Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/73249
Authors: 
Francois, Joseph F.
Wooton, Ian
Year of Publication: 
2007
Series/Report no.: 
Working Paper, Department of Economics, Johannes Kepler University of Linz 0706
Abstract: 
We examine an issue at the nexus of domestic competition policy and international trade, the interaction between goods trade and market power in domestic trade and distribution sectors. Theory suggests a set of linkages between service-sector competition and goods trade supported by econometrics involving imports of 22 OECD countries vis-´a-vis 69 exporters. Competition in services affects the volume of goods trade. Additionally, because of interaction between tariffs and competition, the market structure of the domestic service sector becomes increasingly important as tariffs are reduced. Empirically service competition apparently matters most for exporters in smaller, poorer countries. Our results also suggest that while negotiated agreements leading to crossborder services liberalization may boost goods trade as well, they may also lead to a fall in goods trade when such liberalization involves FDI leading to increased service sector concentration.
Subjects: 
distribution sector competition
market access
services
trade liberalization
GATS
JEL: 
L16
L8
F12
F13
Document Type: 
Working Paper

Files in This Item:
File
Size
273.97 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.