Transit Trade

Arbeitspapier

In this paper, we estimate the effects of transit systems that substantially streamline administrative processing of trade flows. In so doing, we use a unique dataset that consists of the entire universe of El Salvador's export transactions over the period 2007-2013 and includes information on the transactions channeled under a new transit regime established with neighboring countries over the same period. Results suggest that this new transit system has been associated with decreased order servicing and variable trade costs. As a consequence, firms' exports increased primarily through higher shipping frequencies. Furthermore, the effects have been strong on foreign sales of time-sensitive goods. This evidence informs one of the main policies covered in the 2013 WTO Agreement of Trade Facilitation.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IDB Working Paper Series ; No. IDB-WP-704

Classification and Topics

• Classification: Wirtschaft ; Trade: General ; Trade Policy; International Trade Organizations ; Empirical Studies of Trade
• Subject: Transit Trade ; Border Effects ; Order Costs ; Inventory ; Shipping Frequency

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Carballo, Jerónimo ; Schaur, Georg ; Graziano, Alejandro ; Volpe Martincus, Christian
• Event: Veröffentlichung
• (who): Inter-American Development Bank (IDB)
• (where): Washington, DC
• (when): 2016

Further information

• Handle: http://hdl.handle.net/10419/146485
• Last update: 10.03.2025, 11:43 AM CET