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What Was Protected? Measuring India's Tariff Barriers 1968-1997

Author

Listed:
  • Ira N. Gang

    (Rutgers University)

  • Mihir Pandey

    (Ramjas College, University of Delhi)

Abstract

We investigate the inter-industry structure of protection in India, asking how much protection each industry receives and how this changes over time. We calculate, compare and analyze several measures of trade protection across agricultural, manufacturing and service industries. Protection levels were high when ex ante tariffs are used as the basis of measurement, supporting earlier studies. However, when ex post tariff rates are used, a number of sectors exhibit negative effective protection rates. In addition, exposte rates show greater variability and provide a different ranking of the degree of protection by industry when compared to ex ante tariff-based measures.

Suggested Citation

  • Ira N. Gang & Mihir Pandey, 1998. "What Was Protected? Measuring India's Tariff Barriers 1968-1997," Indian Economic Review, Department of Economics, Delhi School of Economics, vol. 33(2), pages 119-152, July.
    • Handle: RePEc:dse:indecr:v:33:y:1998:i:2:p:119-152
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    Citations

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    Cited by:

    1. Mukherjee, Subhadip & Chanda, Rupa, 2017. "Differential effects of trade openness on Indian manufacturing firms," Economic Modelling, Elsevier, vol. 61(C), pages 273-292.
    2. Sangeeta Khorana & Nicholas Perdikis & May T. Yeung & William A. Kerr, 2010. "Bilateral Trade Agreements in the Era of Globalization," Books, Edward Elgar Publishing, number 13719.
    3. Menon, Nidhiya & Rodgers, Yana van der Meulen, 2009. "International Trade and the Gender Wage Gap: New Evidence from India's Manufacturing Sector," World Development, Elsevier, vol. 37(5), pages 965-981, May.
    4. Kanika Pathania & Aditya Bhattacharjea, 2020. "Inverted Duty Structures and the Paradox of Negative Effective Protection in India, 2000–2014," Foreign Trade Review, , vol. 55(2), pages 139-167, May.
    5. Mihir Pandey, 2004. "Impact of trade liberalisation in manufacturing industry in India in the 1980s and 1990s," Indian Council for Research on International Economic Relations, New Delhi Working Papers 140, Indian Council for Research on International Economic Relations, New Delhi, India.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy

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