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Market Access Asymmetry in Food Trade

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Abstract

Using a bilateral trade equation derived from a monopolistic competition model, we investigate market access reciprocity in food trade among the United States, Canada, the European Union and Japan. We explore country- and industry-specific market access asymmetry through a border effect approach. Our findings reveal marked asymmetries in reciprocal border effects, both across countries and industries. Trade policy measures, particularly non-tariff barriers (NTBs), the degree of product differentiation and a ‘home bias’ in preferences, are important factors in explaining levels in border effects. Asymmetries in border effects are mainly explained by trade policies.

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Correspondence to Alessandro Olper.

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JEL no.

F13, F14, Q17

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Olper, A., Raimondi, V. Market Access Asymmetry in Food Trade. Rev World Econ 144, 509–537 (2008). https://doi.org/10.1007/s10290-008-0158-8

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  • DOI: https://doi.org/10.1007/s10290-008-0158-8

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