Kee, Hiau Looi; Nicita, Alessandro; Olarreaga, Marcelo - C.E.P.R. Discussion Papers - 2004
To study the effects of tariffs on GDP one needs import demand elasticities at the tariff line level that are consistent with GDP maximization. These do not exist. We modify Kohli’s (1991) GDP function approach to estimate demand elasticities for 4625 imported goods in 117 countries. Following...