Browsing by Author "Olarreaga, Marcelo"

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    Agricultural tariffs or subsidies: Wich are more important for developing economies?
    (2022-02-02) Hoekman, Bernard; Ng, Francis; Olarreaga, Marcelo
    This article assesses the impact of the world price-depressing effect of agricultural subsidies and border protection in OECD countries on developing economies exports,imports and welfarw.Developing economy exporters are likely to benefit from reductions in such subsidies and trade barriers whereas net importers may lose as world prices rise. A simple partial equilibrium modle of global trade in commodities that benifit from dimestic supportor export subsidies is developed to estimate the relevant elasticities. Simulation results suggest that a 50 percent reduction in border protection will have a mush larger positive impact on developing economies exports and welfare than a 50 percent reduction in agricultural subsidies.