICATION TRADE DATA TRADE EXPANSION TRADE FLOWS TRADE PERFORMANCE TRADE PREFERENCES TRADING TREASURY TREATY UNIT OF APPAREL URUGUAY ROUND VALUE ADDED WELFARE GAINS WORLD TRADE WORLD TRADING SYSTEM |
| spellingShingle |
ACCOUNTING APPAREL APPAREL EXPORTS APPAREL GOODS APPAREL INDUSTRY APPAREL PRODUCERS APPAREL PRODUCTS APPAREL SECTOR APPAREL TARIFF AVERAGE PRICE AVERAGE TARIFF BENEFITS OF TRADE BILATERAL CUMULATION BORDER PRICE BRAND BRANDS BUDGETING CAPTIVE MARKET COMMERCE COMPETITION FRAMEWORK COMPLIANCE COSTS CONSTANT ELASTICITY OF SUBSTITUTION CONSTANT ELASTICITY OF TRANSFORMATION CONSUMER PRICE CONSUMER PRICES CONSUMERS CUSTOMS CUSTOMS OFFICIALS CUSTOMS PROCEDURES DEMAND CURVE DEVELOPED COUNTRIES DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT POLICY DOMESTIC DEMAND DOMESTIC SALES DUMMY VARIABLES ECONOMETRIC ESTIMATES ECONOMIC POLICY ECONOMIC RESEARCH ECONOMIES OF SCALE ELASTICITY OF DEMAND ELASTICITY OF SUBSTITUTION ELASTICITY OF SUPPLY EQUILIBRIUM EXCHANGE RATE EXCHANGE RATES EXPORT PRICES EXPORT SALES EXPORT SUBSIDIES EXPORTERS EXPORTS FINAL GOODS FINISHED PRODUCTS FOREIGN GOODS FOREIGN PRODUCER FREE TRADE FREE TRADE AGREEMENT FREE TRADE AGREEMENTS FREE TRADE AREAS FUNCTIONAL FORMS GOVERNMENT REVENUE IMPERFECT COMPETITION IMPORT VALUES INCOME EFFECTS INPUT PRICES INTERMEDIATE GOODS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL ECONOMICS INTERNATIONAL TRADE INTERNATIONAL TRADE COMMISSION MARGINAL UTILITY MARKET ACCESS MARKET POWER MONOPOLISTIC COMPETITION MOST FAVORED NATION MULTILATERAL TRADE MULTILATERAL TRADE LIBERALIZATION MULTILATERAL TRADE ~ LIBERALIZATION OPPORTUNITY COSTS PERFECT COMPETITION PERFECT SUBSTITUTES POLITICAL ECONOMY PREFERENTIAL ACCESS PREFERENTIAL AGREEMENTS PREFERENTIAL MARGINS PREFERENTIAL MARKET ACCESS PREFERENTIAL RATES PREFERENTIAL REGIME PREFERENTIAL RULES PREFERENTIAL RULES OF ORIGIN PREFERENTIAL TARIFFS PREFERENTIAL TRADE PREFERENTIAL TRADE AGREEMENTS PREFERENTIAL TRADE ARRANGEMENTS PRICE COMPETITION PRICE ELASTICITY PRICE INCREASE PRICE MARGIN PRODUCER PRICE PRODUCER PRICES PRODUCT DIFFERENTIATION PRODUCTION COSTS PROTECTIONIST PROTECTIONIST DEVICES QUANTITATIVE RESTRICTIONS QUOTAS RATE OF TARIFF PREFERENCE REGIONAL INTEGRATION REGIONAL TRADE REGIONAL TRADE AGREEMENTS REGIONAL VALUE CONTENT RULES OF ORIGIN SAFEGUARD CLAUSE SALE SALES SIMULATION TECHNIQUES SOURCING SPECIALIZATION SPREAD STATISTICAL ANALYSIS SUBSTITUTE SUPPLIERS SUPPLY CURVE SUPPLY ELASTICITY SURPLUS TARIFF CHANGES TARIFF CLASSIFICATION TARIFF DATA TARIFF LINE TARIFF LINES TARIFF PREFERENCES TARIFF RATES TARIFF REDUCTION TARIFF REDUCTIONS TARIFF REVENUE TEXTILE IMPORTS TRADE AGREEMENT TRADE CLASSIFICATION TRADE DATA TRADE EXPANSION TRADE FLOWS TRADE PERFORMANCE TRADE PREFERENCES TRADING TREASURY TREATY UNIT OF APPAREL URUGUAY ROUND VALUE ADDED WELFARE GAINS WORLD TRADE WORLD TRADING SYSTEM Cadot, Olivier Carrere, Celine de Melo, Jaime Portugal-Perez, Alberto Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| geographic_facet |
Latin America & Caribbean Mexico UNITED STATES |
| description |
The effective market access granted to
textiles and apparel under the North American Free Trade
