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Choosing formulas for market access negotiation : efficiency and market access considerations
 
Author:Manole, Vlad; Martin, Will; Francois, Joseph; Collection Title:Policy, Research working paper ; no. WPS 3474
Country:World; Date Stored:2005/02/01
Document Date:2005/01/01Document Type:Policy Research Working Paper
SubTopics:Environmental Economics & Policies; Common Carriers Industry; Export Competitiveness; Trade Policy; Free Trade; Transport and Trade Logistics; World Trade OrganizationLanguage:English
Region:The World RegionReport Number:WPS3474
Volume No:1 of 1  

Summary: An important issue in multilateral trade negotiations is the approach taken to reduce tariffs. The authors believe that there are important advantages in formula approaches and survey a range of options between the sharply top-down Swiss formula and proportional cuts in tariffs. Over the range the authors consider, they find that the economic efficiency impacts for the importer are not greatly influenced by the extent to which higher tariffs face bigger cuts. However, top-down approaches appear to be more effective in reducing tariff escalation, and provide greater market access gains to poor countries.

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