Rozbeh Amanifard; Mohsen Mohammadi Khyareh; Reza Mazhari
Abstract
The importance of establishing “Enabling Trade” measures in the countries of origin and destination of exports is of great importance in the international economic literature. In this regard, many studies have shown that improving Enabling Trade can reduce trade costs and improve export ...
Read More
The importance of establishing “Enabling Trade” measures in the countries of origin and destination of exports is of great importance in the international economic literature. In this regard, many studies have shown that improving Enabling Trade can reduce trade costs and improve export performance. However, in previous studies, the issue of Enabling Trade at export destinations and its impact on the commercial performance of export sources has not received much attention. In addition, the need for non-linear estimation of gravity models has been almost completely agreed in the past decade. Therefore, this article studies the estimation of the impact of the Poisson Pseudo-Maximum Likelihood (PPML) on the trade facilitation of its 21 trading partner countries from 2008 to 2016. Enabling Trade Index (ETI) includes four sub-indexes: market access, border management, transportation and communications infrastructure, and operating environment. The results show that Enabling Trade Indices such as market access, border management, infrastructure, and operating environment in the country of origin and export destination countries have had a positive and significant impact on trade flows between Iran and its trading partners. In addition, the results show that the importance and intensity of Iran’s enabling trade indicators are higher than similar measures taken by its trading partners. The authors interpret it as explaining the important role of enabling trade policies in increasing trade between Iran and its trading partners.
Mahdi Yazdani; Hadi Ramezani; Mina Sadeghi
Abstract
Generally, transportation costs are one of the important factors on trade flows. This variable is affected by the distance between countries as well as type of traded goods by international transit network. By using a nonlinear gravity model and Poisson-Pseudo maximum likelihood method, this study tries ...
Read More
Generally, transportation costs are one of the important factors on trade flows. This variable is affected by the distance between countries as well as type of traded goods by international transit network. By using a nonlinear gravity model and Poisson-Pseudo maximum likelihood method, this study tries to investigate the effects of these factors as border effects on Iranian trade flows with its 30 major partners during 1992-2014. The results show that except for third group of goods (animal or vegetable fats and oils), import, export and total trade of the other 20 groups of goods have been negatively affected by distance between Iran and its partners and border effects have had an important role in this regard. Twenty-first group (Works of art, collector’s pieces and antiques), first group (live animal and animal products) and seventh group (plastic and rubber) for import flow of goods, first group, tenth group (Pulp of wood or of other fibrous cellulosic material; recovered) and twelfth group (Footwear, headgear, sun umbrellas, walking – sticks, whips, riding - crops) for export flow of goods and finally twenty-first, first and seventh groups for trade flow of goods have respectively been influenced more by distance.
