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Administrative Barriers to Trade

In: NBER International Seminar on Macroeconomics 2014

Author

Listed:
  • Cecilia Hornok
  • Miklós Koren

Abstract

We build a model of administrative barriers to trade to understand how they affect trade volumes, shipping decisions and welfare. Because administrative costs are incurred with every shipment, exporters have to decide how to break up total trade into individual shipments. Consumers value frequent shipments, because they enable them to consume close to their preferred dates. Hence per-shipment costs create a welfare loss.
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Suggested Citation

  • Cecilia Hornok & Miklós Koren, 2014. "Administrative Barriers to Trade," NBER Chapters, in: NBER International Seminar on Macroeconomics 2014, pages 110-122, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberch:13454
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    as
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    More about this item

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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