Author: Santiago LevyPublisher:
ISBN:
Category :
Languages : en
Pages : 35
Book Description
Export Subsidies and the Balance of Trade
Author: Santiago LevyThe Cost of Export Subsidies
Author: Mr.Alexander W. HoffmaisterPublisher: International Monetary Fund
ISBN: 1451950675
Category : Business & Economics
Languages : en
Pages : 36
Book Description
This paper develops a model to estimate the effects of export subsidies on the supply of exports. Using data for Costa Rica over the 1980’s, it is shown that while the export subsidy scheme in operation led to an increase in exports, the direct fiscal costs of the scheme were quite large. Furthermore, the subsidy scheme led to a significant increase of imports. These results suggest that elimination of export subsidies would not have a particularly harmful effect on the trade balance, and would increase the fiscal position and generate economic efficiency besides.
A Survey of Theoretical and Empirical Literature Related to Export Assistance
Author: Ann Hillberg SeitzingerPublisher:
ISBN:
Category : Agricultural subsidies
Languages : en
Pages : 36
Book Description
Production and Export Subsidies
Author: Debabrata BagchiUnited States International Economic Policy in an Interdependent World
Author: United States. Commission on International Trade and Investment PolicyPublisher:
ISBN:
Category : Investments, American
Languages : en
Pages : 1584
Book Description
U.S. Government Involvement in Commercial Exports
Author: United States. Congressional Budget OfficePublisher:
ISBN:
Category : Domestic international sales corporations
Languages : en
Pages : 48
Book Description
Trade Spillovers of Domestic Subsidies
Author: Lorenzo RotunnoPublisher: International Monetary Fund
ISBN:
Category : Business & Economics
Languages : en
Pages : 61
Book Description
As governments resort to industrial policies to achieve economic and non-economic objectives, the number of subsidies implemented each year has more than tripled in the last decade. Using detailed data across a large number of advanced and emerging economies, we empirically investigate the effects of domestic subsidies on international trade flows. Estimates from a difference-in-difference specification show that on average subsidies promote both exports and imports. These effects are partly driven by selection into subsidies, as governments target export-oriented and import-competing products. The results however mask significant differences across countries. Specifically, exports of subsidized products from G20 emerging markets increase 8 percent more than exports of other products, with no evidence of selection. The gravity estimates confirm that subsidies promote international relative to domestic trade. These spillover effects are concentrated in some industries, such as electrical machinery, and are stronger when subsidies are given through tax breaks than other policy instruments. The subsidy-led rise in trade calls for international cooperation to manage risks of retaliatory actions and possible drifts towards a subsidy war.
The Macroeconomic Effects of Trade Tariffs
Author: Jesper LindéPublisher: International Monetary Fund
ISBN: 1484308751
Category : Business & Economics
Languages : en
Pages : 54
Book Description
We study the robustness of the Lerner symmetry result in an open economy New Keynesian model with price rigidities. While the Lerner symmetry result of no real effects of a combined import tariff and export subsidy holds up approximately for a number of alternative assumptions, we obtain quantitatively important long-term deviations under complete international asset markets. Direct pass-through of tariffs and subsidies to prices and slow exchange rate adjustment can also generate significant short-term deviations from Lerner. Finally, we quantify the macroeconomic costs of a trade war and find that they can be substantial, with permanently lower income and trade volumes. However, a fully symmetric retaliation to a unilaterally imposed border adjustment tax can prevent any real or nominal effects.
Export Subsidies as Instruments of Economic and Foreign Policy
Author: Stephen W. SalantPublisher:
ISBN:
Category : Commercial policy
Languages : en
Pages : 37
Book Description
The use of direct and indirect subsidies to promote exports is a popular instrument of trade policy in many countries. Of particular concern in this study is the use of such subsidies to promote Western exports to the Soviet Union and its allies. It investigates some of the arguments that could be used to justify such subsidies either because they improve the economic welfare of the exporting countries or because they promote behavior by the Soviet Union that is more compatible with the goals of the West. The study concludes that, on balance, there is no strong justification for export subsidies on economic grounds, but that it is possible to adopt a two-tier tax/subsidy system that may produce foreign policy benefits that outweigh the economic effects. Keywords include: International trade.
The Export Performance of the United States
Author: Georgetown University. Center for Strategic and International StudiesPublisher: Greenwood
ISBN:
Category : Business & Economics
Languages : en
Pages : 408
Book Description