Trade Freedom and Revenue from Trade Taxes: a Cross-Country Analysis
DOI:
https://doi.org/10.21638/11701/spbu05.2016.203Abstract
Trade liberalization as consequence of gradual abolition of tariff and non-tariff barriers generally leads to the decrease in government tax revenue. In order to estimate the relationship between trade freedom level and revenue from trade taxes we used the data for 104 countries worldwide for 2012. For further analysis we divide countries into two groups according to their income level as specified in the World Bank classifi cation. Also, we investigated the dependence between revenue from taxes on international trade and trade freedom in resource abundant countries. We find a significant negative correlation between trade freedom and revenue from international trade taxes in low-income and lower-middle-income economies which allowed us to make conclusions about economic policy of countries at different stages of trade liberalization. Refs 26. Tables 2. Figs 4.
Keywords:
international trade, trade taxes, tax revenue, trade freedom, developing countries, resource countries
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Литература на русском языке
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Published
2016-06-30
How to Cite
Sokolovska, O. (2016). Trade Freedom and Revenue from Trade Taxes: a Cross-Country Analysis. St Petersburg University Journal of Economic Studies, (2), 052–067. https://doi.org/10.21638/11701/spbu05.2016.203
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Global economy
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Articles of the St Petersburg University Journal of Economic Studies are open access distributed under the terms of the License Agreement with Saint Petersburg State University, which permits to the authors unrestricted distribution and self-archiving free of charge.
