Technical regulations, intermediate inputs, and performance of firms: Evidence from India

• 成果类型: Article
• 署名作者: Singh, Rahul; Chanda, Rupa
• 署名单位: Ahmedabad University; Indian Institute of Management (IIM System); Indian Institute of Management Bangalore
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2020.103412
• 发表日期: 2021
• 关键词: NTMs; TBTs; intermediate inputs; Markup; marginal cost

摘要

We estimate the consequences of maintaining restrictive Technical Barriers to Trade (TBT) measures on markups for manufacturing firms in India. We combine firm-product level data from Prowess with the data on TBTs that have been raised as a concern by member countries against India in the TBT committee of WTO. We find that higher TBT incidence on intermediate inputs to the industry leads to a decrease in markups for importers relative to non-importers. Firms absorb the increase in marginal costs by reducing markups with no significant increase in prices. (C) 2020 Elsevier B.V. All rights reserved.