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The Trade Effects of GSP+

Kahn, Cecilia LU (2014) NEKN01 20142
Department of Economics
Abstract
The General Scheme of Preferences (GSP) is a trade promoting program offered by the EU to several developing countries. An extension of the program, GSP+, offer more beneficial market access contingent on positive conditionality. I use the gravity equation to estimate effects on export flows for the participants when changing from GSP to the more generous GSP+ using a sample of 53 countries over the time period 1988-2006. I conduct the estimation as a gravity equation estimated with Poisson Pseudo Maximum Likelihood. I find insignificant over-all effects of entering the GSP+ program which is contrary to most of earlier research. On product level however, the effect becomes significant. For some product groups the effect is negative and for... (More)
The General Scheme of Preferences (GSP) is a trade promoting program offered by the EU to several developing countries. An extension of the program, GSP+, offer more beneficial market access contingent on positive conditionality. I use the gravity equation to estimate effects on export flows for the participants when changing from GSP to the more generous GSP+ using a sample of 53 countries over the time period 1988-2006. I conduct the estimation as a gravity equation estimated with Poisson Pseudo Maximum Likelihood. I find insignificant over-all effects of entering the GSP+ program which is contrary to most of earlier research. On product level however, the effect becomes significant. For some product groups the effect is negative and for some positive. (Less)
Popular Abstract
The General Scheme of Preferences (GSP) is a trade promoting program offered by the EU to several developing countries. An extension of the program, GSP+, offer more beneficial market access contingent on positive conditionality. I use the gravity equation to estimate effects on export flows for the participants when changing from GSP to the more generous GSP+ using a sample of 53 countries over the time period 1988-2006. I conduct the estimation as a gravity equation estimated with Poisson Pseudo Maximum Likelihood. I find insignificant over-all effects of entering the GSP+ program which is contrary to most of earlier research. On product level however, the effect becomes significant. For some product groups the effect is negative and for... (More)
The General Scheme of Preferences (GSP) is a trade promoting program offered by the EU to several developing countries. An extension of the program, GSP+, offer more beneficial market access contingent on positive conditionality. I use the gravity equation to estimate effects on export flows for the participants when changing from GSP to the more generous GSP+ using a sample of 53 countries over the time period 1988-2006. I conduct the estimation as a gravity equation estimated with Poisson Pseudo Maximum Likelihood. I find insignificant over-all effects of entering the GSP+ program which is contrary to most of earlier research. On product level however, the effect becomes significant. For some product groups the effect is negative and for some positive. (Less)
Please use this url to cite or link to this publication:
author
Kahn, Cecilia LU
supervisor
organization
course
NEKN01 20142
year
type
H1 - Master's Degree (One Year)
subject
keywords
EU, GSP, GSP+, Poisson Pseudo Maximum Likelihood, Trade Preferences
language
English
id
4732911
date added to LUP
2014-11-03 10:25:41
date last changed
2014-11-03 10:25:41
@misc{4732911,
  abstract     = {{The General Scheme of Preferences (GSP) is a trade promoting program offered by the EU to several developing countries. An extension of the program, GSP+, offer more beneficial market access contingent on positive conditionality. I use the gravity equation to estimate effects on export flows for the participants when changing from GSP to the more generous GSP+ using a sample of 53 countries over the time period 1988-2006. I conduct the estimation as a gravity equation estimated with Poisson Pseudo Maximum Likelihood. I find insignificant over-all effects of entering the GSP+ program which is contrary to most of earlier research. On product level however, the effect becomes significant. For some product groups the effect is negative and for some positive.}},
  author       = {{Kahn, Cecilia}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{The Trade Effects of GSP+}},
  year         = {{2014}},
}