Non-tariff barriers (NTBs) refer to the wide range of policy interventions other than border tariffs that affect trade of goods, services and factors of production. Most taxonomies of NTBs include market-specific trade and domestic policies affecting trade in that market. Extended taxonomies include macroeconomic policies affecting trade. NTBs have gained importance as tariff levels have been reduced worldwide. Common measures of NTBs include tariff equivalents of the NTB policy(ies), and count and frequency measures of NTBs. These NTB measures are subsequently used in various trade models, including gravity equations, to assess trade and/or welfare effects of the measured NTBs.
KeywordsAntidumping Border effects Countertrade Domestic content requirements Gravity equations Nontariff barriers Price control Protection Quantity control Tariff versus quota Tariff-rate quotas Tariffs Technical barriers to trade Trade costs
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