Agreement (NAFTA) is estimated, taking into account the
presence of rules of origin. First, estimates are provided
of the effect of tariff preferences combined with rules of
origin on the border prices of Mexican final goods exported
to the United States (U.S.) and of U.S. intermediate goods
exported to Mexico, based on eight-digit harmonized system
tariff-line data. A third of the estimated rise in the
border price of Mexican apparel products is found to
compensate for the cost of complying with NAFTA's rules
of origin, and NAFTA is found to have raised the price of
U.S. intermediate goods exported to Mexico by around 12
percent, with downstream rules of origin accounting for a
third of that increase. Second, simulations are used to
estimate welfare gains for Mexican exporters from
preferential market access under NAFTA. The presence of
rules of origin is found to approximately halve these gains. |
| format |
Journal Article |
| author |
Cadot, Olivier Carrere, Celine de Melo, Jaime Portugal-Perez, Alberto |
| author_facet |
Cadot, Olivier Carrere, Celine de Melo, Jaime Portugal-Perez, Alberto |
| author_sort |
Cadot, Olivier |
| title |
Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| title_short |
Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| title_full |
Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| title_fullStr |
Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| title_full_unstemmed |
Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA |
| title_sort |
market access and welfare under free trade agreements : textiles under nafta |
| publisher |
Published by Oxford University Press on behalf of the World Bank |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2005/09/17752524/market-access-welfare-under-free-trade-agreements-textiles-under-nafta http://hdl.handle.net/10986/16473 |
| _version_ |
1764433321446604800 |
| spelling |
okr-10986-164732021-04-23T14:03:29Z Market Access and Welfare under Free Trade Agreements : Textiles under NAFTA Cadot, Olivier Carrere, Celine de Melo, Jaime Portugal-Perez, Alberto ACCOUNTING APPAREL APPAREL EXPORTS APPAREL GOODS APPAREL INDUSTRY APPAREL PRODUCERS APPAREL PRODUCTS APPAREL SECTOR APPAREL TARIFF AVERAGE PRICE AVERAGE TARIFF BENEFITS OF TRADE BILATERAL CUMULATION BORDER PRICE BRAND BRANDS BUDGETING CAPTIVE MARKET COMMERCE COMPETITION FRAMEWORK COMPLIANCE COSTS CONSTANT ELASTICITY OF SUBSTITUTION CONSTANT ELASTICITY OF TRANSFORMATION CONSUMER PRICE CONSUMER PRICES CONSUMERS CUSTOMS CUSTOMS OFFICIALS CUSTOMS PROCEDURES DEMAND CURVE DEVELOPED COUNTRIES DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT POLICY DOMESTIC DEMAND DOMESTIC SALES DUMMY VARIABLES ECONOMETRIC ESTIMATES ECONOMIC POLICY ECONOMIC RESEARCH ECONOMIES OF SCALE ELASTICITY OF DEMAND ELASTICITY OF SUBSTITUTION ELASTICITY OF SUPPLY EQUILIBRIUM EXCHANGE RATE EXCHANGE RATES EXPORT PRICES EXPORT SALES EXPORT SUBSIDIES EXPORTERS EXPORTS FINAL GOODS FINISHED PRODUCTS FOREIGN GOODS FOREIGN PRODUCER FREE TRADE FREE TRADE AGREEMENT FREE TRADE AGREEMENTS FREE TRADE AREAS FUNCTIONAL FORMS GOVERNMENT REVENUE IMPERFECT COMPETITION IMPORT VALUES