Tariff Equivalent

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Tariff Equivalent

A non-tariff barrier that has the same effect as a tariff. That is, a tariff equivalent discourages imports and promotes domestic industries and companies. Examples of tariff equivalents include import quotas or licensing restrictions. The GATT and the WTO have both tried to reduce tariff equivalents to promote more international trade.
References in periodicals archive ?
TABLE 4 Tariff-Equivalent Price Increases Due to NTBs (%) Sector EU NTBs US NTBs Merchandize average 21.
With oil at $70-80 per barrel, the tariff-equivalent rate is 6%.
The rate at which the "melting" is diminished is set according to the tariff-equivalent estimates of Francois (1999a) as discussed above.
2) It is difficult to incorporate NTBs in these models, so researchers use so-called tariff-equivalent measures of NTBs in their quantitative analysis (that is, the level of tariff protection that yields the same levels of output and trade as the NTB).
I take the standard approach of imposing tariff-equivalent NTBs.
Second, NTBs are incorporated into the numerical analysis by way of tariff-equivalent NTBs.
It is difficult to model nontariff barriers (NTBs) directly, so I take the standard approach of imposing tariff-equivalent NTBs.
Prices in the UK have been affected by import quota restrictions on non-ACP suppliers, and have, therefore, been relatively high, the tariff-equivalent of the pre-1993 quota restrictions being 34%.
Where an MFA quota is the binding restraint, the tariff-equivalent of the quota obviously will exceed the ordinary tariff, often by a sizeable amount.
This derivation can be used to evaluate the tariff-equivalent of the EC minimum import price.
The UK quantity restriction is clearly more restrictive than the tariff-equivalent level for a quota.
TABLE 4 Actual and optimal policy levels Actual UK quota 160,700 (tonnes) Tariff-equivalent quota 290,113 (tonnes) Actual EC minimum import price 93.