Sufficient statistics for tariff reform when revenue matters

• 成果类型: Article
• 署名作者: Anderson, James E.; Neary, J. Peter
• 署名单位: Boston College; National Bureau of Economic Research; University of Oxford; Leibniz Association; Ifo Institut
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/j.jinteco.2015.10.001
• 发表日期: 2016
• 页码: 150-159
• 关键词: Trade policy reform; Generalized mean and variance of tariffs; Tariff revenue; Piecemeal policy reform

摘要

What kinds of tariff reform are likely to raise welfare in situations where tariff revenue is important? General conditions for welfare to rise without reducing tariff revenue are opaque. We show that they can be greatly simplified using a small number of sufficient statistics, primarily the generalized mean and variance of tariffs. We present sufficient conditions for a class of linear tariff reform rules that guarantee higher welfare without a loss in revenue. The rules consist of convex combinations of (i) trade-weighted-average-tariff-preserving cuts in dispersion; and (ii) uniform tariff cuts that preserve domestic relative prices among tariff-ridden goods. (C) 2015 The Authors. Published by Elsevier B.V.