INCOME EFFECTS INPUT PRICES INTERMEDIATE GOODS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL ECONOMICS INTERNATIONAL TRADE INTERNATIONAL TRADE COMMISSION MARGINAL UTILITY MARKET ACCESS MARKET POWER MONOPOLISTIC COMPETITION MOST FAVORED NATION MULTILATERAL TRADE MULTILATERAL TRADE LIBERALIZATION MULTILATERAL TRADE ~ LIBERALIZATION OPPORTUNITY COSTS PERFECT COMPETITION PERFECT SUBSTITUTES POLITICAL ECONOMY PREFERENTIAL ACCESS PREFERENTIAL AGREEMENTS PREFERENTIAL MARGINS PREFERENTIAL MARKET ACCESS PREFERENTIAL RATES PREFERENTIAL REGIME PREFERENTIAL RULES PREFERENTIAL RULES OF ORIGIN PREFERENTIAL TARIFFS PREFERENTIAL TRADE PREFERENTIAL TRADE AGREEMENTS PREFERENTIAL TRADE ARRANGEMENTS PRICE COMPETITION PRICE ELASTICITY PRICE INCREASE PRICE MARGIN PRODUCER PRICE PRODUCER PRICES PRODUCT DIFFERENTIATION PRODUCTION COSTS PROTECTIONIST PROTECTIONIST DEVICES QUANTITATIVE RESTRICTIONS QUOTAS RATE OF TARIFF PREFERENCE REGIONAL INTEGRATION REGIONAL TRADE REGIONAL TRADE AGREEMENTS REGIONAL VALUE CONTENT RULES OF ORIGIN SAFEGUARD CLAUSE SALE SALES SIMULATION TECHNIQUES SOURCING SPECIALIZATION SPREAD STATISTICAL ANALYSIS SUBSTITUTE SUPPLIERS SUPPLY CURVE SUPPLY ELASTICITY SURPLUS TARIFF CHANGES TARIFF CLASSIFICATION TARIFF DATA TARIFF LINE TARIFF LINES TARIFF PREFERENCES TARIFF RATES TARIFF REDUCTION TARIFF REDUCTIONS TARIFF REVENUE TEXTILE IMPORTS TRADE AGREEMENT TRADE CLASSIFICATION TRADE DATA TRADE EXPANSION TRADE FLOWS TRADE PERFORMANCE TRADE PREFERENCES TRADING TREASURY TREATY UNIT OF APPAREL URUGUAY ROUND VALUE ADDED WELFARE GAINS WORLD TRADE WORLD TRADING SYSTEM The effective market access granted to textiles and apparel under the North American Free Trade Agreement (NAFTA) is estimated, taking into account the presence of rules of origin. First, estimates are provided of the effect of tariff preferences combined with rules of origin on the border prices of Mexican final goods exported to the United States (U.S.) and of U.S. intermediate goods exported to Mexico, based on eight-digit harmonized system tariff-line data. A third of the estimated rise in the border price of Mexican apparel products is found to compensate for the cost of complying with NAFTA's rules of origin, and NAFTA is found to have raised the price of U.S. intermediate goods exported to Mexico by around 12 percent, with downstream rules of origin accounting for a third of that increase. Second, simulations are used to estimate welfare gains for Mexican exporters from preferential market access under NAFTA. The presence of rules of origin is found to approximately halve these gains. 2014-01-03T17:55:29Z 2014-01-03T17:55:29Z 2005-12-29 Journal Article http://documents.worldbank.org/curated/en/2005/09/17752524/market-access-welfare-under-free-trade-agreements-textiles-under-nafta World Bank Economic Review doi:10.1093/wber/lhi019 http://hdl.handle.net/10986/16473 English en_US CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Published by Oxford University Press on behalf of the World Bank Publications & Research :: Journal Article Publications & Research :: Journal Article Latin America & Caribbean Mexico UNITED STATES |