The costs of trade protectionism: evidence from Spanish firms and non-tariff measures

Series: Working Papers. 1814.

Author: Dmitri Kirpichev and Enrique Moral-Benito.

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The costs of trade protectionism: evidence from Spanish firms and non-tariff measures (556 KB)

Abstract

The rise in non-tariff protectionist measures has been associated to the weakness in global trade over the last few years. We investigate the effect of non-tariff barriers (NTBs) on exports growth over the period 2009-2013 using administrative data at the firm-product-destination level in Spain. According to our findings, non-tariff protectionist measures significantly reduce exports growth at the product-destination level. Moreover, NTBs also hinder exports growth at the firm level and negatively affect other firm outcomes such as productivity growth. In contrast, the impact of liberalizing non-tariff measures is not statistically significant.