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On estimating Armington elasticities for Japan's meat imports

Satoshi Nakano, Kazuhiko Nishimura

arXiv 6 Oct 2022 · Econometrics · publishedJournal of Agricultural Economics (2023) · 2 citations (OpenAlex)

arXiv:2210.05358 · PDF · DOI · OpenAlex · Extracted main text

Abstract

By fully accounting for the distinct tariff regimes levied on imported meat, we estimate substitution elasticities of Japan's two-stage import aggregation functions for beef, chicken and pork. While the regression analysis crucially depends on the price that consumers face, the post-tariff price of imported meat depends not only on ad valorem duties but also on tariff rate quotas and gate price system regimes. The effective tariff rate is consequently evaluated by utilizing monthly transaction data. To address potential endogeneity problems, we apply exchange rates that we believe to be independent of the demand shocks for imported meat. The panel nature of the data allows us to retrieve the first-stage aggregates via time dummy variables, free of demand shocks, to be used as part of the explanatory variable and as an instrument in the second-stage regression.

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24
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31
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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Feenstra, R.C., Luck, P., Obstfeld, M., Russ, K.N (2018) In search of the armington elasticity0.73732100%
2Bajzik, J., Havranek, T., Irsova, Z., Schwarz, J (2020) Estimating the armington elasticity: The importance of study design and publication bias0.64422100%
3e-Stat (2022) Portal site of official statistics of Japan0.58531100%
4Sato, H (2019) Verification of "Rule of Two" –Estimation of Armington Elasticity–0.51121100%
5Saito, M (2004) Armington elasticities in intermediate inputs trade: a problem in using multilateral trade data0.51121100%
6Broda, C., Weinstein, D.E (2006) Globalization and the Gains From Variety0.40511100%
7Trade Statistics (2022) Trade Statistics of Japan0.40511100%
8BOJ (2020) Corporate goods price index (CGPI) (2015 base), Bank of Japan0.40511100%
9Erkel-Rousse, H., Mirza, D (2002) Import price elasticities: Reconsidering the evidence0.40511100%
10Feenstra, R (1994) New product varieties and the measurement of international prices0.40511100%

Showing the top 10 of 24 scored citations.