Tariff-based product-level Trade Elasticity
Lionel Fontagné, Houssein Guimbard and Gianluca Orefice
Journal of International Economics, 2022, vol 133
Product-Level Trade Elasticity
Trade elasticity which varies widely across products is a crucial parameter in evaluating the welfare impacts of changes in trade frictions. We estimate trade elasticities at the product level by exploiting the variation in bilateral tariffs for each product category for the universe of country pairs over the 2001 to 2016 period. The predicted trade flows using the product-specific trade elasticities estimated here match the observed post-EPA import between the US and Chile, confirming the accuracy of our estimates.
JIE accepted version [download]
Data in Brief short-paper version [download]
CEPII working paper version [download]
Dataset HS 6-digit classification [download] UPDATED version Sept 2021
Dataset HS 4-digit classification [download] UPDATED version Nov 2021
Dataset TiVA classification [download] UPDATED version Oct 2021
Dataset GTAP (rev 10) classification [download] UPDATED version Nov 2021 (based on the updated HS GTAP rev 10 available below )
Dataset WIOD (rev 2013) classification [download]
Dataset WIOD (rev 2016) classification [download]
Dataset ICIO classification [download]
Dataset ICIO classification by type of product (i.e. intermediate vs final) [download]
Definition of intermediate vs final product based on BEC rev 4 classification.
Additional resources:
Trade elasticity to distance and shipping cost elasticity to distance dataset (only 1% significant elasticities) here
Repository Folder with SAS dofiles here
Repository Folder with STATA dofiles here
Estimations results (tariff coefficient and standard errors) version Nov 2021 here
Bilateral Trade Data BACI (CEPII) here
Applied bilateral tariff MacMap (CEPII) here
HS rev 2007 - GTAP rev 10 conversion table here
Related paper:
Fontagné, L., Martin, P. and G. Orefice (2018) "The international elasticity puzzle is worse than you think", Journal of International Economics 115: 115-129.